As a landlord, you have two primary tools for ending a tenancy under the Housing Act 1988: Section 21 and Section 8, each serving different purposes. Understanding when to use these notices can help resolve issues such as unpaid rent, property disrepair, or the need to reclaim the property for redevelopment.
Find out more about the key differences between Section 8 and Section 21 Notices, and explore which one might be right for your situation.
If you’re a tenant or landlord in the UK, you may be familiar with Section 21 notices, often referred to as ‘no-fault evictions’. A Section 21 notice allows landlords to end an assured shorthold tenancy without needing to provide a specific reason. This gives landlords the option to regain possession of their property once the fixed term of the tenancy has ended, or during a periodic tenancy, as long as the correct process is followed.
A Section 21 notice cannot be served within the first four months of a tenancy, and landlords must give tenants at least two months’ notice before they are required to vacate the property.
However, tenants can sometimes challenge a Section 21 notice if the landlord has not met certain legal requirements. For example, a Section 21 notice is only valid if the tenant is on an assured shorthold tenancy. If the tenancy doesn’t meet this condition, the notice can be disputed. Another common issue arises when the landlord has failed to correctly handle the tenant’s deposit. The deposit must be protected in a government-approved tenancy deposit scheme, and if this hasn’t been done, or wasn’t done within the required timeframe, the notice can again be challenged.
If a tenant was to challenge a Section 21 notice on the above grounds, it would involve standard possession proceedings, usually at your local county court. A judge can either grant an outright possession order, setting a ‘date for possession’ or can dismiss the possession claim. This means the tenant can remain in the property, and the landlord must rectify the issue before serving a new notice. These protections ensure that tenants’ rights are upheld, and landlords must carefully follow all legal requirements to avoid complications.
It is important to note that there are important nuances and requirements to be considered before pursuing a Section 21 notice that would need to be considered. However, to be put simply:
For landlords, Section 21 notices are often an attractive option because of their simplicity and the limited grounds on which a tenant can defend against them. Unlike other eviction processes, landlords do not need to provide a specific reason for ending the tenancy, making it a more straightforward method to regain possession of their property which also does not require a fault on behalf of the tenant.
Section 21: An Accelerated Possession Order
An accelerated possession order is a streamlined way for landlords to regain possession of their property if tenants have not left by the date specified in a Section 21 notice. It’s an option for landlords who are not claiming rent arrears, making it a quicker alternative to the standard possession procedure.
One key point to note is that fixed-term tenants cannot be evicted until their tenancy has ended. If you’re looking to claim rent arrears, you’ll need to either go through the standard possession procedure or use the accelerated process to regain your property first and then file a separate claim for the rent owed.
Unlike Section 21 ‘no fault evictions’ a Section 8 notice are ‘fault-based’ evictions. This means the landlord must satisfy one of the 17 statutory grounds for eviction.
The most common grounds for an eviction are rent arrears, persistent late payment of rent, breach of tenancy agreement, property damage, anti-social behaviour and the landlord wanting to live in the property. There are certain thresholds required for each ground, for example:
Section 8 notices can be issued on mandatory or discretionary grounds. Mandatory grounds for possession, such as significant rent arrears or repossession by a mortgage lender, mean that if the court agrees the grounds are met, the eviction is almost automatic. In contrast, discretionary grounds give the court more freedom to decide whether an eviction is justified, taking into account the tenant’s circumstances. For example, if a tenant has caused damage to the property (Ground 13) or has been persistently late with rent (Ground 11), the court can weigh these factors before making a decision. This flexibility increases the chance of the tenant successfully challenging the eviction.
A Section 8 notice allows landlords to seek possession of a property when tenants have breached the terms of their tenancy agreement, providing an option to terminate a tenancy before the contract ends. Unlike Section 21, which does not require any reason for eviction, Section 8 relies on specific grounds for possession. These notices can be issued for reasons such as unpaid rent, property damage, or anti-social behaviour.
While Section 8 offers landlords an avenue for dealing with problematic tenants, it’s important to be aware that the court’s discretion on many grounds can lead to longer, more contested proceedings, especially for discretionary cases. Additionally, landlords can combine multiple grounds, both mandatory and discretionary, on a single notice, such as listing severe rent arrears under Ground 8 alongside Ground 11 for persistent lateness in payments. However, if tenants manage to partially repay rent, it can shift a mandatory ground to a discretionary one, complicating the eviction process.
Given the complexity of Section 8 and the potential for disputes, landlords should carefully consider which grounds they are relying on and seek legal advice to ensure compliance with the necessary requirements to avoid delays and additional court costs.
For tenants, Section 21 notices, often known as “no-fault evictions,” can feel unfair, as they allow landlords to regain possession of a property without providing a specific reason. Due to increasing scrutiny and the politicisation of these evictions, it is likely that Section 21 notices will be abolished under the proposed Renters’ Rights Bill. This has been a topic of debate since the government first announced plans to abolish Section 21 in 2019. With the new Labour government confirming the decision to overhaul the private rented sector, the removal of Section 21 is expected to form part of the legislative agenda.
If Section 21 is abolished under the Renters’ Rights Bill, landlords will no longer have the ability to evict tenants without providing a valid reason. Instead, they will need to rely on Section 8 of the Housing Act 1988, which requires specific grounds for eviction, such as rent arrears, anti-social behaviour, or serious breaches of tenancy agreements.
The abolition of Section 21 could bring greater security for tenants, as they will no longer face the threat of arbitrary eviction. However, it may also lead to an increased reliance on Section 8 evictions. This shift is expected to make the eviction process longer and more complex, as landlords will need to provide solid evidence for eviction and go through court proceedings, which may result in higher costs and longer timelines.
The Renters’ Rights Bill may introduce new grounds for eviction under Section 8, such as a mandatory ground for possession if landlords intend to sell the property, or for tenants who have fallen into more than two months’ rent arrears three times within three years. Additionally, all tenancies will transition to periodic tenancies, which will only end if the tenant chooses to leave or if the landlord can provide a legally defined reason for possession.
This change could lead to short-term increases in evictions as some landlords seek to remove tenants before Section 21 is officially repealed. In the long term, landlords may become more cautious in selecting tenants, potentially making it harder for some renters to secure housing. With some landlords leaving the private rental market, the availability of rental properties could decrease, leading to higher rents. Additionally, the courts may face additional strain from an increased number of possession claim cases requiring hearings, further delaying the eviction process.
The Renters’ Rights Bill is currently in its report stage as of November 2024, with the legislation anticipated to become law by spring 2025. As this important legislation progresses, we encourage all landlords to stay informed about these upcoming changes.
If you would be interested in discussing this topic further or have an existing legal query, feel free to get in touch with us by telephone at 01273 447 065 or fill out an enquiry form.
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