Industry News Sam Hunter 13/10/2023

Welsh Government announces amends to Renting Homes Wales Act

The Welsh Government has published draft legislation that changes the terms of converted contracts and any renewals that replace them. 

They close off a number of regulatory grey areas that could potentially cause issues for landlords during court proceedings. 

The new legislation means that the original converted contract terms should be provided by May 31st 2023 and any renewed terms agreed already should be provided by June 14th 2023.

If there has been a change in the identity of the contract-holder between December 1st 2022 and May 31st 2023, the landlord must provide a copy of the written statement to them by June 14 2023.

After June 1st, if a new contract replaces a converted contract, you will have 14 days from the start of the contract to provide a written statement. This allows landlords to safely renew their contracts after this date without facing penalties and makes it easier administratively as these contracts are largely indistinguishable from standard contracts.

This news follows the introduction of the Renting Homes Wales Act on 1 December 2022, which requires that all existing assured shorthold tenancies and licences in Wales should be converted into occupation contracts.

The Welsh Government’s announcement means that landlords will now be able to work towards a firm deadline as regards ensuring their contracts are compliant with the Renting Homes Wales Act’s key requirements in this area.

Ben Beadle, Chief Executive at the National Residential Landlords Association, said:

“This announcement provides some much needed clarity for landlords on when they need to meet the obligations set out in the Renting Homes Wales Act. 

“Above all, it means that landlords now have a level of certainty with respect to the timeline they can now work towards over the coming months.

“However, all of this confusion and subsequent tweaking to regulations was totally avoidable. The Welsh Government should have listened to the concerns of industry stakeholders properly and in our view, much more needs to be done by the Welsh Government to restore the confidence of landlords, which has been badly damaged by the botched roll-out of these reforms.”

To find out more about the relevant amendments to Section 12 please click here.

NRLA Renting Homes (Wales) Act resources for members

If you are a landlord who would like to learn more about how these changes will work in practice, click here to access more details.

The NRLA runs a Renting Homes (Wales) Act training course for landlords. This is an approved course and covers everything landlords need to know about the legislation. Designed to help landlords understand all their obligations, members can access the course at a discounted rate. The next eClassroom date for this course is 6th June 2023, followed by 28th June. Browse all upcoming dates and book now.