Peers in the House of Lords debated last-minute amendments to the Renters’ Rights Bill yesterday, as the legislation enters its final stages before becoming law.
However, a new survey by StuRents – a student accommodation platform – reveals widespread lack of awareness among student tenants.
Of more than 1,000 students surveyed:
According to the Higher Education Statistics Agency (HESA), there are over 2.9 million higher education students in the UK. The findings raise concerns about how effectively the incoming reforms will be implemented if a large proportion of student renters remain unaware of their changing rights and responsibilities.
The survey also found strong student support for flexible rent payment options — an arrangement the Renters’ Rights Bill is expected to ban, prompting further questions about how well the legislation aligns with the needs of student tenants.
When asked what would make the biggest difference to their student housing experience, 39% of the surveyed students stated that they would like flexible payment options; either monthly, termly or upfront. Ending tenancies with just two months’ notice (35.8%) and securing accommodation without the need for a UK-based guarantor (28.9%) ranked as the second- and third-highest priorities for students, followed closely by stronger protections against poor property conditions.
According to StuRents’ data, only 32.6% of students currently pay rent in monthly instalments. All other students (67.4%) currently pay either in termly instalments or the full tenancy upfront as many student property managers only offer these options.
The new legislation will cap holding deposits at one month’s rent, preventing landlords from requiring large upfront payments. Tenants may still choose to pay in advance, but landlords must refund any rent covering more than the two-month notice period. This will allow a level of flexibility in rent payments for students.
The National Union of Students (NUS) earlier this year stated that of the 60% of all students who need a UK-based guarantor, 40% had difficulty finding and securing one – a statistic that will likely increase under the new bill’s abolition of upfront payments which is often used as a substitute for a guarantor.
Although there are some mismatches between the Bill and students’ specific needs and concerns, the proposed changes could benefit student renters. For example, tenants will have the right to serve two months’ notice under periodic tenancies, giving students greater flexibility to end their agreements. Stricter rent controls and a ban on bidding wars are also expected to reduce competitive overbidding in the student market and help limit excessive rent increases.
Additionally, the Bill aims to raise living standards across the sector, addressing a key concern for 28.3% of respondents who cited poor property conditions, potentially giving students access to a wider selection of well-maintained homes.
While students could face increased difficulties with securing guarantors and adjusting to monthly rent payments, landlords are also likely to encounter increased costs due to changes in payment schedules. The shift to periodic contracts could disrupt the traditional student rental cycle: if a student leaves mid-year, it may be difficult to re-let the property until the next academic year. Additionally, landlords could become liable for council tax if a property remains vacant for three to four months.
The bill threatens to fundamentally disrupt the student HMO market, where the changes could have a significant knock-on effect on student letting behaviour, cashflow and student landlords deciding to leave the market.
Tom Walker, StuRents’ co-founder, said: “Our survey has highlighted a significant gap between the priorities of the Government and student tenants. Despite the Government’s intentions, there is an undeniable educational piece that needs to be rolled out, highlighting the new freedoms, protections and changes that this legislation is set to introduce for the benefit of tenants.”
He added: “With the Bill expected to take effect next year, it’s important that both students and landlords get up to speed, because those who understand the changes will be best positioned to navigate them, while those who don’t risk being left behind.”
Read the orginal article: https://propertyindustryeye.com/students-have-a-lot-to-learn-on-the-renters-rights-bill/
Peers in the House of Lords debated last-minute amendments to the Renters’ Rights Bill yesterday, as the legislation enters its final stages before becoming law.
