The UK’s system of solving disputes between aggrieved tenants and their landlord or letting agent is ‘deeply flawed’ largely because most tenants are hugely ignorant of their rights, the charitable arm of deposit scheme TDS has claimed.

Its new report into mediation within the private rented sector says most tenants lack even basic knowledge about their legal rights, which in turn leads to less scrupulous landlords and agents exploiting them.

The report, which is no-holds barred in its criticism of landlord, agents and the mediation process, also reveals that many tenants, even when they seek advice from supposedly trusted sources, are often given wrong or unhelpful advice, including from councils, advice agencies, MPs and even solicitors.

It also says many tenants described solving disputes as ‘difficult  and frustrating’, that many tenants are afraid to escalate complaints for fear of rent hikes or eviction, and that in particular students and foreigners, who are most ignorant of their housing rights, are most vulnerable.

The report also criticises councils for being slow to help tenants, but also ombudsmans to a lesser extent, saying many tenants face long delays getting help.

TDS Charitable Foundation polled 2,000 renters but also spoke at length with 46 tenants who had sought redress recently to create its findings, saying the looming Renters’ Right Bill and its soon-to-be introduced ombudsman and greater rights, will be pointless unless tenants know how and where to seek help.

The report recommends the creation of a single, accessible source of housing advice; improved training for frontline staff; and str enforcement of transparency requirements for landlords and agents.

Frustrating

“Worryingly, many of the tenants we spoke to felt they had no choice but to accept the situation or move out when they were facing challenges with their landlord or letting agent,” says Dr Jennifer Harris (main image), Head of Policy and Research at TDS Group.

“Most said they found navigating the dispute resolution landscape difficult and frustrating. This is a clear sign that the current system is not working.

“If people don’t know their rights or where to go for help, the new protections included in the Renters’ Rights Bill will be meaningless.

“We urgently need clearer information, stronger advice services, and much better signposting from the organisations renters rely on.”

Industry reaction

“The new research should not really be a surprise, as there has been a lack of joined up thinking in the sector for many years now,” says Sean Hooker, head of Property Redress.

“Despite the setting up the tenancy deposit schemes back in 2007 and making redress for letting agents and property managers mandatory in 2014, there was always the gap of the equivalent service for landlords.

“A remobilisation of the resolution service idea and the rapid introduction of a gateway, possible using the one designed and built by the TDS Charitable Foundation themselves would be a massive step forward.”

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