Almost one million private renters in England have been handed no-fault evictions since the Conservative government promised to abolish them, new data has shown.
Research carried out by YouGov on behalf of homelessness charity Shelter – and shared exclusively with Sky News – showed that since April 2019 a total of 943,000 people had been given Section 21 notices, which is the equivalent of more than 500 renters every day.
The figures also showed unwanted moves were costing private renters in England £550m a year, with 830,000 people having to move in the last 12 months alone due to either their fixed tenancies coming to an end, being priced out by rent increases or being served with a Section 21.
Add in the soaring upfront costs for rents and deposits and unwanted moves are costing more than £1bn a year – or an average of £1,245 per person.
Polly Neate, Shelter’s chief executive, said tenants were “bearing the cost of the government’s inaction” and warned any further delays to banning no-fault evictions would see more people “tipped into homelessness”.
But Levelling Up minister Jacob Young defended the government. He said abolishing Section 21s was “the biggest change to the private rented sector in more than 30 years” so it “takes time to make sure we get it right”.
Image: In England, the equivalent of more than 500 renters a day are being evicted through no fault of their own. Pic: iStock
A Section 21 notice is the legal mechanism allowing landlords to evict tenants without providing a reason, which creates uncertainty for those who rent their homes.
The government first promised to ban them five years ago this week– back when Theresa May was still in Number 10.
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Yet despite subsequent Conservative leaders pledging to see through the policy, it still hasn’t come into law – with the housing secretary announcing an indefinite delay to the Renters Reform Bill last month.
‘I had a meltdown’
Natalie was served with two Section 21 notices within 18 months.
The 47-year-old from Brighton told Sky News she received the first one just after COVID and she took it in her stride. She said: “It wasn’t an ideal rental, it was quite dilapidated… but I had got into quite a good relationship with the landlord and I wasn’t freaking out. They just wanted to sell their flat and get out of the rental market.”
However, the relationship soon soured and turned into a “nasty environment” as she struggled to find a new home in a market with soaring costs and poor quality places.
“You couldn’t even see a property without having a £35k guarantor or you would have to have a whole year’s rent in advance and it just turned into a figures game,” said Natalie.
“If you don’t look good on paper, you are not going to get to see a flat, you are not going to be considered for it. You are not going to tick all the boxes. It is financial discrimination.”
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Natalie faced two no-fault evictions within 18 months
After staying with friends for two months, Natalie found a new property, but in the first three weeks, it had flooded, and she noticed day by day the “shoddy workmanship”.
And after a year, again through no fault of her own, she got a call from the estate agent to say the rent was going up by £150 a month and she would need to leave.
Natalie said she had a “meltdown”.
“It’s an awful thing, not feeling like you’re an adult and not being able to support yourself or find space in a location you have decided is home – finding out that it doesn’t mean anything that you have been living there for 21 years,” she said.
She added: “I’d like people to be able to have a home if we are living in a so-called civilised society. How’s anybody supposed to get anywhere without having their home? It should just be like water and air – we all need that to function.
“Something really drastic needs to be done.”
Tories criticised for ‘excuse’ holding back change
Mr Young, the Levelling Up minister, told Sky News his “hope” and “primary focus” was to see the bill passed, banning Section 21s for new tenancies before the next general election – which must take place before the end of January 2025.
But he couldn’t “give a commitment on a solid date” for the ban to also apply to existing tenancies, meaning millions – including Natalie – would continue to be at risk of losing their homes.
“We have to do this in a proportionate and phased way, working with the sector to make sure our reforms are actually effective,” he told Sky News.
“If we were to abolish everything straightaway, that would create a lot of uncertainty in the sector.”
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However, Shelter’s Ms Neate argued the reason for the delay was not about getting the legislation right, but about “bowing to backbench landlords”.
A group of Tory MPs – a number of whom are landlords themselves – raised concerns the courts were not prepared for the legal cases that could result from the simpler mechanism being outlawed.
As a result, the government said Section 21s would remain in place until an assessment had been made of whether the legal system could handle the changes.
