Registration of a fair rent

An application to fix a fair rent must be made to the rent officer and can be made by the tenant or their landlord, or jointly by both parties. An application by one of a number of joint tenants will be invalid, unless they have authority to apply on behalf of the others. [1] The application, on the form prescribed by regulations, [2] must state the amount of proposed rent. The rent officer will set a fair rent and they must hold a consultation if either party request it. Both parties are entitled to be represented at this consultation. If either party is unhappy with the rent officer's decision, they can appeal to the First Tier Tribunal Housing and Property Chamber for a rehearing within 28 days of the rent officer's decision. If an appeal is made outwith the 28-day time limit, the rent officer can refer the case to the tribunal or seek guidance from it. The First Tier Tribunal Housing and Property Chamber can hear an appeal even if it is late. [3]

Advisers should make their clients aware that in many cases where tenants refer rent officer fair rents to First Tier Tribunal Housing and Property Chamber, the rent can be increased above the rent officer's level. A registered rent takes effect from the date of registration by the rent officer. Where the rent is determined by the tribunal, it takes effect from the date of the tribunal decision. A registered rent is effective for three years from the date of registration. The fair rent applies to the premises, not the tenancy, so long as it is let on a protected tenancy. If the form of occupation changes (for example, an assured tenancy is created) the fair rent will not apply to the occupier.

A rent officer hearing is usually informal and any written evidence can be sent in advance or presented on the day. Advisers should check what the normal practice is in their area. For First Tier Tribunal hearings, written evidence sent in advance will be passed to the other party. First Tier Tribunal hearings are more formal than rent officer hearings and a tenant may wish to be represented. In any case, they should prepare evidence in advance. If the tenant or their adviser wishes to be given written reasons for the committee's decision, these should be requested at the end of the hearing.

Although the rent officer or First Tier Tribunal are not obliged to, they may wish to inspect the property. First Tier Tribunal hearings will often be conducted in the afternoon, allowing the members of the First Tier Tribunal to visit properties in the morning. Rent officers are advised to inspect once every five years unless the landlord or tenant specifically requests an inspection or there has been a change in the condition of the premises. Inspections can take place before or after a rent officer consultation. The landlord may be present at the inspection but the tenant can refuse permission for the landlord to be there if they wish.

If the rent increases because of a registration or re-registration, the landlord must serve a notice of increase before the rent can be increased to the new level. The notice must be in the prescribed form and specify the increase and the date from which it will take effect. [4] This date must not be earlier than the date the registration took effect and not more than four weeks before the date on the notice. If no notice of increase is served, the tenant is not obliged to pay more rent and is able to recover amounts of overpaid rent. [5]

Where the rent is increased by the rent officer and is then further increased by the First Tier Tribunal, the landlord must serve a fresh notice of increase.

Once a fair rent has been registered it cannot generally be reconsidered for a period of three years. After the expiry of the three-year period, either the landlord or the tenant can apply for a new fair rent to be registered. [6] In reality it will usually be the landlord who makes the application for a new fair rent, and they can apply during the last three months of the two-year period even though any new increase will not be effective until the three-year period has ended. [7] An application can be made before the expiry of the three-year period where there has been a change in circumstances.

A registered rent can be reconsidered before the expiry of three years on the application of either party if there is a specific change that makes the registered rent no longer a fair rent. The changes must be to:

• the condition of the property including improvements

• the terms of the tenancy

• the quantity, quality or condition of any furniture

• any other circumstances considered when the rent was registered. [8]