LETS not bother; pilot flies wide; blow for estate agents
LANDLORDS’ LAMENT
The taxing Tenants Fees Act 2019 (see ‘Civil way’, NLJ 5 April 2019, p16) is brought fully into force on 1 June 2019 by commencement order SI 2019/857. Aimed at rogue landlords and their letting agents, it will hit even those of them who give to charity. It will also hit s 21 Housing Act 1988 notices (currently on death row, see p9 of this issue). No s 21 notice can be given so long as any unlawfully charged fee has not been repaid or unlawfully retained holding deposit has been returned. Some unpleasant surprises in store there for landlords, as the duty legal adviser raises a fatal breach at the possession hearing which had been expected to be a doddle. Practitioners who draft tenancy agreements from now on will need to be on top of the legislation. Initially, only lettings on or after 1 June 2019 will be caught, but after one year, prohibited payments then accepted will be hit even under earlier agreements subject to forgiveness
