Legislation – Renters’ Rights Act 2025

“(7)

A person may not be convicted of an offence under this section in respect of any conduct if a financial penalty has been imposed under section 1A in respect of that conduct.”

(3)

After section 1 insert—

“1AFinancial penalty for offence under section 1

(1)

A local housing authority may impose a financial penalty on a person if satisfied beyond reasonable doubt that the person has committed an offence under section 1 in relation to premises in England.

(2)

No financial penalty may be imposed in respect of any conduct amounting to an offence under section 1 if—

(a)

the person has been convicted of an offence under that section in respect of the conduct,

(b)

criminal proceedings for an offence under that section in respect of the conduct have been instituted against the person and the proceedings have not been concluded, or

(c)

criminal proceedings for an offence under that section in respect of the conduct have been concluded and the person has not been convicted of the offence.

(3)

The amount of a financial penalty imposed under this section is to be determined by the authority imposing it, but must not be more than £40,000.

(4)

The Secretary of State may give guidance to local housing authorities about the exercise of their functions under this section.

(5)

Local housing authorities must have regard to any guidance issued under subsection (4).

(6)

Schedule A1 makes provision about—

(a)

the procedure for imposing financial penalties,

(b)

appeals against financial penalties,

(c)

enforcement of financial penalties, and

(d)

how local housing authorities are to deal with the proceeds of financial penalties.

(7)

The Secretary of State may by regulations amend the amount specified in subsection (3) to reflect changes in the value of money.

(8)

Regulations under this section are to be made by statutory instrument.

(9)

A statutory instrument containing regulations under this section is subject to annulment in pursuance of a resolution of either House of Parliament.

(10)

In this section and Schedule A1, “local housing authority” means a district council, a county council in England for an area for which there is no district council, a London borough council, the Common Council of the City of London or the Council of the Isles of Scilly.”

(4)

Before Schedule 1 insert—

“Schedule A1Financial penalty for offence under section 1

Section 1A

Notice of intent

1

Before imposing a financial penalty on a person under section 1A a local housing authority must give the person notice of its proposal to do so (a “notice of intent”).

2

(1)

The notice of intent must be given before the end of the period of 6 months beginning with the first day on which the authority has sufficient evidence of the conduct to which the financial penalty relates.

(2)

But if the person is continuing to engage in the conduct on that day, and the conduct continues beyond the end of that day, the notice of intent may be given—

(a)

at any time when the conduct is continuing, or

(b)

within the period of 6 months beginning with the last day on which the conduct occurs.

3

The notice of intent must set out—

(a)

the date on which the notice of intent is given,

(b)

the amount of the proposed financial penalty,

(c)

the reasons for proposing to impose the financial penalty, and

(d)

information about the right to make representations under paragraph 4.

Right to make representations

4

(1)

A person who is given a notice of intent may make written representations to the local housing authority about the proposal to impose a financial penalty.

(2)

Any representations must be made within the period of 28 days beginning with the day after that on which the notice was given (“the period for representations”).

Final notice

5

After the end of the period for representations the local housing authority must—

(a)

decide whether to impose a financial penalty on the person, and

(b)

if it decides to impose a financial penalty, decide the amount of the penalty.

6

If the authority decides to impose a financial penalty on the person, it must give the person a notice (a “final notice”) imposing that penalty.

7

The final notice must require the penalty to be paid within the period of 28 days beginning with the day after that on which the notice was given.

8

The final notice must set out—

(a)

the date on which the final notice is served,

(b)

the amount of the financial penalty,

(c)

the reasons for imposing the penalty,

(d)

information about how to pay the penalty,

(e)

the period for payment of the penalty,

(f)

information about rights of appeal, and

(g)

the consequences of failure to comply with the notice.

Withdrawal or amendment of notice

9

(1)

A local housing authority may at any time—

(a)

withdraw a notice of intent or final notice, or

(b)

reduce the amount specified in a notice of intent or final notice.

(2)

The power in sub-paragraph (1) is to be exercised by giving notice in writing to the person to whom the notice was given.

Appeals

10

(1)

A person to whom a final notice is given may appeal to the First-tier Tribunal against—

(a)

the decision to impose the penalty, or

(b)

the amount of the penalty.

(2)

An appeal under this paragraph must be brought within the period of 28 days beginning with the day after that on which the final notice was given.

(3)

If a person appeals under this paragraph, the final notice is suspended until the appeal is finally determined, withdrawn or abandoned.

(4)

An appeal under this paragraph—

(a)

is to be a re-hearing of the local housing authority’s decision, but

(b)

may be determined having regard to matters of which the authority was unaware.

(5)

On an appeal under this paragraph the First-tier Tribunal may confirm, vary or cancel the final notice.

