In a literally last minute move, and as the industry entered an era of huge change, the Government waited until 60 seconds before the fees ban came in before it issued the final and vital paperwork.
It published the correct prescribed legal form in relation to serving Section 21 at one minute to midnight on Friday – 60 seconds before the fees ban became law, and one minute before the new form 6a became the mandatory form of Section 21 notice.
The new How to Rent guide was itself issued only hours earlier on Friday afternoon. ARLA was able to notify its members at about 4.30pm, having been in contact with the Ministry for Housing, Communities and Local Government throughout the day.
At that point there was no new form 6a, with ARLA issuing advice to its members at about 8.30am on Saturday that it had been finally issued.
Such to-the-wire publication may mean that a number of agents are still unaware that there is a new How to Rent guide and a new Section 21 legal form which must be used.
How to Rent guides are regularly updated and the latest version must always be served to new tenants and those who renew their tenancies. If the latest version is not given to tenants, then a Section 21 notice cannot be served or may be invalidated.
The new Form 6a specifies that a Section 21 notice cannot be served if a prohibited payment has been taken from a tenant, under the new Tenant Fees Act.
The Ministry for Housing, Communities and Local Government has given no explanation as to why the new How to Rent guide was issued so late, and why the new Section 21 form was not released until 11.59pm on Friday night.
The lateness of publication means that a number of agents may not have not been able to update their software systems and it will also have put pressure on software providers.
Meanwhile a statement from Housing Secretary James Brokenshire on Saturday said that the ban would save renters across England £240m a year, with Brokenshire saying that tenants would no longer be “stung” by unreasonable costs from agents and landlords.
As ARLA chief executive David Cox put in a busy weekend on media, the organisation made no secret of its feelings about the lateness of the paperwork.
ARLA said: “We continue to make the Ministry of Housing, Communities and Local Government aware that updates must be rolled out well in advance of legislative changes.”
The latest How to Rent is at the link below and this is the version that must now be served.
There still appears to be reference to NALS, which last week changed its name to safeagent – suggesting that yet another new update will be needed very soon.
There is also ARLA guidance here:
https://www.arla.co.uk/news/may-2019/updated-versions-of-how-to-rent-guide-and-form-6a/
Finally, agents should also note that on Saturday, TPO’s updated Codes of Practice became effective. The changes are substantial and take in the Tenant Fees Act among a range of updates.
Reading,Reading and more Reading, happy Reading!! 🙂
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James brokenshire should resign being the minister overseeing this.
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I think he has other things on his mind now
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Absolute clowns
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Another example of this shambolic government wrapping us in ever more red tape – despite promising business in their election manifesto that business would be freed of the red tape imposed by Labour. We are being ruled over by a load of monkeys. Remove the peanuts!
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The government take away 20% of our income, increase our workload… how do they see the tenant gaining from this? Everyone will lose, some landlords sell up, creating higher demand for rental properties, rents increase, agents go out of business, the rental market falls on its knees… tenants have no where to live as rents are too high, I think the government have just made the biggest mistake ever! Landlords provide a vital service to people who are unable to buy their own property, and there are lots that cant for various reasons. Good ARLA agents provide a good service professional experienced staff, internet advertising portals and high street offices are not cheap, how are we expected to survive?
If a tenant has never paid an agent a fee, they are no longer a client! How can they expect redress if something goes wrong, as we have never charged them for our services? Food for thought!
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I’m interested in your final paragraph…couldbyou expand, please?
I suspect the answer lies in the technical legal terminology of ‘redress’ and definition of ‘client’.
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Very good point, the landlord is your only client and any loyalty to the tenant has disappeared in a puff of administrative smoke.
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You are being paid to deal with the tenant via your landlord.
I dont think a loyalty to the tenant has ever existed only to act in a professional manner and treat them fairly and in accordance with your redress scheme rules
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The tenant was never the client hence the furore around tenant fees however agents do have a morale obligation to look after the tenant. Some of my tenants have gone on to be landlords and also recommended me to friends and family that have investment properties.
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The new form 6A comes with typos
and the HTR Guide issued on the 31st May 2019, only states May 2019, so it will need be served on all tenancies that commenced in May (either a brand new, renewal or a stat periodic tenancy) to be 100% safe.
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The ‘changelog’ shows 31st May 2019.
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agree, but thats easy to remember now, but not so easy in a years time or when you are in front of judge
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It’s permanently on the .gov.uk page along with all the other release dates.
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Of course we had prepared everything for move ins first thing Saturday by close of business Friday. Thaaaaannnnks gov…
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So……… “New tenancies” assuming that those executed after 1st June? what about tenancies executed before 1st June but not starting until after 1st June……..what a total shambles!
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Why complicate things, you knew the changes were coming so why didnt you just use 1st June compliant agreements for all new tenancies with a start date after the 1st even if the let was agreed beforehand. I have seen agents putting pressure on tenants to sign agreements early just so they could include the fees for the next 12 months. No wonder the public look on the industry with distain
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The leases are here to protect the landlords too, what about all the damage tenants do to there properties due to a can’t be bothered attitude.
I:e. These tenants professionals, Nurses, Accountants, Plumbers ect which do not inform us of items they broken.
i.e some tenant replace items as they dare not tell the agent they broken a sink, T.v, uPVC door.
It’s only found out in check out, when your photos taken are checked and you can see there is items which are not the same.
The amount of many times we have inspected a property and the tenants never reported any issues/ maintenance/ leak/ ect
A Ban on fees is just not the way forward, now we have a lot of people applying which are not suitable, and loads of admin work increase by 20% just to iron out the tenant which are not able to meet the standards of the let.
( This is in just a week after the BAN)
Where is the support for us the agent, we provide employment, we provide 247 service, tenant demand to speak to an agent out of office times more than any Landlord.
As tenants do not pay for anything now, not even the costs of a guarantor. Why is it the landlords fault they failed referencing due to income too low or a CCJ for £120 pounds due to a mobile phone bill.
Yet they will need a guarantor and Landlord Foots The Bill ?
What a Joke this is
(why’s are the landlords punished for provided a property)
What would happen if all the landlord thought enough is enough and sell up.
RANT OVER
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Who gives a sh** do what you need to, there is no one out there to enforce it!!!
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