Early termination charges after receiving a Section 21 No Fault Eviction

matt_drummer

I have a lot of sympathy with the OP.

They entered contracts in good faith and the eviction was totally beyond their control.

I don't think renting should exclude you from securing the right energy contract just because you might get evicted.

The energy supplier isn't at fault either.

So, to the landlord, not at fault, but caused the issue.

Morally, I think the early termination fees should fall on the landlord.

Probably impossible to enforce though.

Canarywary

saajan_12 said:

This is arising from your choice to take out longer term utility contracts with a shorter term right to live in the property being supplied. Additionally your choice to move from that rental to somewhere that does not need the utility contract. 

Nothing unreasonable by the utility company, they aren't party to your agreements with the LL and your house moving plans. 

No, this isn't arising from 'my choice to take out longer term utility contracts', it's arising because we've been kicked out of our house for no fault of our own. And yes, there IS something unreasonable by the utility company - financially punishing their customers who are already facing the stress and trauma of a no-fault eviction. And no, we didn't have an 'agreement' with our landlord for them to kick us out with the minimum legal notice. But otherwise thanks for your sympathetic and helpful non-advice, it was really useful.

Canarywary

Mark_d said:

Rental properties are often only short term commitments.  When I've been in rental it's never been for more than a year - usually just 6 months.  This should influence you decisions as to what items you want to buy, how much money you want to spend, and what contracts to sign up to.

If [the two of] you want to be in a rental property by yourselves, then why move in to other people's houses?  If you were simply going from one rental property to a similar property there would be no issue.  What is your plan?

If we'd entered this rental situation with the plan that it would only be short term, we wouldn't have signed up to a longer term agreement. We'd been in this property for 3 years and I'd been in my previous rented property for 12 and a half years. It doesn't seem very fair that renters should be expected to pay the much higher costs of rolling or short-term contracts, in case their landlords kick them out, whilst those lucky enough to own their houses can benefit from lower energy bills. We're moving into other friend's (owned) houses because it's all we can afford with the insane rental prices of our city (Bristol), not to mention demand massively outstripping supply, bidding wars etc. My housemate has an 8-year old which makes it harder to find affordable properties due to needing that 3rd room.

When we signed up to the energy contract it was in the midst of an energy crisis in which we were being warned to sign up to these sorts of deals to avoid stratospheric price rises.

Bring on the ban on no-fault evictions.

MP1995

In this instance the Landlord is selling. Even under the renters rights bill that will be a valid reason.

You could approach both your Energy supplier and Landlord and ask them both for a goodwill gesture. Neither have to do this.

Scot_39

Whether you like it or not rental in the UK is largely on an AST basis - and these usually only guarantee a 6 month stay.

A ban on no fault exists elsewhere - but in UK may see a rush to sell or the end of longer tennancy agreements  - too many risk averse small scale landlords.

https://england.shelter.org.uk/housing_advice/eviction/section_21_eviction

From that and similar info on gov uk websites, I read yhat as if renting under AST a landlord can serve a no fault notice to quit with a minimum of 2 months notice  at any time - as long as quit day after 6 months.  Assuming there was a break clause in any longer than 6 months term contract - which I have seen in recent vases when neices and nephews renting at uni.

Therefore ideally no contracts should be entered into beyond that 6m then rolling 2m.  Past tennancy duration is irrelevant to current. 

Easy with energy.

Lot less so with broadband.  My isp said it wanted 6m min of 18m term even if move service to new address when last upgraded as was thinking of moving pre recent rate rises.

I cannot see why the landlord owes you anything under current rules - break clauses and notice work both ways.  Would you have stayed if landlord doubled rent - or used the break clause to move early - and would you then help landlord with agents fees to secure new tennant ?

Try Octopus again - they have in past released people from exit fees - but that was iirc when moving to new cheaper fix deals though.  But you may get a goodwill gesture.

mmmmikey

FWIW I do think the earlier responses along the lines of "it's your fault for entering into the contract in the first place" show a considerable lack of empathy and understanding of the difficulties tenants face. As you point out, it just doesn't seem right that you should face these charges. There's enough stacked up against tenants in the current market without the additional burden of not being able to shop around and fix your energy contract.