(6)

The final notice may not be varied under sub-paragraph (5) so as to make it impose a financial penalty of more than the local housing authority could have imposed.

Recovery of financial penalty

11

(1)

This paragraph applies if a person fails to pay the whole or any part of a financial penalty which, in accordance with this Schedule, the person is liable to pay.

(2)

The local housing authority which imposed the financial penalty may recover the whole or part of the penalty on the order of the county court as if it were payable under an order of that court.

(3)

In proceedings before the county court for the recovery of a financial penalty or part of a financial penalty, a certificate which is—

(a)

signed by the chief finance officer of the local housing authority which imposed the penalty, and

(b)

states that the amount due has not been received by a date specified in the certificate,

is conclusive evidence of that fact.

(4)

A certificate to that effect and purporting to be so signed is to be treated as being so signed unless the contrary is proved.

(5)

In this paragraph “chief finance officer” has the same meaning as in section 5 of the Local Government and Housing Act 1989.

Proceeds of financial penalties

12

Where a local housing authority imposes a financial penalty under this Act, it may apply the proceeds towards meeting the costs and expenses (whether administrative or legal) incurred in, or associated with, carrying out any of its enforcement functions under this Act or otherwise in relation to the private rented sector.

13

Any proceeds of a financial penalty imposed under this Act which are not applied in accordance with paragraph 12 must be paid to the Secretary of State.

14

(1)

In paragraph 12, enforcement functions “in relation to the private rented sector” means enforcement functions relating to—

(a)

residential premises in England that are let, or intended to be let, under a tenancy,

(b)

the common parts of such premises,

(c)

the activities of a landlord under a tenancy of residential premises in England,

(d)

the activities of a person carrying on English letting agency work within the meaning of section 54 of the Housing and Planning Act 2016 in relation to such premises, or

(e)

the activities of a person carrying on English property management work within the meaning of section 55 of the Housing and Planning Act 2016 in relation to such premises.

(2)

For the purposes of this paragraph, “residential premises” has the meaning given by section 1 of the Housing Act 2004 except that it does not include social housing within the meaning of Part 2 of the Housing and Regeneration Act 2008.

(3)

For the purposes of this paragraph, “tenancy” includes a licence to occupy.”

59Abandoned premises under assured shorthold tenancies

In the Housing and Planning Act 2016, omit Part 3 (recovering abandoned premises under assured shorthold tenancies).

60Remedying of hazards occurring in dwelling-houses in England

(1)

The Landlord and Tenant Act 1985 is amended as follows.

(2)

In section 10A (remedying of hazards occurring in dwellings let on social housing leases)—

(a)

in the heading, for “dwellings let on relevant social housing leases” substitute “dwelling-houses in England”;

(b)

for subsection (1) substitute—

“(1)

This section applies to a lease of a dwelling-house in England if either of the following applies—

(a)

the lease is a lease for a term of less than 7 years, or

(b)

the lease is of a kind mentioned in section 13(1A), (1AA) or (1AB);

but this is subject to subsection (1A).

(1A)

This section does not apply to any lease of a kind mentioned in section 14 (exceptions).”;

(c)

in subsection (3), for “dwelling” substitute “dwelling-house”;

(d)

after subsection (5) insert—

“(5A)

For the purposes of subsection (1) it is immaterial that the lease also demises other property (which may consist of or include one or more other dwelling-houses).

(5B)

In determining for the purposes of subsection (1)(a) whether a lease is for a term of less than 7 years—

(a)

any part of the term falling before the grant or creation is to be ignored and the lease is to be treated as a lease for a term commencing with the grant or creation;

(b)

a lease which is determinable at the option of the lessor before the expiry of 7 years from the commencement of the term is to be treated as a lease for a term of less than 7 years;

(c)

a lease (other than one to which paragraph (b) applies) is not to be treated as a lease for a term of less than 7 years if it confers on the lessee an option for renewal for a term which, together with the original term, amounts to 7 years or more.”;

(e)

omit subsection (6);

(f)

in subsection (7)—

(i)

for the definitions of “lease”, “lessor” and “lessee” substitute—

““lease” does not include a mortgage term;

“lease of a dwelling-house” means a lease by which a building or part of a building is let wholly or mainly as a private residence, and “dwelling-house” means that building or part of a building, together with any yard, garden, outhouses and appurtenances belonging to it or usually enjoyed with it;

“lessee” means the person for the time being entitled to the term of a lease;

“lessor” means the person for the time being entitled to the reversion expectant on a lease;”;

(ii)

omit the definitions of “low cost home ownership accommodation” and “social housing”.

