The number of rental disputes reaching property tribunals has reached a record high since the Renters' Rights Act was introduced. Analysis by Hamptons shows that property tribunals made 166 market rent decisions in July, a significant increase from 44 decisions in the same month last year.
Tenants initiated 60% of the cases heard in July, after the Renters' Rights Act took effect at the beginning of May. The Act abolished Section 21 'no-fault' evictions, which previously allowed landlords to regain possession without specific grounds.
Legal experts suggest that the Act has shifted the balance of power towards tenants by removing the threat of retaliatory evictions and eliminating the risk of backdated rent liability if a challenge is unsuccessful. This has reportedly empowered tenants to challenge proposed rent increases.
Despite the sharp rise in cases, tribunals are processing decisions more quickly. The average period between an application and a decision fell to 80 days in July, compared to 172 days in April. The Ministry of Justice has identified property tribunals as a priority area for recruitment.