King’s Speech Highlights: Key Updates for Property Law

King’s Speech Highlights: Key Updates for Property Law

On July 17, 2024, King Charles III delivered the Labour government’s inaugural King’s Speech to the House of Lords, outlining the new administration’s legislative priorities. Among the notable updates for property law, the speech highlighted significant changes affecting both renters and leaseholders.

Key Updates for Residential Property:

1.   Balanced Rights for Landlords and Tenants: The Labour government aims to create a fairer balance between landlords and tenants. The proposed Renters’ Rights Bill will enhance tenant protections and curb unfair practices:

◦       Stronger Tenant Protections: New measures will help tenants challenge excessive rent increases and prevent rental bidding wars.

◦       Pet Ownership: Tenants will have the right to request keeping pets, with landlords required to provide reasonable consent.

◦       Decent Homes Standard: The bill will apply a ‘Decent Homes Standard’ to ensure rental properties are safe and habitable.

◦       Awaab’s Law Application: Social landlord regulations for addressing health hazards will extend to private rentals.

◦       Digital Database: A new database will offer transparency and aid both tenants and landlords.

◦       Quicker Dispute Resolution: A new ombudsman will facilitate impartial, binding resolutions.

◦       Anti-Discrimination Measures: It will become illegal for landlords to discriminate based on benefits or children.

◦       Enhanced Enforcement: Local councils will gain new powers to tackle unscrupulous landlords.

2.   The bill will also phase out Section 21 ‘no fault’ evictions, with Section 8 being revised to provide landlords with broader grounds for possession.

3.   Leasehold and Freehold Reform: The Labour government is committed to enhancing protections for homeowners and leaseholders. Key elements include:

◦       Leasehold Reform Act 2024: Already in law, it strengthens leaseholders' rights and restricts new leasehold sales.

◦       Draft Leasehold and Commonhold Reform Bill: Expected reforms include improved rights for extending leases and managing buildings, restricting ground rents, and ending forfeiture for residential leaseholders.

As these bills are still in the early stages, we will keep you updated with further details as they become available. Stay tuned for more information on these crucial developments in property law.