Will tenants seek Rent Repayment Order from Reeves, despite agent’s apology?

Will tenants seek Rent Repayment Order from Reeves, despite agent’s apology?

Activist group Generation Rent is reminding tenants that if their landlord commits an offence, they could be entitled to a year’s rent repayment – and that will go up to two years once measures in the Renters Rights Act come into effect.

The Rachel Reeves controversy took another twist yesterday evening when the lettings agency in question apologised to the Chancellor. It said it had offered to help her with an application but had failed to do so.  However, Reeves was technically still in breach of her responsibilities and did end up committing an offence by letting the property unlawfully.

In a statement entitled ‘Reclaim your rent!’ Generation Rent says: “A Rent Repayment Order requires repayment of rent by a landlord or letting agent who has committed a specific renting offence against the tenant. These are mostly used when landlords need a licence but do not have one, something that is more common for large shared houses. 

“The new law adds six new offences which tenants can claim rent payments back for. Tenants will be able to claim back up to 24 months’ rent (instead of the previous 12) and have two years to bring claims, while superior landlords and company directors will also be held liable, closing off loopholes some have been exploiting to get around these payments.”

The statement was issued shortly before it became public by the Daily Mail that the Chancellor let out her family home in south London after Labour won the General Election in July 2024. It was let for £3,200 a month – equivalent to £38,400 over a 12 month period.

A Rent Repayment Order currently allows a tenant or local authority to reclaim up to 12 months of rent from a landlord who has committed a housing-related offence. The process can be lengthy – a tenant must apply to the First-tier Tribunal (or a Residential Property Tribunal) within 12 months of the offence and prove the landlord is guilty, although the latter test can be passed easily as Reeves has admitted the offence.

Generation Rent – which has a former Labour candidate, Ben Twomey, as its chief executive – has previously been outspoken in its condemnation of landlords who failed to obtain the appropriate licence. However, it has made no comment about the Reeves affair.

Elsewhere in its statement, the activist group describes the Renters Rights Act as merely “a vital first step towards addressing the power imbalance between tenants and landlords” adding “there is more to do, especially to bring down unaffordable rents.”

This article is taken from Landlord Today