ARLA raises concerns over protection of tenants in ‘exceptional hardship’

David Cox, managing director of ARLA, will this morning be giving evidence before the Welsh Assembly on its Renting (Homes) Bill.

Also appearing will be the RICS.

Cox says that the Welsh Bill is about 12 months further down the line than similar moves in Scotland.

ARLA has already made a response on the Welsh Assembly Bill, which includes a proposal to protect tenants who are in “exceptional hardship”.

Cox says that this term is likely to “fundamentally change possession proceedings and cause unprecedented uncertainty.

This is because nearly all tenants who are in rent arrears could be reasonably termed as suffering hardship, whilst the prospect of losing their home would push them into ‘exceptional hardship’.

“ARLA is keen to see this term removed from the legislation, as if a landlord is unable to evict a tenant who is not paying their rent because of this provision, the landlord could face the prospect of repossession of their property by the mortgage provider, as the landlord may not be able to make the repayments themselves.

“The provision is therefore open to potential abuse by tenants, no-win, no-fee lawyers, and local authorities, leading to a situation where landlords are unable to remove their tenants despite the fact that they are in serious arrears.”

As in Scotland, the Welsh Assembly has devolved rights over housing.

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