The government has announced that court fees for landlords will rise this week.
However, fees for tenants to challenge a rent increase will remain frozen at £47.
The news comes as the government claims the justice system “is well prepared” to handle the Renters’ Rights Act.
Rise due to inflation
Annual price rises linked to inflation mean that, from this week, charges for possession claims will increase from £404 to £415, while bailiff fees will rise from £148 to £152.
The government says the increases to court and tribunal fees are part of annual price rises linked to inflation.
The National Residential Landlords Association (NRLA) writes on its website that the government claims the money raised from the increases will “be used to fund the improvements to the justice system pledged by the Government as part of the Renters’ Rights Act, which has promised end-to-end digitisation of the courts by spring next year”.
It adds: “In all, 80 fees across the Residential Property Division of the Property Chamber of the First-tier Tribunal will increase, including those for leasehold cases and most residential property cases.”
Deep concerns about readiness of court system
The news comes as industry experts warn the Renters’ Rights Act could overwhelm the court system.
As previously reported by Property118, Propertymark warn the court system is not ready to handle the surge in claims as landlords are already waiting months to regain possession.
Megan Eighteen, President of ARLA Propertymark (Association of Residential Letting Agents), told Property118: “We recognise ambition behind the Renters’ Rights Act, but there remain deep concerns about the readiness of the court system to cope with the anticipated rise in possession and eviction cases.
“Removing “no-fault” evictions under Section 21 will shift many cases into contested hearings under Section 8, placing an increased burden on a system already stretched beyond capacity. Recent data shows that, in many parts of England, the time between claim and hearing now routinely stretches to 29 weeks, and in London that wait can extend to as long as 40 weeks.”
