Rent setting and regulation
Produced in partnership with Morayo Fagborun Bennett of Hardwicke Chambers
Rent setting and regulation

The following Local Government practice note produced in partnership with Morayo Fagborun Bennett of Hardwicke Chambers provides comprehensive and up to date legal information covering:

  • Rent setting and regulation
  • Private sector tenancies
  • Rent Act tenancies
  • Formula rent
  • Assured and assured shorthold tenancies
  • Public sector tenancies
  • Reduction in social housing rents
  • Increase in social housing rent

Rent setting and regulation

The level of rent which a tenant must pay is determined by the tenancy agreement between the landlord and the tenant and which governs the legal relationship between them.

Many tenancy agreements make provision for the rent to be increased during the lifetime of the tenancy, particularly if the landlord and tenant envisage the tenancy lasting for some time. On the other hand, if the tenancy is intended to be for a short period of fixed duration (as is the case with many assured shorthold tenancies) the rent may be fixed at one level for the duration of the fixed term.

Precisely how the level of rent payable is fixed and what rights the landlord and tenancy have regarding rent increases depends on the type of tenancy. The main types of tenancy and the applicable legal rules governing the setting of the rent are addressed in turn below.

Private sector tenancies

Rent Act tenancies

What is a Rent Act tenancy?

Most private sector tenancies today are assured or assured shorthold tenancies under the Housing Act 1988 (HA 1988). Private sector tenancies which were granted on or after 15 January 1989 are subject to the HA 1988. The HA 1988 sought to end rent controls, which had previously been a feature of private sector tenancies. Some Rent Act tenancies continue which predate the HA 1988 and the legal

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