Exclusive: Tenants making more use of rent repayment orders than local councils in first year of new powers

Tenants have made more applications for rent repayment orders (RRO) against their landlord than local authorities in the first year of new powers that allow renters to initiate RROs, an EYE freedom of information request (FOI) has revealed.

Previously, only local authorities could start RRO proceedings to recoup rent paid via housing benefit or universal credit from landlords, but these powers were extended to tenants in April 2017 under the Housing and Planning Act 2016, letting them apply to recoup up to 12 months of their own rent.

EYE issued an FOI to the Ministry of Justice to ascertain how much these powers were being used.

The Government department revealed that 48 applications for RROs were made by tenants between April 2017 and the beginning of March 2018.

Of these 48, only 13 were approved, with the main reasons for approval concerning a failure to comply with a prohibition order or due to unlicensed houses in multiple occupation.

In contrast, 14 applications were received from local authorities between 6 April 2017 and the beginning of March 2018, down from 36 a year before.

The response did not reveal how many local authority applications for RROs were approved.

Local authorities and tenants can apply for an RRO if they can prove to the Residential Property Tribunal beyond reasonable doubt that a landlord has committed one of the offences below:

  • Violence for securing entry
  • Eviction or harassment of tenants
  • Failure to comply with improvement notice
  • Failure to comply with prohibition order
  • Control or management of unlicensed HMO
  • Control or management of unlicensed house
  • Breach of banning order

It comes as Richard Tacagni, managing director of landlord regulation consultant London Property Licensing, warned tenants are becoming more aware of their powers.

He said: “In my experience, very few people understand the risks associated with rent repayment orders.

“Any landlord can face having to repay up to 12 months’ rent either to the council or to the tenant.

“While councils can only claim back rent that has paid via housing benefit or universal credit, private tenants can apply for a rent repayment order if they have paid the rent themselves.

“It is something tenants are becoming more aware of and the sums involved can soon mount up – potentially tens of thousands of pounds.”

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One Comment

  1. Flat Justice

    We have reviewed recent Rent Repayment Order decisions in cases brought by tenants under to HaPA 2016 legislation in the London area. The decisions are not available online but were requested by Flat Justice directly. A review of these and other RRO cases can be found on our blog here:

    https://www.GetRentBack.org/blog/

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