Key dates for Landlords in 2021

As if there are not enough dates running through our heads right now about what we can and can’t do as lockdown restrictions ease. Landlords have other things to think about too this year due to changes in lettings legislation. To keep you ahead of the curve, we’re listing them all here for you.

1^st April – Client Money Protection

The Client Money Protection is an additional layer of protection for money that your letting agent holds on behalf of landlords and their tenants. It covers rent monies, holding deposits, maintenance funds or, indeed, any other money held by the agent on their behalf so that it can easily be recovered, at least in part, should the agent’s business experience any difficulties in the future.

1^st April – Deadline for Electrical Safety Compliance

From 1^st April 2021, all private landlords are required to:

Ensure that the electrical safety standards are met during a period when the residential premises are occupied under a tenancy
Ensure every electrical installation in the residential premises is inspected and tested at regular intervals by a qualified person (‘regular intervals’ is every five years, unless a report from an inspection and test specifies sooner)
Ensure the first inspection and testing is carried out before a new tenancy commences (as of 1st June 2020)
Ensure the first inspection is carried out by 1st April 2021 for existing tenancies

New build properties should have an Electrical Installation Certificate known as an EIC.

If your rental property is a new build or has been completely rewired, you will not need to get an Electrical Installation Condition Report (EICR) until five years after your EIC has been issued.

Energy Performance Certificates (EPC)

Since April 2020, all new tenancies on privately rented properties had to have a minimum EPC rating of band E. The Government is expected to move this to a requirement to be Band C or above by April 2025 and to apply to all existing tenancies by April 2028.

If your property requires some upgrading to satisfy the current regulations, it will be worth planning it in around any vacant periods over the next few years.

6^th April 2021 – Making Tax Digital

If the turnover from your rental property, or properties, is more than £85,000, you may already be using the Making Tax Digital (MTD) system.

If you’re not using MTD and your turnover exceeds £85,000, there will be a deadline to do so from 6^th April 2021.

30^th June 2021 – Changes to Right to Rent

If you’re a landlord, you must check all tenants’ immigration status to find out whether they can legally rent their property. This applies to all tenants, irrespective of ethnicity or nationality.

With Brexit bringing in a points-based system from 1 January, landlords have been told to continue using passports and national ID cards as an interim measure until 30 June. We are still awaiting further announcements from the government about what documentation will be required after 30^th June.

Our landlords can rest assured that we have all systems in place to ensure they are always complying with the law and we have trusted contractors who can act quickly and efficiently to complete any work which may be necessary to ensure compliance.

For further help or guidance on renting your property or questions regarding new compliance in 2021, please contact us.