Landlord discrimination – the last straw?

Landlord discrimination – the last straw?

0:01 AM, 16th October 2024, About 2 months ago 34

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As we watch the supply of rental property dwindle and rents head North, I thought I’d add my latest experience of open discrimination against landlords by my local council.

So the situation is the tenant has done a runner, they are in serious rental debt and have faced legal action both section 21 and Section 8. The tenant has openly lied to the court and council with a hope of strengthening their position. A good ploy for tenants lying will likely always help you stay longer, cause huge stress and more cost for your landlord. I would always advocate that tenants lie because it will help their cause and there are no consequences.

So the property is a fixed AST that has turned into a periodic tenancy but as a landlord the tenant hasn’t legally ended the tenancy and may be inside. They have neither handed back keys nor advised they have left. They have left a car outside, curtains closed furniture and personal items are still in situ.

For the £1,500 question I would ask you who is responsible for the £1500 annual council tax? The answer of course is the landlord. Why you ask? In my case the tenant showed the council a receipt for a removal company and the fixed period of the tenancy that had expired years ago. The tenant had neither advised of their departure nor shown me the golden ticket removal bill.

The council in their twisted wisdom applied discrimination at the appeal I made, stating as the tenancy was in a periodic and not fixed state the landlord was responsible for council tax even though the council know the tenancy is not legally ended and under the tenancy the tenant is obliged to pay council tax.

I would add where problems arise the scales of justice have collapsed in favour of tenants and the council appeal process then bases it’s decisions on discriminatory rules. So watch as more landlords leave more tenants face higher costs and the problem of rogue tenants grows. I for one have rented to the most vulnerable in society and on occasion saved people from taking their own lives, but cannot afford to take the stress of risking this again.

What does the Propert118 community think?

Thanks for reading,

Paul


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TheMaluka

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10:22 AM, 16th October 2024, About 2 months ago

Did your tenancy continue as a Statutory Periodic, the default condition, or a Contractual Periodic? In the former case the Landlord is responsible for council tax and in the latter the Tenant.
https://www.legislation.gov.uk/ukpga/1992/14/section/6

David Dean

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15:16 PM, 16th October 2024, About 2 months ago

Having read TheMaluka comment I followed the link and found it to technical to read so I asked ai, the output is given below. It looks like once again the tenant is the winner.

The main difference between a statutory periodic tenancy and a contractual periodic tenancy is how the tenancy is created:

Statutory periodic tenancy
This tenancy is created when a fixed-term tenancy expires and the tenant continues to occupy the property without a new tenancy being defined.

Contractual periodic tenancy
This tenancy is created when the original fixed-term tenancy agreement specifies that the tenancy will become periodic after the fixed term ends. The tenant and landlord agree to the transition and the tenant signs a new agreement.

Here are some other differences between the two types of tenancies:

Council tax
With a statutory periodic tenancy, the tenant is only liable for council tax until they move out. With a contractual periodic tenancy, the tenant remains liable for council tax until the end of the tenancy.

Rent increases
With a contractual periodic tenancy, the landlord can increase rent without a Section 13 notice if the original agreement includes a rent increase clause. With a statutory periodic tenancy, the landlord needs to serve a Section 13 notice.

DPT

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16:46 PM, 16th October 2024, About 2 months ago

Its not discrimination, its the law. You are expected to claim any CT costs you incur during the tenancy from the tenant.

TheMaluka

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16:54 PM, 16th October 2024, About 2 months ago

Reply to the comment left by David Dean at 16/10/2024 - 15:16ChatGPT has summed up the situation very well. Now you need to revisit your original tenancy ad see if it contains a clause which stipulates that any continuation is a Contractual Periodic Tenancy. If so, then the tenant is responsible for the Council Tax until the tenancy is formally ended.

TheMaluka

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17:01 PM, 16th October 2024, About 2 months ago

Reply to the comment left by DPT at 16/10/2024 - 16:46
Sorry not so, please read section 6 of the 1992 act which I linked above.

Paul Smith

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23:30 PM, 16th October 2024, About 2 months ago

Reply to the comment left by DPT at 16/10/2024 - 16:46
It is discrimination as a receipt for hiring a van is not evidence of moving out, is it? It's simply a receipt for hiring a vsn. A tenant who has not told their landlord they have moved out is still in residence. What else would count as moving out, a hotel receipt? A Lidl receipt for buying cleaning products? The van hire receipt could equally be for moving stuff in? Surely any reasonable person would agree moving out requires the tenant to legally end their tenancy?

JUD KIRK

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23:35 PM, 16th October 2024, About 2 months ago

I don't know where the idea of having to sign anything after the fixed period of a tenancy comes to an end comes from?
If the Tenancy agreement has a continuation clause the tenancy does not end until written notice has been given and the specified time has passed. That being the case the Tenant is liable. If there is no Continuation clause once the fixed period is up if the Tenant doesn't pay the council can come after the Landlord!
Defining Case Law Leeds City Council v Blakely.

Paul Smith

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9:09 AM, 17th October 2024, About 2 months ago

Reply to the comment left by JUD KIRK at 16/10/2024 - 23:35
Thanks Jud Kirk, I can't find case law for Leeds v Blakely, but are you saying when an AST rolls onto a standard periodic, someone has decided to make the landlord responsible for council tax payments unless the tenant chooses to pay? Even when they haven't mo ed out?. The passing of time transfers the liability to a landlord. If so gow could this have come from any reasonable basis? In my case the council acknowledged the tenant should pay until they moved out. I was unaware the tenant had moved out as they had not ended the tenancy.

TheMaluka

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9:16 AM, 17th October 2024, About 2 months ago

Reply to the comment left by Paul Smith at 17/10/2024 - 09:09
It is vital to look at your tenancy agreement. If the tenancy continues as a Statutory Periodic (the default situation) then the landlord is responsible for the council tax when the tenant is not in residence. If the continuation is as a Contractual Periodic, which has to be defined in the tenancy agreement, then the tenant is responsible regardless of occupation.

Paul Smith

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10:52 AM, 17th October 2024, About 2 months ago

The Maluka - "No Words!" I understand the tenant should not pay CT if they are not in residence but it's only reasonable the landlord is informed which I wasn't. To accept discriminatory law where costs are transferred to a landlord without him having any control or knowledge is grossly unfair and appears down to an AST mutating after the fixed period. I would question what constitutes not in residence? Legally and minimally the landlord should be notified of an end of residence. The default periodic tenancy legally dictates this as tenant must give one months notice, so remains in residence until then.

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