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Rent increase CPI

skipad
skipad Posts: 13 Forumite
Fourth Anniversary Combo Breaker First Post
edited 8 September 2022 at 10:04AM in House buying, renting & selling
Hi all

My 12 month tenancy ends 30th Sept 22.
Within my tenancy agreement it is stated that the rent will increase each year due first rent due date more than 364 days after commencement . The rent will increase by the amount stated for annual increase in CPI as quoted two months prior to month of increase .
I haven’t heard anything from Landlord as yet . Am I right that I still need to receive written notice ( 1or 2 months?) of rent increase for 1st of October and that if I don’t hear anything then just continue at present rent ?

Many thanks 

Comments

  • Alderbank
    Alderbank Posts: 3,749 Forumite
    Eighth Anniversary 1,000 Posts Name Dropper
    skipad said:
    Hi all

    My 12 month tenancy ends 30th Sept 22.
    Within my tenancy agreement it is stated that the rent will increase each year due first rent due date more than 364 days after commencement . The rent will increase by the amount stated for annual increase in CPI as quoted two months prior to month of increase .
    I haven’t heard anything from Landlord as yet . Am I right that I still need to receive written notice ( 1or 2 months?) of rent increase for 1st of October and that if I don’t hear anything then just continue at present rent ?

    Many thanks 
    Which country are you in and why is your tenancy ending?
    I am guessing you are not in Scotland and you have a fixed term assured shorthold tenancy, and you and your landlord have agreed it will end 30th September.
    Is that correct?

  • There's nothing stopping you suggesting some other increase ( or freeze or decrease...).

    An intelligent landlord would prefer to hold onto a good tenant for maybe a bit less rather than incurr expenses, possible gap in rent etc etc.

    However, no requirement to be intelligent to be a landlord (nor humanity, training, consideration....)
  • skipad
    skipad Posts: 13 Forumite
    Fourth Anniversary Combo Breaker First Post
    edited 8 September 2022 at 11:58AM
    I’m in England and the initial 12 month tenancy is ending and will go into periodic tenancy and I intend to stay . I’m just checking rent increase has to follow normal Section 13 regardless of what is stated in tenancy agreement 
  • Hi Skipad,

    the main complication here is that we don't know your status after the fixed term expires. 

    You may move onto a contractual periodic tenancy, which is where your existing tenancy agreement defines the rolling tenancy arrangement that you may move onto. 

    Or, you may be moved onto a statutory periodic tenancy, which is a separate tenancy defined in law. But it uses all the terms in your current tenancy except those related to timescales. It is designed to deal with situations where a CPT is not established, which is actually very common as an SPT will basically do it anyway if you leave it undefined.

    The reason it's important is that you can have a rent review clause in an CPT, assuming it is a fair clause in consumer contracts legislation, which this one probably is. But in an SPT rent review clauses do not apply. More detail in the link below (some way down).

    https://www.nrla.org.uk/resources/creating-your-tenancy/guide-to-contractual-and-periodic-tenancies

    If you are in an SPT, you can wait for a Section 13 notice or at least for the LL to contact you and for you voluntarily agree to a higher rent.

    If you are in a CPT, then in theory the rent is due as described. But I would still wait for communication from the landlord to agree the calculation, or contact the LL to ask if you want to be very caring about the relationship. No court is going to punish you for underpayment of the rent if the LL refuses to agree a number with you, and any 'dispute' can be solved immediately by paying the rent due when it's pointed out, rather than bothering the courts. 
  • skipad
    skipad Posts: 13 Forumite
    Fourth Anniversary Combo Breaker First Post
    My tenancy agreement advises fixed and then becomes periodic-SPT so will await a section 13…many thanks for your help
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