Update: Increased notice periods for evictions extended
Last week, both the Welsh government and Rent Smart Wales (RSW) confirmed that under the Coronavirus Act 2020, they will be retaining increased notice periods for evictions to the 31st March 2021, where previously the intention was to return to their pre-Covid position after 30th September 2020.
What does this mean for landlords?
Simply put, this means an increased notice period of 6 months will apply to all tenancies prior to gaining possession. However, Housing Minister Julie James AM outlined that there are exceptions to this in cases of anti-social behaviour and domestic abuse, stating that in these cases tenants can be given shorter notice periods with immediate effect, the same process as before Covid-19 regulations came into force.
Julie James also announced a pause on physical evictions leading up to, and during the festive period, as well as within any further local lockdown.
Further details, along with a formal announcement of these changes, will be made along with the publication of regulations before the end of next month. Detailed information on exactly what the changes mean for landlords and tenants will be available to us soon, and as soon as we have that information, we will provide an update – keep an eye on our blog for more information.
When will this be reviewed?
Whilst the extended notice period is currently in place until March 31st 2021, the Welsh government is looking to review these arrangements again in December. We’ll provide another update then, whether they decide to keep the extension dates as-is, or choose to move them.
Confirmed rent arrears support package for tenants
For tenants who need financial support, the Welsh government have also confirmed a ‘rent arrears support package’.
Where rent arrears have accumulated due to Covid-19 and since lockdown, private rented sector tenants will soon be able to apply for a loan through a Tenancy Saver Loan Scheme, which is set to open at the end of this month.
Those left struggling to pay their rent arrears due to Covid-19 may be eligible to apply for a new low interest loan which can be repaid over a period of up to five years at a rate of 1% APR. If a tenant is eligible and the saver loan an option, the loan will be paid directly to us as an agent, and not the tenant.
Once again, further details of this will be available in due course and we will provide an update when we have more information regarding eligibility and the application process.
Dawsons rent protection policy
As well as the positivity of the ‘rent arrears support package’, we have also now finalised an extremely comprehensive and competitive rent protection policy that we will be offering our landlords during the coming days.
This service is one we consider market leading and of great comfort to our landlords, and it’s now more apt than ever considering the 6-month notice period that is now in place. We’ll be sharing more about this service and elaborating on its 9 key features very soon.
In the meantime, should you have any questions or queries in relation to the above information please get in touch with our residential lettings team using the contact details below.
Llanelli Sales & Lettings
Marina Sales, Lettings & New Homes
Mumbles Sales, Lettings, Fine & Country