But Ms Neate called it an “excuse”. She said: “The reason why they’re delaying is because they’re under pressure from their own backbenchers, many of whom are landlords, who just don’t want to see no-fault evictions ending.
“Why you would want the right to evict somebody for absolutely no reason is beyond me, frankly.”
She added: “Our frontline services every single day are seeing the worst effects of this.
“Section 21 no-fault eviction is one of the leading causes of homelessness in this country. And that’s why we’re so eager for the government to end it.”
Government still ‘committed’ to abolishing no-fault evictions
Mr Young denied there were “vested interests” in his party and said he did not “begrudge” his colleagues for having rental properties.
He said: “We can’t just listen to one side of the sector in this argument. It has to be that we’re delivering a bill that benefits both tenants and landlords.
“This bill is about protecting good tenants and landlords, and pitting them against the rogue actors in the system.”
Revealing his own aunt had been subject to a Section 21 just before Christmas, Mr Young added: “It takes time to make sure that we get it right. There are 11 million renters in the country. If we get it wrong for those 11 million renters, that doesn’t help them at all.
“I know the uncertainty that [Section 21s] can provide to families. That’s why I’m committed to abolishing it. That’s why I’m focused on delivering this.”
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Conservative minister Jacob Young defended the government, despite his aunt being subject to a Section 21 before Christmas
Matthew Pennycook, Labour’s shadow minister for housing and planning, said his party is committed to ending the “ever-present fear” of Section 21s “immediately” if it gets into power – and would put forward amendments for government legislation to speed up the process.
He told Sky News the abolition of no-fault evictions could be done “overnight” if the Conservatives chose to, leading to “a stable private rental system… [where] families can live and thrive in what should be their homes, not just an asset that can just be taken back at a moment’s notice”.
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Labour promises ‘immediate’ end to no-fault evictions
Mr Pennycook also said he believed the court system could “cope” with the changes, but added: “I think what private tenants would argue is [the government has] had five years to get to the point where that they can introduce a system to honour this commitment to abolish Section 21 notices, and they’ve played around for far too long.
“We think they’re selling out to vested interests in bringing these changes forward.”
Opinion by: Hedi Navazan, chief compliance officer at 1inch
Web3 needs a clear regulatory system that addresses innovation bottlenecks and user safety in decentralized finance (DeFi). A one-size-fits-all approach cannot be achieved to regulate DeFi. The industry needs custom, risk-based approaches that balance innovation, security and compliance.
DeFi’s challenges and rules
A common critique is that regulatory scrutiny leads to the death of innovation, tracing this situation back to the Biden administration. In 2022, uncertainty for crypto businesses increased following lawsuits against Coinbase, Binance and OpenSea for alleged violations of securities laws.
Under the US administration, the Securities and Exchange Commission agreed to dismiss the lawsuit against Coinbase, as the agency reversed the crypto stance, hinting at a path toward regulation with clear boundaries.
Many would argue that the same risk is the same rule. Imposing traditional finance requirements on DeFi simply will not work from many aspects but the most technical challenges.
Openness, transparency, immutability, and automation are key parameters of DeFi. Without clear regulations, however, the prevalent issue of “Ponzi-like schemes” can divert focus from effective innovation use cases to conjuring a “deceptive perception” of blockchain technology.
Guidance and clarity from regulatory bodies can reduce significant risks for retail users.
Policymakers should take time to understand DeFi’s architecture before introducing restrictive measures. DeFi needs risk-based regulatory models that understand its architecture and address illicit activity and consumer protection.
Self-regulatory frameworks cultivate transparency and security in DeFi
The entire industry highly recommends implementing a self-regulatory framework that ensures continuous innovation while simultaneously ensuring consumer safety and financial transparency.
Take the example of DeFi platforms that have taken a self-regulatory approach by implementing robust security measures, including transaction monitoring, wallet screening and implementing a blacklist mechanism that restricts a wallet of suspicion with illicit activity.
Sound security measures would help DeFi projects monitor onchain activity and prevent system misuse. Self-regulation can help DeFi projects operate with greater legitimacy, yet it may not be the only solution.
