Renters’ Rights: Warning issued on the capital’s courts

Boosting court capacity across London is vital if the Renters’ Rights Act is to succeed, NRLA chief executive Ben Beadle has warned this week.

Addressing the Greater London Authority (GLA) Housing Committee Ben said the widespread changes coming in under the Act will demand a ‘functioning and timely’ court system if they are to succeed, with the framework increasingly relying on fault-based grounds.

During the session, focussed on the implementation and monitoring of the Renters’ Rights Act in London, he stressed we are keen the reforms are introduced as smoothly as possible for landlords and tenants – but that the potential impact on the sector should not be underestimated.

Court capacity

He said that without meaningful reform the court system risks failing those it is designed to protect, arguing landlords’ ability to comply will depend in part on factors outside their control, particularly court capacity and court reform, something you can read more about here.

Impact on supply in London

The supply of homes in the capital emerged as a recurring theme throughout the session, and with the number of PRS homes down across London.

Ben explained the new regulations could exacerbate the issue if not carefully handled, telling the committee: "We're already seeing a reduction in supply in London, which is why I think we have to tread very carefully.

"What I, I see really is a real downer on the private rented sector and on the individual investor that wants to provide housing and some sort of a fanciful kind of panacea of social housing that I'm not sure ever is going to be realised, even though it's a good idea,  particularly with the quota being reduced in London because it's costing a huge amount.

"The money to build those homes simply isn't there. And that's why any form of regulation, it needs to be executed with pragmatism.” 

He said it is essential reforms strike a balance between improving standard and maintaining confidence among those willing to invest in the sector, and said the Greater London Mayor Sadiq Khan could play a constructive role by recognising the importance of new housing supply and supporting a private rented sector working in partnership with local and regional government.  

Licensing and enforcement

With the Renters’ Rights Act creating a national database, broad selective licensing could serve to increase costs without improving standards.

Ben argued licensing alone doesn't measure property quality; a comprehensive approach with enforcement, clear policies, and collaboration with the private sector is needed. 

Closing his session, Ben warned any continued disinvestment from the PRS will have wider consequences. Supporting a sustainable, well-regulated private rented sector is therefore essential to maintaining a functioning housing system for London as a whole. 

 To watch the evidence session back click here or you can watch a clip below.