Tenancy reforms 'could provide greater security'

Tenant Lee Carpenter and landlord Julia Lecrivain have given opposing views on the reforms

Jersey politicians will debate proposed changes to the island's rental tenancy law which could see greater protection for tenants and landlords.

Lee Carpenter, who has rented in Jersey for 20 years, said the proposed changes would give tenants a greater sense of security.

But landlord Julia Lecrivain said the plans could force landlords out of the rental market.

The Jersey Landlord's association said 70% of members would consider selling one rental property if Housing Minister Sam Mézec's proposals were approved.

Mézec's plans include limiting rent increases to once a year, capped at 5%.

If approved, the plans would also see fixed-term tenancies reduced, with landlords no longer able to have consecutive fixed-term agreements with the same tenant.

Landlords could be able to give shorter periods of notice if a tenant breaches their contract or is found to be causing serious nuisance.

'Greater security'

Mr Carpenter said the proposed changes would give tenants a greater sense of security.

"At the moment, a landlord can raise the rent by as much as they like, whenever they like and as frequently as they like. A landlord can issue three months' notice to evict a tenant for any reason they like and a tenant has no way to appeal."

Mr Carpenter welcomed the proposal to limit rent increases to once a year and cap them at 5%.

"If tenants know their rents are going to increase by a certain amount, that gives them the ability to plan their financial situation and they also have a better sense that they are going to be living in the property for the foreseeable future," he said.

Lee Carpenter says limiting rent increases to five percent will help tenants feel more secure

Mr Carpenter also welcomed the proposals to limit fixed-term tenancies.

"I think that, with fixed-term tenancies, it can be quite stressful when you are approaching the end of your tenancy, not knowing if you're going to have to move, not knowing if your rent is going to go up or how much by.

"A rolling periodic tenancy increases security of tenure for the tenant, a landlord is able to get rid of the tenant if there are legitimate reasons, so landlords aren't going to be stuck with problematic tenants."

Julia Lecrivain has been a landlord in Jersey for more than 20 years and said she welcomed the changes to fixed-term contracts but was concerned about the rent cap.

She said the 5% cap would make it difficult for landlords if inflation was higher.

She said: "We tend to only increase rent by RPI because it's a fixed figure produced by the States and the tenants know where they are and we know where we are."

Mrs Lecrivain said she was already thinking of selling her properties and, if the proposed law changes were passed, it could lead to more landlords leaving the rental sector.

She said: "I'm already coming out of the market and I think if this law comes into effect other people will come out of the market too."

'Reduced choice'

Mrs Lecrivain's views were shared by Guy Morris from the Jersey Landlord Association, who said a survey of members showed 70% agreed or strongly agreed they would consider selling one unit of residential accommodation if that happened.

Mr Morris said: "That isn't a big problem for landlords but it's a problem for tenants because it means reduced supply, reduced choice for tenants and means rents will also go up."

In his proposals, Mézec said: "Although most landlords are good landlords who treat their tenants reasonably, this is not always the case.

"Similarly, whilst most tenants are responsible and look after the homes they live in, landlords must at times deal with problems created by tenants who do not meet their contractual obligations."

"The time has come for a meaningful and proportionate enhancement of the 2011 law so that, when things do go wrong in landlord-tenant relationships, there are minimum guarantees and more clearly defined rights and responsibilities that tenants and landlords can have confidence in."