(3)

In section 10B (regulations under section 10A: supplementary provision)—

(a)

in subsection (1)(a), for the words from “42” to “2023” substitute “60 of the Renters’ Rights Act 2025”;

(b)

in subsection (3)(b)(i), for “dwelling” substitute “dwelling-house”;

(c)

for subsection (4)(a) substitute—

“(a)

limit the application of section 10A by reference to leases or dwelling-houses of particular descriptions;”;

(d)

omit subsection (6).

(4)

In section 39 (index of defined expressions), for the entry for “dwelling-house” substitute—

“dwelling-house—

(in the provisions relating to remedying of hazards)

section 10A

(in the provisions relating to repairing obligations)

section 16”.

61Remedying of hazards occurring in accommodation in England occupied under licence

(1)

After section 10B of the Landlord and Tenant Act 1985 insert—

“10CRemedying of hazards occurring in accommodation in England occupied under licence

(1)

The Secretary of State may make—

(a)

regulations which specify a description of licences to occupy residential premises; and

(b)

regulations which require the licensor under a regulated licence to take action, in relation to prescribed hazards which affect or may affect the licensed accommodation, within the period or periods specified in the regulations.

(2)

There is implied in a regulated licence a term that the licensor will comply with all prescribed requirements that are applicable to that licence.

(3)

Regulations under subsection (1)(b) are enforceable against licensors only through actions for breach of the term that is implied by subsection (2).

(4)

In any proceedings for a breach of the term that is implied by subsection (2), it is a defence for the licensor to prove that they used all reasonable endeavours to avoid that breach.

(5)

In this section and section 10D —

“prescribed hazard” has the same meaning as in section 10 (see section 10(2) and (3));

“prescribed requirement” means a requirement prescribed in regulations under subsection (1)(b);

“regulated licence” means a licence to occupy that is of a description specified in regulations under subsection (1)(a);

“residential premises” has the same meaning as in section 1 (4) of the Housing Act 2004 (but disregarding paragraph (e)(ii) of that subsection).

10DRegulations under section 10C: supplementary provision

(1)

Regulations under section 10C(1)(a) may (in particular) specify a description of licences to occupy by reference to any of the following—

(a)

the nature of the licensor;

(b)

the nature of the licensee;

(c)

the nature of the accommodation occupied;

(d)

the purpose of the occupation of the accommodation;

(e)

the legal nature of the licence.

(2)

Regulations under section 10C(1)(b) may apply to—

(a)

licences granted before the day when section 10C came into force;

(b)

prescribed hazards which began before that day;

(c)

only some descriptions of prescribed hazards.

(3)

Regulations under section 10C(1)(b) may—

(a)

specify a period that is not of a specific duration (for example a reasonable or appropriate period, including a period decided by the licensor, or another person);

(b)

specify two (or more) periods in relation to particular action.

(4)

Regulations under section 10C(1)(b) may (in particular)—

(a)

require the licensor to take particular action, or action that is intended to produce a particular outcome, in relation to a prescribed hazard;

(b)

require the licensor to take action in relation to a prescribed hazard that is not of itself intended to remedy the hazard, for example by requiring the licensor—

(i)

to investigate whether or how a prescribed hazard is affecting the licensed accommodation, or

(ii)

to secure that the licensee and any other members of their household are provided with alternative accommodation at no cost to them;

(c)

require the licensor to take action in relation to a prescribed hazard only—

(i)

in particular circumstances, or

(ii)

if particular conditions are met;

(d)

provide that the licensor is not required to take action in relation to a prescribed hazard—

(i)

in particular circumstances, or

(ii)

if particular conditions are met.

(5)

The Secretary of State may by regulations make provision, in relation to a term that is implied by section 10C(2), which corresponds to any provision made in relation to an implied covenant by section 9A(4) to (8).

(6)

A power to make regulations under section 10C or this section includes power to make—

(a)

incidental, transitional or saving provision;

(b)

different provision for different purposes.

(7)

Regulations under section 10C or this section are to be made by statutory instrument.

(8)

A statutory instrument containing regulations under section 10C or this section may not be made unless a draft of it has been laid before and approved by resolution of each House of Parliament.”

(2)

Until section 100(3) (decent homes standard) comes into force, the definition of “residential premises” in section 1 (4) of the Housing Act 2004 has effect for the purposes of section 10C and 10D of the Landlord and Tenant Act 1985 as if it were amended in accordance with section 100(3).

62Student accommodation that is not an HMO

(1)

Schedule 14 to the Housing Act 2004 (buildings which are not HMOs) is amended in accordance with subsections (2) and (4).

(2)

After paragraph 3 insert—

“Buildings occupied by students: England

3A

(1)

Any building in England—

(a)

which is occupied solely or principally by persons who occupy it for the purpose of undertaking a full-time course of further or higher education at a specified educational establishment, or at an educational establishment of a specified description, and where the person managing or having control of it is the educational establishment in question, or

(b)

which is occupied solely or principally by persons who occupy it for the purpose of undertaking a full-time course of further or higher education at an educational establishment and where the person managing or having control of it is a specified person or a person of a specified description.

