Bringing Down The House

You might be thinking demolition was afoot in the Scottish legal world. In fact, a shake-up of the way in which the lettings of privately owned houses and flats are regulated is about to occur.

The Scottish Government has just completed the second stage review of the Private Housing (Tenancies) (Scotland) Bill. This proposed new law promises to streamline the current minefield of legislation in this area and make it easier for landlords and tenants to understand their positions. It will introduce a new kind of private tenancy that is intended, over the course of time, to replace the short assured tenancy.

What is a Private Residential Tenancy?

A Private Residential Tenancy is a tenancy to an individual or individuals of a property, the sole purpose of which is to provide that person or persons with a home. This is helpful but it can be said that an assured tenancy, as defined under the current law, is the same thing.

The new definition is added to by a list of all of the tenancies that cannot be considered to be a Private Residential Tenancy. These include all of those leases currently accepted as falling into this category, such as leases of shops, agricultural land to name a few. However, an important inclusion in this list is those residential tenancies where there is a live-in landlord; these types of tenancies are not covered by the new bill. This list, as it stands, is not exhaustive and the Scottish Government can add to it at any time.

The Terms of the Tenancy

The bill provides that the Scottish Government may enshrine particular tenancy conditions of such tenancy agreements in law. At this time there are no proposed regulations to do this but it will be something that landlords and tenants will have to be aware of in future.

Landlords will now also be under a statutory duty to set out the terms of the Private Residential Tenancy in writing to the tenant. Most social landlords will have made a habit of doing so already, as it protects their own interests as well as those of the tenant.

In addition, the Scottish Government may issue regulations that direct landlords to provide specific information to the tenant about the tenancy. It is likely that this information will have to explain to tenants how they, and their landlord, can enforce their rights under the tenancy. This is not surprising as landlords currently have to provide such guidance anyway.

Referral to the First-Tier Tribunal

Under separate legislation to that being...