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CHANGES TO THE TIMING OF RENT INCREASES PROPOSED

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The government is proposing to change the current rules on the timing ...
The government is proposing to change the current rules on the timing

of rent increases for assured periodic tenancies in England and

Wales.

The present rules ensure rent increases for tenancies of less than

one month take place on different dates, which advance each year.

However the forward drift of rent increase dates creates an

administrative burden for private and housing association landlords

as well as uncertainty for tenants.

The Office for the Deputy Prime Minister has launched a three month

consultation today, proposing to amend the rules by enabling

landlords to choose, if they wish, to set a fixed day, eg the first

Monday in April, for rent increases for tenancies in the future.

The change would be administratively simpler for landlords and

provide greater clarity and certainty for tenants, who will know

exactly when their next rent increase is due.

The consultation ends on 13 September 2002 and subject to the outcome

of the consultation and progress in parliament it is planned to amend

the rules in a Regulatory Reform Order.

Notes

1. The consultation paper is available here .

2. There are nearly 2 million assured periodic tenancies held by

tenants of Registered Social Landlords and private landlords. Of

these, approximately 1.2 million are weekly tenancies. (An assured

periodic tenancy is a tenancy that started on or after 15 January

1989 and that has no fixed end date).

3. Current rules on the timing of rent increases are set out in

Section 13 (2) (b) and (c) of the Housing Act 1988. It is proposed to

amend the rules by means of an order under the Regulatory Reform Act

2001.

4. Any reform would apply to England and Wales only. It would not

affect agricultural tenancies.

5. In February this year, following consultation, the ODPM (formerly

DTLR) introduced a new prescribed form to be used by landlords in

proposing a new rent for an assured tenancy or an assured

agricultural occupancy under section 13(2) of the Housing Act 1988.

The language and format of the form has been simplified and clarified

to make the form easier to use for both landlords and tenants.

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