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The government has been accused of “betraying renters” on the fifth anniversary of a “failed” promise to ban no-fault evictions – as figures suggest that over 80,000 households have been put at risk of homelessness since then.

Former Conservative prime minister Theresa May made the pledge to scrap Section 21 (S21) notices on 15 April 2019 and it was also in her successor Boris Johnson’s manifesto.

But last month, the government announced an indefinite delay to the plan to ban them, pending court reforms.

A Section 21 order allows landlords to evict tenants with just two months’ notice, without providing a reason for doing so.

Housing campaigners say they are a major contributing factor to rising homelessness.

Analysis of government data by the Renters’ Reform Coalition (RRC) has found that since the promise to ban S21s was made, at least 84,460 private renting households have claimed homeless prevention support after being issued with the notice.

Campaigners believe the true number of “no-fault” evictions served will be much higher, as the data only captures those who claimed council support.

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Tom Darling, campaign manager at the RRC, said: “It is absurd that the government has now officially taken five years to deliver these basic reforms – that’s longer than Brexit took.”

He said S21s “have led to real human suffering and damage” and there could be “millions of other renters who have been evicted but haven’t ended up calling their local authority”.

‘Revenge eviction’

Tom Cliffe, 34 was issued with a Section 21 last July after complaining for 18 months about disrepair to his property in Ealing, west London, where he was paying £1,000 a month in rent and bills.

He believes it was a “revenge eviction” as his four other housemates were not served the notice – and he was not given a reason as to why he received one.

Tom Cliffe was served a no-fault eviction after complaining about disrepair
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Tom Cliffe was served a no-fault eviction after complaining about disrepair

Tom, who works in the film industry, spent months and “upwards of £2,000” trying to fight the eviction, but has given up as “everything was weighted in the landlord’s favour”.

“It’s been a huge, huge turmoil,” he told Sky News.

“I have made a home here for six years. I have taken so much care to treat the property well, I have always paid my rent on time.

“To be turfed out by your landlord on a whim when you’re in your 30s and it’s so hard to buy, it’s really upsetting.”

Tom now faces paying up to 50% more in rent in the new property he is due to move into – amid a renting crisis that has seen average rents soar by 9%.

“It all just feels a bit corrupt. The fact that so many MPs are landlords, it seems fairly obvious that this is influencing the [S21] delays,” Tom said.

Gove ‘sold renters down the river’

Housing Secretary Michael Gove pledged to ban S21s through the long-delayed Renters Reform Bill, which was introduced to parliament in May and seen as a “once-in-a-generation” shakeup of renters’ rights.

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‘No one should face eviction for speaking out’

But last month he was accused of “selling renters down the river” and conceding to the landlord lobby after it was announced that the power to issue them would remain in place until an assessment had been made to see if courts could handle the change.

Some MPs had warned getting rid of no-fault evictions will increase pressure on the courts, as landlords will need to go through a legal process to regain possession of their properties when they have legitimate grounds to do so.

Other changes to the bill included an amendment to prevent tenants ending contracts in a tenancy’s first six months. Originally the bill proposed allowing renters to end a tenancy with two months’ notice at any point.

Read more:
Ban on no-fault evictions facing delays
Gove attacked by Labour, Tories and Johnson allies over leasehold U-turns

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‘I was evicted and I became homeless’

Campaigners have warned this will trap renters in unsafe and falsely advertised tenancies, benefitting “rogue landlords” – as well as risking harm to victims of domestic violence.

The RRC wants to see the bill strengthened to include an increase in eviction notice periods from two to four months, to give renters enough time to find a suitable place to live.

They also want a protected period of at least two years during which renters cannot be evicted under the new no-fault grounds and a limit on rent increases within a tenancy, to stop landlords using rent hikes as a de-facto no-fault eviction.

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‘Utter betrayal’

Labour accused the government of an “utter betrayal of renters across Britain”.

Shadow housing secretary and deputy leader Angela Rayner said: “Hundreds of thousands of people have been put at risk of homelessness since that hollow promise five years ago. There are kids now in school that weren’t even born when the Tories first promised this.

“Rishi Sunak’s Conservatives always choose party before country, it is in their DNA. Only Labour will immediately ban no-fault evictions, no ifs no buts.”

A Department for Levelling Up, Housing & Communities spokesperson said: “We are committed to delivering our landmark Renters (Reform) Bill that will provide a fairer private rented sector for both tenants and landlords.

“The bill will abolish section 21 evictions – giving people more security in their homes and empowering them to challenge poor practices.”

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Greater risk to UK economy following Trump’s tariffs, says Bank of England

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Greater risk to UK economy following Trump's tariffs, says Bank of England

The future of the UK economy is weaker and more uncertain due to President Trump’s tariffs and conflict in the Middle East, the Bank of England has said.