(2)

In—

(a)

sub-paragraph (1)(a) “specified” means specified for the purposes of that sub-paragraph in regulations made by the Secretary of State;

(b)

sub-paragraph (1)(b) “specified” means specified for the purposes of that sub-paragraph in regulations made by the Secretary of State;

and the regulations may (in particular) provide that an educational establishment is specified, or of a specified description, for the purposes of sub-paragraph (1)(b).

(3)

Those regulations may, in particular, specify—

(a)

as a description of educational establishment for the purposes of sub-paragraph (1)(a), or

(b)

as a description of person for the purposes of sub-paragraph (1)(b),

the members from time to time, or a description of the members from time to time, of a housing management code of practice which is specified in the regulations.

(4)

The Secretary of State may by regulations—

(a)

specify a class of building, and

(b)

provide that a building—

(i)

does not fall within this paragraph if it is of the specified class, or

(ii)

falls within this paragraph only if it is of the specified class.

(5)

The Secretary of State may by regulations—

(a)

specify a building manager or a class of building manager,

(b)

specify a class of building in relation to the specified building manager or the specified class of building manager, and

(c)

provide that a building which the specified building manager, or a building manager of the specified class, manages or has control of—

(i)

does not fall within this paragraph if the building is of the specified class, or

(ii)

falls within this paragraph only if the building is of the specified class.

(6)

Regulations under sub-paragraph (4)(a) or (5)(b) may, in particular, specify as a class of building—

(a)

the buildings, or

(b)

a class of the buildings,

from time to time subject to a housing management code of practice which is specified for this purpose by regulations under sub-paragraph (4)(a) or (5)(b).

(7)

Regulations under sub-paragraph (5)(a) may, in particular, specify as a class of building manager—

(a)

the members, or

(b)

a class of the members,

from time to time of a housing management code of practice which is specified for this purpose by regulations under sub-paragraph (5)(a).

(8)

For the purposes of this paragraph—

(a)

“building manager” means an educational establishment or other person managing or having control of a building;

(b)

“housing management code of practice” means a code of practice approved by the Secretary of State under section 233 (codes relating to the management of HMOs or excepted accommodation);

(c)

a building is “subject to” a housing management code of practice if it—

(i)

is a particular building subject to the code, or

(ii)

is of a class of buildings subject to the code;

(d)

a reference to—

(i)

a class of the buildings from time to time subject to a housing management code of practice, or

(ii)

a class of the members from time to time of a housing management code of practice,

includes the buildings or members that are from time to time in a class provided for in the code of practice.”

(3)

Any regulations made by the Secretary of State under paragraph 4 of Schedule 14 to the Housing Act 2004 before the coming into force of this section are to continue to have effect on and after the coming into force of this section as if made under paragraph 3A of that Schedule (inserted by this section).

(4)

In paragraph 4 (buildings occupied by students)—

(a)

in the heading, after “students” insert “: Wales”;

(b)

in sub-paragraph (1), in the words before paragraph (a), after “building” insert “in Wales”.

(c)

in sub-paragraph (2), for “appropriate national authority” substitute “Welsh Ministers”.

(d)

in sub-paragraph (3), for “appropriate national authority” substitute “Welsh Ministers”.

(e)

in sub-paragraph (4)—

(i)

in the words before paragraph (a), for “appropriate national authority may have regard to the extent to which, in its opinion” substitute “Welsh Ministers may have regard to the extent to which, in their opinion”;

(ii)

in paragraph (a), for “authority” substitute “Welsh Ministers”.

(5)

In consequence of the other amendments made by this section—

(a)

in paragraph 16E(3) of Schedule 2 to the Finance Act 2019 (inserted by Schedule 1 to the Finance Act 2025) (meaning of “institutional building”), in paragraph (i)(i) and (ii) (buildings occupied by students), for “paragraph 4” substitute “paragraph 3A or 4”;

(b)

in the Capital Allowances Act 2001, in section 270CF (exclusion from qualifying use: residential use), in subsection (1)(b), for “paragraph 4” substitute “paragraph 3A or 4”.

(6)

Any regulations made by the Treasury under paragraph 16E(3)(i)(ii) of Schedule 2 to the Finance Act 2019 before the coming into force of this section which designate provision as provision corresponding to paragraph 4 of Schedule 14 to the Housing Act 2004 are to continue to have effect on and after the coming into force of this section as if they designated the provision as provision corresponding to paragraph 3A or 4 of that Schedule.

“dwelling-house—
(in the provisions relating to remedying of hazards)	section 10A
(in the provisions relating to repairing obligations)	section 16”.