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Section 13 is for landlords who want to put up rent for a tenant in a periodic term of their tenancy agreement.
Landlords can only issue a Section 13 rent rise if an assured shorthold or assured tenancy is in place.
Like Generation Rent and ACORN, tenant pressure groups expect landlords to issue more Section 13 notices when the government carries out a manifesto and Queen’s Speech promise to abolish Section 21 no-fault evictions.
The lobby groups argue that landlords will lose the leverage of threatening a no-fault eviction if the tenant does not agree to a rent increase, so they will resort to Section 13 to force the rise.
Section 13 refers to Section 13 of The Housing Act 1988
Landlords must serve a correctly completed form on tenants renting with an assured shorthold tenancy or an assured tenancy.
Besides asking for the tenant and landlord names, addresses and contact details, the form details the proposed new rent to replace the current rent.
Landlords must also confirm the increase date after February 11, 2003, when the housing minister of the time launched regulations updating Section 13.
The start date of the new rent is also needed.
If the landlord is paying council tax for water or service charges, these costs are displayed on the form, too.
The landlord signs the notice or an agent on their behalf.
If the tenant does not accept the increase and refuses to discuss the rise with the landlord, they should take legal advice or seek guidance from a consumer service. The tenant must take the case to a rent tribunal to contest the rent.
Resorting to a Section 13 notice is not the only way landlords can increase rents.
Some assured tenancy agreements have a rent review clause, even if the tenancy is fixed-term.
For example, if a tenant has a 24-month fixed-term agreement, the clause can set a £750 a month payment for the first 12 months and rent of £800 for the second 12 months.
Alternatively, landlords and tenants on good terms can agree to a rent rise by drafting a written document that both sides sign and date. The agreement should clearly state the address of the property, the new rent, and the date the arrangement starts. Both sides should keep a signed copy of the agreement.
Subscribers can download a free section 13 notice completed on-screen with helpful guidance for each entry.
Click here for guidance on completing and downloading section 13 from our website.
The minimum notice a landlord can give depends on the frequency rent is paid.
The rules covering the service of the form are strict.
If there is no written tenancy agreement, there’s no fixed term. This means the notice can’t be served for a year after the contract started.
Landlords cannot serve the notice during a fixed term; after the fixed period ends, they can do the notice once in 12 months.
The new rent takes over from the current rent on the first day of a rental period.
A tenant paying rent on the first day of each month will pay the increased amount on the first of the month from the date set in the notice.
The form comes with guidance notes, but some landlords still make mistakes in completing or serving the document.
Serve the notice by post or hand.
The tenant accepts the new rent if they:
or