Over 30 MPs are set to support an amendment to the upcoming Renters’ Rights Bill, which will see the introduction of rental caps.
Tomorrow, Tuesday 14th January, MPs will debate and vote on amendments to the Renters’ Rights Bill for the final time.
The Bill contains a number of major reforms of the private rental sector, including ending ‘no fault’ Section 21 evictions, increasing eviction notice periods under new no fault grounds from two to four months, banning rental bidding wars and introducing a new Landlord Database.
The Government has also recently tabled an amendment to limit the amount of rent a landlord can demand in advance to one month’s worth.
According to the Office for National Statistics (ONS), average private rents in England increased by 9.3% in the 12 months to November 2024, far outstripping wage growth.
Meanwhile, research by the housing charity Shelter found nearly two-thirds of workers living in private rented housing in England struggle to pay their rent.
More than 30 MPs are set to support an amendment, tabled by Labour MP Paula Barker, to introduce within tenancy rent caps, meaning landlords wouldn’t be able to raise rents on their tenants above the Consumer Price Index level of inflation or wage growth, whatever is lower.
Ben Twomey, chief executive of Generation Rent, welcomed the Bill but made clear it needs to go further to address the cost of renting crisis.
He said: “Everyone needs a safe, secure and affordable home, but for private renters it can be snatched away only too easily.
“The Renters’ Rights Bill, which will abolish ‘no fault’ Section 21 evictions, is therefore positive for renters across England. Meanwhile, putting a stop to landlords demanding more than a month’s rent in advance will help many renters avoid falling into debt and poverty.
“But renters across the UK are facing soaring rents which are far outstripping our earnings. Despite this, there are very few measures in the Bill to give us the breathing space we need from the cost of renting.
“We hope the Government at least brings forward the amendment to introduce rent caps within tenancies to limit how much landlords can hike the rent on their tenants. Without this measure, many landlords will use rent hikes as a Section 21 eviction in all but name.”
He concluded: “In the long-term, the Government must act to stop runaway rents and unfreeze the Local Housing Allowance rate to protect families on low incomes from poverty and homelessness.”
