The Welsh Government confirmed it will take effect from 1 June 2023. The six-month notice period already applies to new contracts starting from 1 December 2022.
Julie James MSP, Minister for Climate Change stated she is mindful that landlords have not had an opportunity to take the proposal into account in agreeing on new contracts prior to the announcement of the consultation.
These new Regulations were laid before the Senedd on 10 November 2022, which will be debated before the 2016 Act is implemented on 1 December 2022.
Propertymark's concerns for the PRS
In our consultation response, we outlined that we recognise the importance of security of tenure, especially for vulnerable groups. However, we raised caution about the lack of supply in the Private Rented Sector (PRS) and how it would drive more landlords to sell up and leave the sector. This could mean reduced housing options for the most vulnerable and increased rents for tenants who remain in the sector.
Objections raised on proposals to extend notice periods
Propertymark has strongly objected to the Welsh Government’s consultation proposal to extend the notice period required for converted periodic standard contracts, from two months to six months, under section 173 of the Renting Homes (Wales) Act.
The Welsh Government is commissioning an independent evaluation of the Act and acknowledge any change of this magnitude will inevitably involve some teething problems. We will continue to lobby and raise concerns about the reduced housing options in the PRS, ultimately putting pressure on local authorities to rehouse a larger pool of people from the reduced PRS supply.
We want the Welsh Government to work with the UK Government to reform Local Housing Allowance, scrap the Shared Accommodation Rate and ensure that Welsh local authorities allocate and use their full allocation of Discretionary Housing Payments to support renters who fall behind in rent and living costs.
Implementation of the Renting Homes (Wales) Act 2016
The Welsh Government has progressed with the implementation of the Act with the following regulations now made:
- Renting Homes (Rent Determination) (Converted Contracts) (Wales) (Amendment)
- Regulations 2022 Renting Homes (Wales) Act 2016 (Consequential Amendments to Secondary Legislation) (Amendment)
- Regulations 2022 Renting Homes (Fitness for Human Habitation) (Amendment) (Wales) Regulations 2022
- Renting Homes (Wales) Act 2016 (Consequential Amendments) Regulations 2022
- Renting Homes (Wales) Act 2016 (Saving and Transitional Provisions) Regulations 2022
Fact sheet: Fitness of Homes for Human Habitation in Wales (Inventory clerks)
Renting Homes (Wales) Act 2016 received Royal Assent on 18 January 2016 which provides additional obligations for landlords and letting agents around the condition of their properties. The Act comes into force from 1 December 2022.
