LAST UPDATED: 11 November
Section 21 will disappear as soon as the Renters’ Rights Bill becomes law in 2025.
With no-fault evictions out of the picture, letting agents need to know how to serve a Section 8 notice, which will become the main way to evict tenants.
The problem?
Section 8 notices rely on specific grounds for possession and have to be processed through the courts. Courts that already have significant backlogs.
So not only will legal costs rise, but landlords also stand to be out of pocket for longer when tenants are in arrears.
In this blog, we'll teach you everything you need to know about Section 8 notices, while also revealing you how you can prepare your agency and clients for these changes.
A Section 8 notice, issued under the Housing Act 1988, allows landlords to end tenancies early when the tenant breaches specific terms of their agreement. Common grounds for this include when tenants are in rent arrears, or are using the property as a base for illegal activity.
Unlike Section 21, which allowed eviction without a reason, Section 8 must be based on specific legal grounds - either mandatory or discretionary. Mandatory grounds are firm reasons for eviction, while discretionary grounds require letting agents and landlords to provide justification and proof for eviction.
Under Section 8, there are 18 grounds for possession, divided into mandatory and discretionary categories. When working on behalf of landlords, letting agents must provide evidence for the grounds they cite, and notice periods will vary depending on the situation.
Landlords can issue a Section 8 notice at any point during a tenancy unless the grounds specifically state otherwise. The ground requiring the longest notice period applies if multiple grounds are mentioned.
Mandatory grounds are the most "'concrete' reasons for eviction" and can lead to eviction.
If a mandatory ground is proven, the court must grant possession to the landlord. The notice periods for these grounds can range from two weeks to four months.
These grounds are:
Discretionary grounds allow the court to decide whether eviction is justified. These are often used in cases involving minor breaches or tenant misconduct.
Discretionary grounds include:
To serve a Section 8 notice, letting agents and landlords must download and complete Form 3 from the Government website. This form must be served in a way permitted by the tenancy agreement's terms.
Agents and landlords should keep a clear audit trail and solid evidence, if applicable, of tenant breaches to support the grounds for possession. Missing key information can lead to delays or an invalid notice, potentially allowing tenants to stay in the property.
If the tenants do not leave the property after the allotted notice period, depending on the ground provided, lettings agents and landlords will need to apply to the court for a possession order.
If a landlord or letting agent is unsure, they should seek legal advice about serving a Section 8 notice and the notice period that should be provided.
A Section 8 notice can be issued anytime after a breach occurs during an assured or assured shorthold tenancy. It can be served if the tenant breaches terms or the landlord needs the property for approved reasons.
Each ground has a specific notice period that agents must adhere to. Letting agents and landlords must know any prerequisite requirements for certain Section 8 grounds. It could be considered invalid if this correct information isn’t completed before the section is served.
Download your guide to Section 8 and the grounds of possessions here.
Letting agents and landlords must ensure all information on Form 3 is complete and correct before issuing it. Essential details include:
The court may dismiss the notice if the grounds or notice period are incorrect. For multiple grounds, the longest applicable notice period typically applies. The landlord must also allow time for the notice to be deemed served in line with the Civil Procedure Rules requirements. If they do not allow time for this, the notice period will never be correct.
Once the landlord serves a Section 8 notice, the tenant has until the end of their notice period to stop any breaches of tenancy. At the end of the notice period, the landlord can start court proceedings if their tenants do not stop any breaches or vacate.
This is also the case if a landlord wishes to serve a Section 8 notice so they can either sell or move back into the property.
If the tenant doesn’t move out, the landlord can apply to the court for a possession order. Tenants may challenge this, presenting a defence to the court or requesting extra time due to “extreme hardship.”
Before the court hearing, agents must compile and submit all relevant case documents electronically.
If the possession order is granted, the landlord must seek enforcement if the tenant doesn’t leave. This means that county court bailiffs or High Court Enforcement Officers (HCEO), if requested in the application, can proceed with eviction, with at least 14 days' notice given beforehand.
Court proceedings can start once the Section 8 notice period ends. The Government guidelines current guidelines estimate an 8-week wait for a hearing.
If any cases escalate further and require county court bailiffs or HCEO intervention, a landlord could face longer delays in reclaiming possession of their property.
In high-demand areas, agents and landlords may wait up to nine months for an eviction, potentially leading to substantial rent arrears for the landlord and, subsequently, the letting agent.
These timelines are highly likely to increase once the Renters' Rights Bill becomes law.
During the Committee Stage of the Bill, for example, Conservative MP Jerome Mayhew stressed the need to strengthen the court system before Section 8 becomes the sole eviction process.
Mayhew noted: “When we move to a Section 8 ground, that will require more resources and scrutiny, quite rightly, but without investment in the court system, we will not deliver what either renters or landlords need.”
His concerns remain unaddressed.
Lettings professionals can take several key steps to future-proof their agencies, including:
While Section 21 is still a lever your landlords can pull in the short term, everyone in your organisation needs to know how to serve a Section 8.
After all, landlords are becoming increasingly savvy with the Renters' Rights Bill and are likely to pose you questions on it, if they haven't already. Being unable to answer them could not only make you look unprepared but also lose you potential business.
According to Government data, 49% of landlords say they don't use an agent. You have an opportunity to pitch your expert services to this part of the market, while also upselling your existing clients.
One of the best things letting agents can do to prepare themselves for the increased reliance on Section 8 is to move respectful and dependable tenants into their landlords’ properties. This will prevent you from serving Section 8s in the first place.
Investing in robust referencing will help you to achieve this. For example, Goodlord's PRO referencing package includes:
This gives you the best possible chance of avoiding the courts.
After the Renters’ Rights Bill becomes law, legal costs for landlords will significantly increase, while backed-up courts will also result in longer periods with tenants in arrears.
Both of these factors make it essential to make contingency plans.
Goodlord's Rent Protection and Legal Expenses Insurance gives landlords peace of mind, covering tenants’ rent (up to £100K) while they’re in arrears and the legal costs involved in the eviction process. We'll also mediate between tenants and landlords to prevent court proceedings from happening in the first place.
While highly controversial, the shift towards Section 8 isn't all doom and gloom. But to take advantage of the opportunities it presents, you need to grasp the nettle now.
This article is intended as a guide only and does not constitute legal advice. For more information, visit gov.uk.