“The outlook for UK growth over the coming year is a little weaker and more uncertain,” the central bank said in its biannual health check of the UK’s financial system.

Economic and financial risks have increased since the last report was published in November, as global unpredictability continued after the announcement of country-specific tariffs on 2 April, the Bank’s Financial Stability Report said.

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These risks and uncertainty, as well as geopolitical tensions, like the wars in Ukraine and the Middle East, are “particularly relevant” to UK financial stability as an open economy with a large financial sector, it said.

Pressures on government borrowing costs are “still elevated” amid significant doubts over the global economic outlook.

Had a 90-day pause on tariffs not been announced, conditions could have worsened, the report added.

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The chance of prices rising overall has also grown as tensions between Iran and Israel and the US threaten to push up energy prices.

Possible higher inflation in turn raises the prospect of more expensive borrowing from higher interest rates to bring down those price rises. This compounds the pressure on state borrowing costs.

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Trump’s tariffs: What you need to know

Mortgages

Borrowing costs for about 40% of mortgage holders are set to become costlier over the next three years as households refix to more expensive deals, affecting 3.6 million households, the Bank said.

Many homes have not refixed their mortgage since interest rates began to rise in 2021, meaning the full impact of higher rates has yet to filter through.

Those looking to get on the property ladder got a boost as the Bank said lenders could issue more loans deemed to be risky, meaning people could be able to borrow more.

Financial institutions can now have 15% of their new mortgages deemed risky every year, up from the current 9.7%.

Riskier mortgages are those with a loan value above 4.5 times the borrower’s income.

Be ‘prepared for shocks’

Despite the global and domestic economy concerns, the outlook for UK household and business resilience remained “strong”, the Bank said.

Investors, however, were warned that there could be “sharp falls in risky asset prices”, which include shares and currencies.

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If there are any vulnerabilities in non-bank lenders, it “could amplify such moves, potentially affecting the availability and cost of credit in the UK”.

“It is important that in their risk management, market participants [people involved in investing] are prepared for such shocks.”

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The steep market reaction following the tariff announcements in April “highlights that the interconnectedness of global financial markets can mean stress from one market can move quickly to others,” the report said.

Overall, though, “household and corporate borrowers remain resilient”, the Bank concluded.

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UK’s biggest housebuilders to pay record sum after CMA investigation into sensitive information-sharing

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UK's biggest housebuilders to pay record sum after CMA investigation into sensitive information-sharing

The UK’s biggest housebuilders are set to pay a record sum to fund affordable housing after the competition regulator investigated sensitive information sharing among the firms.

A total of £100m, paid for by seven companies, will go to affordable housing programmes across England, Scotland, Wales and Northern Ireland, following a Competition and Markets Authority (CMA) investigation.

The inquiry was launched last year due to concerns that the companies were sharing commercially sensitive information, which could influence the prices of new homes.

There was concern that the housebuilders – Barratt Redrow, Bellway, Berkeley Group, Bloor Homes, Persimmon, Taylor Wimpey and Vistry – exchanged details about property sales, including pricing, viewing numbers and buyer incentives such as upgraded kitchens or stamp duty contributions.

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It’s resulted in an agreement to make the combined £100m payment – the largest secured via a commitment from companies under CMA investigation. Hundreds of new homes could be funded with the money, the CMA said, helping low-income households, first-time buyers and vulnerable people.

The businesses have voluntarily agreed to pay the sum and have not acknowledged wrongdoing. No finding of rule-breaking or illegality has been made.

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What next?

They have also offered to sign up to legally binding commitments to prevent anticompetitive behaviour.

Among the proposals advanced by the companies was an agreement not to share some information, like prices houses were sold for, with other housebuilders, except in limited circumstances, and to work with the Home Builders Federation and Homes for Scotland to develop industry-wide guidance on information sharing.

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The CMA has said it will consult on the changes.

If accepted, the commitments will become legally binding, and the CMA will not need to decide whether the housebuilders broke competition law.

Initially, eight companies were under investigation, but following a merger of Barratt Homes and Redrow, the number became seven.

“Housing is a critical sector for the UK economy and housing costs are a substantial part of people’s monthly spend, so it’s essential that competition works well. This keeps prices as low as possible and increases choice,” the CMA chief executive, Sarah Cardell, said.

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At least 13 people may have taken their own lives linked to Post Office scandal, public inquiry finds

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At least 13 people may have taken their own lives linked to Post Office scandal, public inquiry finds

At least 13 people may have taken their own lives after being accused of wrongdoing based on evidence from the Horizon IT system that the Post Office and developers Fujitsu knew could be false, the public inquiry has found.