Unfortunately I don't think you have a basis for a complaint - my approach would be to send a "nice" email to your supplier pointing out that the contract termination is outside your control, not something you wanted and an expense you cannot easily afford. You appreciate it's not really their problem either but in the circumstances would they waive their termination fee? You understand that this is something other suppliers do as a matter of course.

Not sure if it will work but worth a try, maybe?

As far as legislation to protect tenants rights is concerned, that unfortunately has the effect of making things less attractive for landlords which will inevitably drive up already high rents so I personally don't think it's the answer or will help much. I'm more in favour of building council houses and/or increasing the housing stock. That's a long term solution so in the meantime I'd be supporting renters as best I could through the tax and benefits system.

Anyway, good luck and I hope you get something sorted 👍😁

molerat

Very strange from Octopus whose ethos is around fairness in the energy market.

MattMattMattUK

mmmmikey said:

As far as legislation to protect tenants rights is concerned, that unfortunately has the effect of making things less attractive for landlords which will inevitably drive up already high rents

I totally agree, the people who I knew who were landlords have or are all in the process of exiting the rental market apart from one who has multiple properties and does it professionally, however he is hugely increasing the requirements to be able to rent from him as well as having his rents priced at the upper end and he has disposed of cheaper rental properties because he does not want to be involved in that end of the market. 

mmmmikey said:

I'm more in favour of building council houses and/or increasing the housing stock. That's a long term solution 

I think we need to build lots of homes, who owns them is almost irrelevant to the overall impact and we also need to reduce immigration as well to a level where we can cope with whatever levels of population growth it creates.

mmmmikey said:

I'd be supporting renters as best I could through the tax and benefits system.

I do not think renters should get any special treatment, the support should be the same for renters or homeowners. I also think that we need to equalise housing benefit nationally. One fixed payment level across the whole country and people move where they can afford to live, just like those of us who pay our own rent/mortgages are required to do. 

mmmmikey said:

FWIW I do think the earlier responses along the lines of "it's your fault for entering into the contract in the first place" show a considerable lack of empathy and understanding of the difficulties tenants face. As you point out, it just doesn't seem right that you should face these charges. There's enough stacked up against tenants in the current market without the additional burden of not being able to shop around and fix your energy contract.

Unfortunately I don't think you have a basis for a complaint - my approach would be to send a "nice" email to your supplier pointing out that the contract termination is outside your control, not something you wanted and an expense you cannot easily afford. You appreciate it's not really their problem either but in the circumstances would they waive their termination fee? You understand that this is something other suppliers do as a matter of course.

I agree, it is one of those things I would chalk up to it being no one's fault and is just somewhat unfortunate. 

Chrysalis

MP1995 said:

In this instance the Landlord is selling. Even under the renters rights bill that will be a valid reason.

You could approach both your Energy supplier and Landlord and ask them both for a goodwill gesture. Neither have to do this.

This is very true, it is important to note that the reform doesnt prevent LL's choosing to sell or repurpose the property.  These are legitimate reasons to evict someone out of contract.

I have always felt fixed tariffs with heavy exit fee's need to be considered very carefully, they often only have very small savings, which makes the exit fees inflated for the benefit.  This applies even more so for short term tenancies.

matt_drummer

Chrysalis said:

MP1995 said:

In this instance the Landlord is selling. Even under the renters rights bill that will be a valid reason.

You could approach both your Energy supplier and Landlord and ask them both for a goodwill gesture. Neither have to do this.

This is very true, it is important to note that the reform doesnt prevent LL's choosing to sell or repurpose the property.  These are legitimate reasons to evict someone out of contract.

I have always felt fixed tariffs with heavy exit fee's need to be considered very carefully,  they often only have very small savings, which makes the exit fees inflated for the benefit.  This applies even more so for short term tenancies.

I think many people have lost sight of what fixing is for. 

The main purpose of a fix is to protect against large unexpected price rises over the duration of the contract.

I see lots of talk here about taking fixes to save money but that really isn't what they are for. If I was on a limited income where a large increase in energy costs would leave me in financial difficulty a fix would be very attractive even it was above current rates. The fact that I was in rented accommodation shouldn't stop me.