Renting Homes (Wales) Act 2016

Citation2016 anaw 1
See commencement information

Renting Homes (Wales) Act 2016

2016 anaw 1

An Act of the National Assembly for Wales to make provision about tenancies and licences which confer the right to occupy a dwelling as a home, including provision establishing two kinds of contract for the purpose of renting homes; and for connected purposes.

[18 January 2016]

Having been passed by the National Assembly for Wales and having received the assent of Her Majesty, it is enacted as follows:

1 OVERVIEW OF ACT

PART 1

OVERVIEW OF ACT

Introduction to Parts 1 and 2 and key concepts in this Act

Introduction to Parts 1 and 2 and key concepts in this Act

S-1 Occupation contracts

1 Occupation contracts

(1) This Act (in Part 2) provides that-

(a) most individuals who rent their homes under a tenancy or licence, and their landlords, make a contract with each other known as an occupation contract (and in this Act such individuals are referred to as "contract-holders"; see section 7);

(b) there are two kinds of occupation contract, namely-

(i) secure contracts, and

(ii) standard contracts;

(c) there are two kinds of standard contract, namely-

(i) fixed term standard contracts, and

(ii) periodic standard contracts,

and the two kinds of standard contract differ in relation to their variation, transfer and termination.

(2) Each kind of occupation contract (and each kind of standard contract) gives different rights to, and imposes different obligations on, the contract-holder and landlord; a secure contract gives greater security of occupation to the contract-holder than a standard contract.

S-2 Kinds of landlord

2 Kinds of landlord

(1) This Act (in Part 2) provides-

(a) for two kinds of landlord-

(i) community landlords (which are local authorities, registered social landlords and other kinds of authority), and

(ii) private landlords (which are any landlords who are not community landlords);

(b) that both kinds of landlord may make, or adopt, specific kinds of occupation contract (though this is subject to various exceptions).

(2) In general-

(a) occupation contracts made with or adopted by community landlords are secure contracts, and

(b) contracts made with or adopted by private landlords are standard contracts,

but this is subject to various exceptions.

S-3 Fundamental provisions and supplementary provisions of occupation contracts

3 Fundamental provisions and supplementary provisions of occupation contracts

(1) Part 2 of this Act establishes the concept of a "fundamental provision"; that is, a provision of this Act (generally a section) which is automatically included as a term of all occupation contracts, or of specified occupation contracts (and so forms part of the contract between a contract-holder and a landlord).

(2) Once a fundamental provision of this Act is included in an occupation contract, it is referred to as a "fundamental term" of the contract (see section 19).

(3) At the creation of the contract, the parties can agree that a fundamental provision will be included in the contract with changes (referred to in this Act as "modifications") or that it will not be included at all; however, the parties can only do either of these things if it will improve the contract-holder's position, and there are some fundamental provisions which must be included without changes.

(4) Once an occupation contract has been created the parties can vary its fundamental terms; but there are certain limits to this.

(5) Part 2 of this Act also establishes the concept of a "supplementary provision"; that is, a provision set out in regulations made by the Welsh Ministers which is automatically included as a term of all occupation contracts, or of specified occupation contracts.

(6) Once a supplementary provision is included in an occupation contract, it is referred to as a "supplementary term" of the contract (see section 23).

(7) At the creation of the contract, the parties can agree that a supplementary provision will be included in the contract with modifications or that it will not be included at all, and once an occupation contract has been created, the parties can vary its supplementary terms; but there are certain limits to this.

S-4 Identifying provisions of this Act which are fundamental provisions

4 Identifying provisions of this Act which are fundamental provisions

(1) Each provision of this Act which is a fundamental provision-

(a) specifies that it is a fundamental provision, and

(b) specifies the occupation contracts it is applicable to.

(2) Schedule 1 contains three Parts, identifying the fundamental provisions in this Act as follows-

(a) Part 1 identifies th e fundamental provisions that are applicable to secure contracts,

(b) Part 2 identifies the fundamental provisions that are applicable to periodic standard contracts, and

(c) Part 3 identifies the fundamental provisions that are applicable to fixed term standard contracts.

Overview of rest of Act

Overview of rest of Act

S-5 Overview of Parts 3 to 9: operation and termination of occupation contracts

5 Overview of Parts 3 to 9: operation and termination of occupation contracts

(1) Parts 3 to 9 concern occupation contracts.

