Agent pleads for fixed-term tenancies in renters reforms

A letting agent in the South of England is spearheading a campaign to include fixed-term tenancies within the Renters (Reform) Bill rather than the ‘open ended’ tenancies that are currently being proposed within the draft renting legislation.

Currently, when a fixed-term tenancy ends, it is automatically replaced with a periodic tenancy unless the original tenancy is terminated. But the Renters (Reform) Bill is set to replace the current assured shorthold tenancy (AST) with an open-ended or indefinite tenancy.

Des Simmons (main picture), MD of Bournemouth agency Bournecoast, wants to see a balanced approach that empowers both landlords and tenants to make informed choices that align with their individual needs.

MUTUAL AGREEMENT

The Neg reported yesterday how a group of 40 Conservative backbenchers have signed proposed amendments to the Renters (Reform) Bill, one of which would allow fixed term tenancies to be retained where there is ‘mutual agreement’ between tenant and landlord.

The amendments were tabled by Conservative MP Anthony Mangnall and also include proposals to allow ‘hearsay’ evidence to be used in evictions over antisocial behaviour; delay the bill’s implementation indefinitely; require renters to live in a property for a minimum of six months before they can leave and abolish council licensing schemes intended to drive up standards.

Simmons says: “The Renters (Reform) Bill, a landmark piece of legislation aimed at addressing the challenges within the rental housing market, has the potential to reshape the landscape of tenancy agreements.

“While recognising the importance of providing security of tenure for tenants, we are emphasising the importance of offering flexibility through fixed-term tenancies when mutually agreed upon by both landlords and tenants.”

LANDLORD PLANNING

As well as tenant flexibility Simmons wants to see ‘landlord planning’ so they benefit from the predictability of fixed-term tenancies on necessary occasions. He also thinks fixed-term tenancies should only be permitted when both landlords and tenants mutually agree.

Simmons adds: “Fixed-term tenancies provide a valuable middle ground that allows landlords to plan for the future and maintain a stable income stream, while affording tenants the flexibility to choose the duration of their stay when necessary.

“This approach encourages a positive and collaborative relationship between landlords and tenants, fostering a more stable rental market.”