Announcement

New repossession rules to protect tenants from being booted out without notice

This news article was published under the 2010 to 2015 Conservative and Liberal Democrat coalition government

Housing Minister Grant Shapps has today welcomed new rules which mean that tenants will no longer live in fear of being booted out of their …

Housing Minister Grant Shapps has today welcomed new rules which mean that tenants will no longer live in fear of being booted out of their home with little or no notice.

Before today, if a landlord has not been given consent to let out their property from their lender, and later faces repossession action, the tenants could be left vulnerable since the courts were unable to take account of their circumstances and many were placed in the distressing situation of being given very short notice to find a new place to live.

But new rules, coming into force today, mean that tenants will for the first time be able to attend the court hearing, and judges will be able to take their situation into account and delay repossession by up to two months to give them more time to find a new home.

Guidance published today makes clear the rights these tenants have when their landlord faces repossession action, but also sets out the steps lenders must take. These changes come as part of the Mortgage Repossessions (Protection of Tenants etc) Act 2010.

Housing Minister Grant Shapps said:

Of course all landlords should get permission from their lender before renting out their home. But when landlords don’t, and they face the real prospect of repossession, their tenants should not be left worse off than any other tenant as a result.

That’s why I backed the Mortgage Repossessions Bill last year so tenants can have their voices heard in court, and can get enough time to find a new place to live.

As with all homeowners, I expect lenders to seek repossession only as a last resort. But where action is being taken against a landlord, their tenants must get a fair amount of time to find themselves a new home.

Notes to editors:

  1. Guidance to the Mortgage Repossessions (Protection of Tenants etc) Act 2010 is published today and can be found at: www.communities.gov.uk/publications/housing/mortgagerepossessionguidance

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