(2) Part 3 applies to all occupation contracts; it deals with a range of matters about the rights and obligations of parties to occupation contracts.

(3) Parts 4 to 8 apply only to specific kinds of occupation contract-

(a) Part 4 concerns landlords' obligations relating to the condition of dwellings; Chapter 2 (which sets out the obligations) applies to all occupation contracts except fixed term standard contracts for a term of seven years or more, and Chapters 1 and 3 are of general application,

(b) Part 5 applies to secure contracts only (and section 118 applies only to secure contracts with a community landlord),

(c) Part 6 applies to periodic standard contracts only,

(d) Part 7 applies to fixed term standard contracts only, and

(e) Part 8 applies to supported standard contracts only (a supported standard contract is an occupation contract which relates to accommodation provided in connection with support services).

(4) Part 9 concerns the termination of occupation contracts; in particular, it contains-

(a) Chapters which apply to all occupation contracts, and

(b) Chapters which apply only to specific kinds of occupation contract.

S-6 Overview of Parts 10 and 11: general provision

6 Overview of Parts 10 and 11: general provision

(1) Part 10 concerns miscellaneous matters which are either-

(a) supplementary to Parts 2 to 9, or

(b) about the application and operation of this Act.

(2) Part 11 contains-

(a) provision about the interpretation of this Act, and

(b) provision which applies generally for the purposes of this Act.

2 OCCUPATION CONTRACTS AND LANDLORDS

PART 2

OCCUPATION CONTRACTS AND LANDLORDS

CHAPTER 1

CHAPTER 1

OCCUPATION CONTRACTS

OCCUPATION CONTRACTS

S-7 Tenancies and licences that are occupation contracts

7 Tenancies and licences that are occupation contracts

(1) A tenancy or licence is an occupation contract if-

(a) it is within subsection (2) or (3), and

(b) rent or other consideration is payable under it.

(2) A tenancy or licence is within this subsection if-

(a) it is made between a landlord and an individual, and

(b) it confers on the individual the right to occupy a dwelling as a home.

(3) A tenancy or licence is within this subsection if-

(a) it is made between a landlord and two or more persons at least one of whom is an individual, and

(b) it confers on the individual (or, if there is more than one individual, on one or more of them) the right to occupy a dwelling as a home.

(4) But there are exceptions to subsection (1) set out in Schedule 2, which provides-

(a) in Part 1, that certain tenancies and licences not within subsection (2) or (3) can be occupation contracts if notice is given,

(b) in Part 2, that certain tenancies and licences that are within subsection (2) or (3) are not occupation contracts unless n otice is given,

(c) in Part 3, that certain tenancies and licences are never occupation contracts,

(d) in Parts 4 and 5, that certain tenancies and licences can be occupation contracts, but special rules apply in relation to them, and

(e) in Part 6, that the Welsh Ministers may amend that Schedule.

(5) Each person with whom a landlord makes an occupation contract is a contract-holder under the occupation contract.

(6) But an individual cannot be a contract-holder under an occupation contract if he or she has not reached the age of 18.

S-8 Secure contracts and standard contracts

8 Secure contracts and standard contracts

(1) An occupation contract is either-

(a) a secure contract, or

(b) a standard contract.

(2) A secure contract is a periodic contract.

(3) A standard contract is either a fixed term contract or a periodic contract.

Definitions

CHAPTER 2

NATURE OF CONTRACTS WHICH CAN BE MADE ETC. BY COMMUNITY LANDLORDS AND PRIVATE LANDLORDS

Definitions

S-9 Community landlords

9 Community landlords

(1) In this Act "community landlord"means a landlord which is-

(a) an authority mentioned in subsection (2),

(b) a registered social landlord, other than a fully mutual housing association or a co-operative housing association, or

(c) a private registered provider of social housing (see section 80(3) of the housing and regeneration act 2008 (c. 17) ).

(2) The authorities are-

(a) a local authority;

(b) a new town corporation;

(c) a housing action trust;

(d) an urban development corporation;

(e) a housing co-operative to which subsection (3) applies.

(3) This subsection applies to a housing co-operative (within the meaning of section 27B of the housing act 1985 (c. 68) ) to the extent that any dwelling subject to an occupation contract is comprised in a housing co-operative agreement within the meaning of that section.

(4) In this Act "registered social landlord" means a person...

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