Rent rise fears as legislation comes into force
BBCConcerns over the "unintended consequences" of new legislation designed to protect rental tenants have been raised by landlords and estate agents.
The Renters' Rights Act, which came into force across England and Wales on Friday, includes measures such as banning no-fault evictions and aims to redress the balance between tenants and landlords.
Some people looking to rent properties in south-west England have welcomed the act, saying it could be a "game-changer" for tenants.
However, industry representatives have expressed fears around the legislation as they are worried it could lead to higher rents and landlords selling up.
Section 21 notices, also known as "no-fault evictions", can no longer be issued under the new law.
Landlords can only end a tenancy for a specific legal reason, including a tenant not paying the rent, behaving in an anti-social way or if they want to move in or sell the property.
The changes have also brought an end to fixed-term tenancy contracts and clearer rules on having pets in rental properties.
Yui Mok/PA WireRuth Clarke, chairwoman of Cornwall Residential Landlords Association, said 200 members had sold up since the act was proposed three years ago.
"I think there's going to be a lot of unintended consequences," she said.
"I'm worried that tenants are going to find rents rising faster than they can afford.
"People are going to find it more difficult to find somewhere to rent that they can afford initially and many landlords are not trained up ready for the act."
Jonathan Start, partner at Start & Co Estate Agents in Newquay, said there had been a reduction in the supply of rental property in the private sector because "it has scared away new landlords".
"It's sped up other landlords' decisions to get out of the market," he added.
"So, consequently we've got suppliers dropping, demand is still increasing and that's a negative effect on the market."
Obadiah Light, a renter from Newquay, said the legislation would be beneficial for prospective tenants.
Light found himself homeless in 2023 and was searching for accommodation daily while living in a van - but said he did not meet most private landlords' criteria.
He said he had not been able to find a property due to being on benefits - something outlawed by the new legislation.
"You generally had to earn £24,000 after tax to even be considered - so £30,000," he said.
"That pushes you way out, especially if you're on benefits.
"There's very legitimate good honest people who receive benefits - to have that discrimination lifted and give them a chance I think is absolutely a game-changer".
Emma Hookway, who runs a Facebook page to help people find rental accommodation in North Devon, said she thought the changes would stop "a lot of people wanting to become landlords".
"I think it's a good thing people will be allowed to have a pet, but maybe for some landlords that might not be such a good thing," she said.
"At the moment there's no incentive to be a landlord.
"I think it's going to drive affordability through the roof."
The act is a flagship Labour policy and the government has committed to keeping the long term effects of the legislation under review.
The Conservatives have criticised the act, saying while they supported reform after initiating the bill when they were in government, Labour had not got the balance right and it would drive landlords out of the sector, leading to rent increases.
The Lib Dems are largely supportive saying they have long called for an end to no-fault evictions.
The Green Party are also in support but added they would go further still and introduce rent caps.
Reform UK are opposed to the act, saying it is already causing landlords to sell up in droves.