Clear structure and governance are key
It’s no secret that institutional players are waiting for the regulatory green light. Adding to the list of regulatory frameworks, Markets in Crypto-Assets (MiCA) sets stepping stones for future DeFi regulations that can lead to institutional adoption of DeFi. It provides businesses with regulatory clarity and a framework to operate.
Many crypto projects will struggle and die as a result of higher compliance costs associated with MiCA, which will enforce a more reliable ecosystem by requiring augmented transparency from issuers and quickly attract institutional capital for innovation. Clear regulations will lead to more investments in projects that support investor trust.
Anonymity in crypto is quickly disappearing. Blockchain analytics tools, regulators and companies can monitor suspicious activity while preserving user privacy to some extent. Future adaptations of MiCA regulations can enable compliance-focused DeFi solutions, such as compliant liquidity pools and blockchain-based identity verification.
Regulatory clarity can break barriers to DeFi integration
The banks’ iron gate has been another significant barrier. Compliance officers frequently witness banks erect walls to keep crypto out. Bank supervisors distance companies that are out of compliance, even if it’s indirect scrutiny or fines, slamming doors on crypto projects’ financial operations.
Clear regulations will address this issue and make compliance a facilitator, not a barrier, for DeFi and banking integration. In the future, traditional banks will integrate DeFi. Institutions will not replace banks but will merge DeFi’s efficiencies with TradFi’s structure.
The repeal of Staff Accounting Bulletin (SAB) 121 in January 2025 mitigated accounting burdens for banks to recognize crypto assets held for customers as both assets and liabilities on their balance sheets. The previous laws created hurdles of increased capital reserve requirements and other regulatory challenges.
SAB 122 aims to provide structured solutions from reactive compliance to proactive financial integration — a step toward creating DeFi and banking synergy. Crypto companies must still follow accounting principles and disclosure requirements to protect crypto assets.
Clear regulations can increase the frequency of banking use cases, such as custody, reserve backing, asset tokenization, stablecoin issuance and offering accounts to digital asset businesses.
Building bridges between regulators and innovators in DeFi
Experts pointing out concerns about DeFi’s over-regulation killing innovation can now address them using “regulatory sandboxes.” These dispense startups with a “secure zone” to test their products before committing to full-scale regulatory mandates. For example, startups in the United Kingdom under the Financial Conduct Authority are thriving using this “trial and error” method that has accelerated innovation.
These have enabled businesses to test innovation and business models in a real-world setting under regulator supervision. Sandboxes could be accessible to licensed entities, unregulated startups or companies outside the financial services sector.
Similarly, the European Union’s DLT Pilot Regime advances innovation and competition, encouraging market entry for startups by reducing upfront compliance costs through “gates” that align legal frameworks at each level while upgrading technological innovation.
Clear regulations can cultivate and support innovation through open dialogue between regulators and innovators.
Opinion by: Hedi Navazan, chief compliance officer at 1inch.
This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
Kemi Badenoch has not ruled out forming coalitions at a local level with Reform after the council elections on Thursday.
Speaking to Sunday Morning with Trevor Phillips, the Conservative leader did however categorically rule out a pact with Nigel Farage’s party on a national level.
“I am not going into any coalition with Nigel Farage… read my lips,” she said.
However, she did not deny that deals could be struck with Reform at a local level, arguing some councils might be under no overall control and in that case, “you have to do what is right for your local area”.
“You look at the moment, we are in coalition with Liberal Democrats, with independents,” she said. “We’ve been in coalition with Labour before at local government level.
“They [councillors] have to look at who the people are that they’re going into coalition with and see how they can deliver for local people.”
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She added: “What I don’t want to hear is talks of stitch-ups or people planning things before the results are out. They have to do what is right for their communities.”
In response, Nigel Farage said: “The Tories broke Britain nationally for 14 years, and their councils continue to break local communities with the highest taxes ever and worst services.
“Reform have no intention in forming coalitions with the Tories at any level.”
A total of 23 councils are up for grabs when voters go to the polls on Thursday 1 May – mostly in places that were once deemed Tory shires, until last year’s general election.
