Helpful Tips Calum Davies 08/06/2021

Make your voice heard in new Welsh tenancies consultation

In this final blog in a series focusing on the new kind of tenancy agreements being brought in next year by the Welsh Government, the NRLA explains what a supplementary term means in these agreements will mean and how landlords use them.

When the landmark Renting Homes Act is brought into force next spring, along with new property safety standards and possession regime, the nature of tenancy agreements in the Welsh PRS will change. Indeed, they will no longer be called this, but model occupation contracts (MOC).

Supplementary terms

Supplementary terms deal with more practical matters which help to make the contract work, such as a contract-holder’s requirement to pay rent or a landlord’s right to access to the dwelling. When drawing up the contract, the landlord and contract-holder can agree to modify or omit any of the supplementary terms. They can be modified to benefit either the landlord or the contract-holder, while changeable fundamental terms can only be altered to the advantage of the latter.

Any changed or omitted terms must be identified in the contract, so contract-holders are aware which clauses were previously present or what they looked like before modification.

There are also additional terms which are any express terms of the contract other than terms addressing the key matters, the fundamental terms, or the supplementary terms. An additional term of an occupation contract which is incompatible with any of those other terms has no effect. Additional terms are agreed between the landlord and contract-holder and would be included in an occupation contract to address issues specific to that contract such as the keeping of a pet.

The draft MOC can be read on p.46 of the consultation document (read below), with the details on which can and cannot be modified here.

You can also read the first and second blogs in this series on MOC for more information. With a year to go until the Renting Homes Act comes into force, the NRLA will ensure landlords are informed about all changes that face the Welsh private rented sector.

Call to action

The NRLA is urging landlords to respond to a Welsh Government consultation on the MOCs. This closes on 16 June 2021 and can be responded to here.  To ensure the NRLA’s response reflects what landlords think of the regulations, we are seeking your views on the proposals and ask that you take our short survey.