Section 8 Reforms
Section 8 of the Housing Act allows landlords to evict tenants on specific grounds. These are split into:
- Mandatory – A court must grant the possession to the landlord. These grounds include:
- The landlord selling or wanting to move into the property
- Criminal behaviour on the part of the tenant
- The tenant being at least three months in rent arrears
- Discretionary – A court will only grant possession if it feels it is reasonable to do so. These grounds include:
- Breach of some part of the tenancy agreement (other than severe rent arrears)
- Antisocial behaviour
- Damage to the landlord’s property or contents
The minimum notice period a landlord must give the tenant varies, depending on the ground.
Under the RRB proposals, some of the grounds have been strengthened and many minimum notice periods have been increased.
Key changes:
- The notice period for the most common mandatory grounds, where the tenant is not at fault, will rise to 4 months.
- If a landlord wants to either sell or move into the property, they will not be able to evict the tenant within the first 12 months of a new tenancy, which will be a “restricted period”.
- If a landlord evicts the tenant because they want to sell, they will not be able to re-let the property for 12 months after the expiry of the 4 month notice period.
- The notice period for rent arrears will increase from 2 weeks to 4 weeks, and the tenant must be 3 months in arrears (up from the current 2 months).
- The grounds for possession based on anti-social behaviour will be strengthened, with landlords able to begin proceedings immediately.
What This Means for Landlords
- Proof will be required for every eviction. Landlords will have to provide evidence to justify every possession claim.
- Evictions will take longer. In the vast majority of cases, other than anti-social behaviour, evicting a tenant will take longer because:
- Most notice periods will rise.
- For the rent arrears ground, landlords will now have to wait 3 months before a Section 8 can be issued – currently tenants only have to be 2 months in arrears. And with the notice period doubling from 2 to 4 weeks, that means a landlord is likely to lose at least 4 months of rent before they can regain possession and re-let the property.
- With the removal of Section 21, every contested eviction will require a court hearing.
- Landlords will need to plan carefully before using Ground 1A ‘Sale of dwelling house’. New rules mean they will not be legally able to let the property for 16 months from the moment notice is served (the 4 month mandatory minimum notice period, plus a further 12 months).
- During this time, the property cannot be marketed for let or rented out in any form, including on licence or as a holiday let.
- If a landlord is unable to sell as intended, or changes their mind, the property will have to sit vacant until the full 16-month period has expired.
- There is increased financial risk.
- Because it will take longer in most cases to remove a tenant, landlords are likely to experience more time without rental income.
- Every contested eviction will require a court hearing and that’s more expensive than an accelerated possession claim (which can currently be used with a Section 21 eviction).
- With more evictions ending up in court, there are likely to be delays in landlords regaining possession, which will be potentially several months more lost rental income.
Steps for Landlords to Stay Compliant
- Strengthen the screening process to be as sure as possible that prospective tenants can afford the rent and are likely to be responsible tenants.
- Keep clear records of any tenant issues - written and photographic evidence where possible.
- Understand the Section 8 grounds for eviction and be particularly aware of the new notice periods.
- Seek legal advice before issuing a Section 8 notice.
- Check your insurance will cover you for rent arrears and eviction costs when the RRB comes in.
What This Means for Tenants
- More time to make up rent arrears if they fall behind, before a landlord can give them notice.
- More time to find a new home if they have not breached their tenancy agreement – at least four months in most cases.
- Stronger protections against unfair evictions, because landlords must provide evidence for each Section 8 ground.
- Swifter legal action if they engage in anti-social behaviour, with landlords able to begin proceedings immediately.
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FAQs
1) What is a Section 8 eviction?
A legal process where a landlord can evict a tenants based on specific grounds, such as rent arrears or anti-social behaviour.
2) Will landlords still be able to evict tenants for non-payment of rent?
Yes, but tenants will have to be at least 3 months in arrears before notice can be served (currently they only have to be 2 months in arrears).
3) How long is the notice period for rent arrears?
Currently it is 2 weeks, but this will double to 4 weeks under the RRB.
4) What qualifies as anti-social behaviour?
Causing nuisance or annoyance, using the premises for illegal or immoral purposes, or being convicted of an offence. Examples include: making excessive noise, harassing neighbours and buying or selling drugs.
5) Will evictions take longer under these new rules?
Yes, in the vast majority of cases, due to increased notice periods and stricter legal requirements.
6) Will these changes apply to existing tenancies?
Yes, all Section 8 evictions will have to follow the new rules once they have come into force.
7) Can tenants challenge a Section 8 eviction?
Yes, tenants can contest eviction in court if they believe it is unfair.
8) How can landlords protect themselves from rent arrears?
Conduct thorough referencing and financial checks before accepting a tenant. During the tenancy, check every month that rent has been paid on the day it is due and contact the tenant immediately if it is late.
9) What should landlords do before serving a Section 8 notice?
Gather evidence to support the claim and seek legal advice from a letting/eviction specialist.
10) Are there alternatives to eviction for rent arrears?
Before serving a Section 21, you can try to work with the tenant to help them resolve financial issues – e.g. agree a payment plan to make up what they owe or use a tenancy mediation service.