Ban on Tenant Fees

Feb 8, 2019

On 15th  January 2019, the Government announced the Tenant Fees Bill will come into effect on 1st June 2019. The Bill will mean Tenants who sign Tenancy Agreements after 1st June 2019 will not be charged admin fees from Letting Agents and Landlords. The change will make it cheaper for Tenants to be able to move into a rented agreement which would mean saving a few hundred pounds. The Citizens Advice Bureau states the average cost of these fees for Tenants is £400. When the new law comes in, the Tenants will be liable for Rent, Utility Bills including Council Tax (unless the Landlord is paying), a deposit, changes to the Tenancy, any early termination of the tenancy requested by the Tenant and any defaults in payment by the Tenant.

However, there is a concern that the new measure could lead to an increase in rent as a whole.  It will now be the responsibility of the Landlord to cover these costs which could inevitably mean the Landlord recovers this expense from the Tenant by increasing the rent payments. It may be that some Landlords do not pass these fees on to Tenants in order to make their property more appealing to Tenants when faced with a competitive market.

Time will tell as to what the impact on the new rules will be and how much it will have an impression on the Rental Market. It should be noted that the Bill will only take effect in England and the fees can still be charged in Wales.

If you would like a free no obligation quotation for buying or selling a rental property then please do not hesitate to contact Leanne Wood via email on