It includes 14 county councils, all but two of which have been Conservative-controlled, as well as eight unitary authorities, all but one of which are Tory.
In addition, there is one Labour-controlled borough being contested.
The last time this set of councils were up for election was in 2021, when the Conservative Party was led by Boris Johnson who was riding high from the COVID vaccine bounce.
Despite not ruling out agreements between the Tories and Reform once the local elections have finished, Ms Badenoch has been at pains to stress she is against any kind of deal with Mr Farage at a national level.
On Friday she criticised talk of “stitch-ups” ahead of next week’s local elections and said she was instead focused on ensuring that voters have a “credible Conservative offer”.
Speculation that the Tories and Reform could join forces heightened after two senior Tories appeared to advocate for some sort of agreement between the two rival parties.
Robert Jenrick, the shadow justice secretary, was captured in a video recording leaked to Sky News vowing to “bring this coalition together” to ensure that Conservatives and Reform UK are no longer competing for votes by the time of the next general election.
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What leaked audio of Jenrick tells us
According to the excusive audio Mr Jenrick – who lost the Tory leadership campaign to Ms Badenoch – said he would try “one way or another” to make sure the two right-wing parties do not end up handing a second term to Sir Keir Starmer.
Mr Jenrick has denied his words amounted to calling for a pact with Reform.
Meanwhile, in an interview with Politico, Tees Valley Mayor Ben Houchen also suggested the two parties should join forces in some way.
“I don’t know what it looks like. I don’t know whether it’s a pact. I don’t know whether it’s a merger… [or] a pact of trust and confidence or whatever,” he said.
“But if we want to make sure that there is a sensible centre-right party leading this country, then there is going to have to be a coming together of Reform and the Conservative Party in some way.”
All of the other national parties have launched their campaigns for the local elections ahead of the poll next week.
Labour Cabinet Office minister Pat McFadden told Trevor Phillips that he was “not predicting huge Labour gains on Thursday”.
He also ruled out Labour striking deals with any other party.
“The deals on offer after Thursday won’t be between Labour and the Tories and Labour and Reform,” he said.
“But what there’s been a lot of debate about is what’s going to happen between the Tories and Reform, because I’m not even sure if they’re two different parties or one party at the moment.”
United States President Donald Trump recently said that federal income taxes would be “substantially reduced” or potentially eliminated once the tariff regime fully sets in.
In an April 27 Truth Social post, Trump added that the focus of the purported tax cuts would be on individuals making less than $200,000 per year.
The US President also said that the “External Revenue Service” — a reference to funding the federal government exclusively through import tariffs instead of the current model of collecting taxes through the Internal Revenue Service (IRS) — is materializing.
Eliminating the federal income tax would likely be a positive catalyst for asset prices, including cryptocurrencies, as the increase in disposable income should partially flow back into productive investments. However, this stimulative effect is not guaranteed.
Trump previously floated the idea of eliminating the federal income tax in an October 2024 appearance on the Joe Rogan Experience, although Trump, who was on the campaign trail at the time, provided scant concrete details on the proposal.
The US President suggested that replacing the federal income tax with revenue from import duties would return the US to a time of prosperity seen during the Gilded Age, in the 19th century, when the US did not have a permanent federal income tax.
Research conducted by accounting automation company Dancing Numbers found that Trump’s proposal could save the average American $134,809 in lifetime tax payments.
Dancing Numbers added that the tax savings could be as much as $325,561 per American if other wage-based income taxes are also eliminated.
On April 2, Trump signed an executive order imposing sweeping tariffs on all US trading partners, which included a 10% baseline tariff on all countries and different “reciprocal” tariff rates on countries with import duties on US goods.
However, since that time, the Trump administration walked back its tariff policies several times, flip-flopping on tariff rates and when the tariff regime would fully take effect.
The Trump administration’s ever-changing rhetoric surrounding trade policies has heightened volatility in the US stock market, caused a rise in US bond yields, and has drawn widespread criticism from financial analysts who say the protectionist trade policies hurt capital markets while achieving little else.