A further 59 people told the inquiry they considered ending their lives, 10 of whom tried on at least one occasion, while other postmasters and family members recount suffering from alcoholism and mental health disorders including anorexia and depression, family breakup, divorce, bankruptcy and personal abuse.

Follow latest on public inquiry into Post Office scandal

Writing in the first volume of the Post Office Horizon IT Inquiry report, chairman Sir Wyn Williams concludes that this enormous personal toll came despite senior employees at the Post Office knowing the Horizon IT system could produce accounts “which were illusory rather than real” even before it was rolled out to branches.

Sir Wyn said: “I am satisfied from the evidence that I have heard that a number of senior, and not so senior, employees of the Post Office knew or, at the very least, should have known that Legacy Horizon was capable of error… Yet, for all practical purposes, throughout the lifetime of Legacy Horizon, the Post Office maintained the fiction that its data was always accurate.”

Referring to the updated version of Horizon, known as Horizon Online, which also had “bugs errors and defects” that could create illusory accounts, he said: “I am satisfied that a number of employees of Fujitsu and the Post Office knew that this was so.”

The first volume of the report focuses on what Sir Wyn calls the “disastrous” impact of false accusations made against at least 1,000 postmasters, and the various redress schemes the Post Office and government has established since miscarriages of justice were identified and proven.

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‘It stole a lot from me’

Recommendations regarding the conduct of senior management of the Post Office, Fujitsu and ministers will come in a subsequent report, but Sir Wyn is clear that unjust and flawed prosecutions were knowingly pursued.

“All of these people are properly to be regarded as victims of wholly unacceptable behaviour perpetrated by a number of individuals employed by and/or associated with the Post Office and Fujitsu from time to time and by the Post Office and Fujitsu as institutions,” he says.

What are the inquiry’s recommendations?

Calling for urgent action from government and the Post Office to ensure “full and fair compensation”, he makes 19 recommendations including:

• Government and the Post Office to agree a definition of “full and fair” compensation to be used when agreeing payouts
• Ending “unnecessarily adversarial attitude” to initial offers that have depressed the value of payouts, ⁠and ensuring consistency across all four compensation schemes
• The creation of a standing body to administer financial redress to people wronged by public bodies
• Compensation to be extended to close family members of those affected who have suffered “serious negative consequences”
• The Post Office, Fujitsu and government agreeing a programme for “restorative justice”, a process that brings together those that have suffered harm with those that have caused it

Regarding the human impact of the Post Office’s pursuit of postmasters, including its use of unique powers of prosecution, Sir Wyn writes: “I do not think it is easy to exaggerate the trauma which persons are likely to suffer when they are the subject of criminal investigation, prosecution, conviction and sentence.”

He says that even the process of being interviewed under caution by Post Office investigators “will have been troubling at best and harrowing at worst”.

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Post Office inquiry lays bare heart-breaking legacy – analysis

‘Hostile and abusive behaviour’

The report finds that those wrongfully convicted were “subject to hostile and abusive behaviour” in their local communities, felt shame and embarrassment, with some feeling forced to move.

Detailing the impact on close family members of those prosecuted, Sir Wyn writes: “Wives, husbands, children and parents endured very significant suffering in the form of distress, worry and disruption to home life, in employment and education.

“In a number of cases, relationships with spouses broke down and ended in divorce or separation.

“In the most egregious cases, family members themselves suffered psychiatric illnesses or psychological problems and very significant financial losses… their suffering has been acute.”

The report includes 17 case studies of those affected by the scandal including some who have never spoken publicly before. They include Millie Castleton, daughter of Lee Castleton, one of the first postmasters prosecuted.

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Three things you need to know about Post Office report

She told the inquiry how her family being “branded thieves and liars” affected her mental health, and contributed to a diagnosis of anorexia that forced her to drop out of university.

Her account concludes: “Even now as I go into my career, I still find it so incredibly hard to trust anyone, even subconsciously. I sabotage myself by not asking for help with anything.

“I’m trying hard to break this cycle but I’m 26 and am very conscious that I may never be able to fully commit to natural trust. But my family is still fighting. I’m still fighting, as are many hundreds involved in the Post Office trial.”

Business Secretary Jonathan Reynolds said the inquiry’s report “marks an important milestone for sub-postmasters and their families”.

He added that he was “committed to ensuring wronged sub-postmasters are given full, fair, and prompt redress”.

“The recommendations contained in Sir Wyn’s report require careful reflection, including on further action to complete the redress schemes,” Mr Reynolds said.

“Government will promptly respond to the recommendations in full in parliament.”

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