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Renting Homes Wales Act 2016 – Converted Contracts

Many landlords with rental properties in Wales are currently grappling with the new regime imposed by the Renting Homes Wales Act 2016 which came into force on 1 December 2022.
renting homes act

Many landlords with rental properties in Wales are currently grappling with the new regime imposed by the Renting Homes Wales Act 2016 which came into force on 1 December 2022.

The most recognisable change introduced by the Act is that occupation contracts, which have replaced tenancies, require a 6 month notice period to be given to a contract-holder who is to be evicted on the ‘no-fault’ basis.

Some landlords may not be aware of the transitional arrangements for contracts signed prior to the 1 December 2022 that, in certain cases, vary the applicable notice period.

On 1 December 2022, existing tenancies automatically converted to occupation contracts. If immediately before the 1 December 2022 the tenancy was a periodic tenancy then it converted to a periodic standard occupation contract. Similarly, if immediately before the date of the Act coming into force the tenancy was as a fixed term tenancy it converted to a fixed term standard occupation contract.

For converted periodic occupation contracts, a 2 month notice will continue to apply after 1 December 2022 in respect of ‘no-fault’ notices. This period will increase to 6 months from 1 June 2023 which is the end of the information provision period.

The position in respect of ‘no-fault’ notices for converted fixed term occupation contracts is that it can be brought to an end in accordance with the notice period provisions of the pre-existing tenancy agreement provided a minimum two month notice period is provided.

It is important for landlords to review the position of their tenancy agreements immediately before the implementation date in order to determine whether the transitional provisions apply.

Contact us for further advice on 01792 468684 or email enquiries@pgmsolicitors.co.uk.

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