Newham Council has adopted new powers to enhance renter protections as part of its implementation plan for the Renters' Rights Act 2025 (RRA25). The decision, made by Interim Chief Executive Paul Martin on April 29, 2026, introduces a revised Private Sector Housing Enforcement Policy and delegates authority for further policy finalisation. This move aims to create a fairer private rented sector by abolishing Section 21 'no-fault' evictions, limiting rent increases to once per year, and prohibiting landlords from inviting or accepting offers above the advertised rent. The RRA25, which comes into effect on May 1, 2026, also introduces new civil and criminal offences for landlords, with maximum civil penalties increased to £40,000.
The council's revised Private Sector Housing Enforcement Policy incorporates government guidelines and RRA25 requirements. A key element is a discretionary 10% uplift on civil penalty starting points to reflect Newham's higher-than-average rents. This uplift will be reviewed annually by the Head of Service according to current ONS data to ensure it acts as a deterrent without exceeding the average rent increase for Newham.
The policy details a matrix for determining civil penalties, considering aggravating and mitigating factors based on the culpability of the offender and the harm caused. Culpability factors include the number of properties owned or managed, previous history of non-compliance, any admission of guilt, and how quickly non-compliance has been remedied. Harm factors assess the level of risk posed to tenant safety and wellbeing, whether that risk has materialised, and the vulnerability of tenants.
Delegated authority has been granted to the Director of Housing Needs and Head of Private Sector Housing to make minor amendments to the policy. Further authority is given to the Director of Housing Needs and Director for Law and Governance, in consultation with the relevant Portfolio Holder, to finalise any additional policies required by subsequent parliamentary orders. The Director of Housing Needs and Director of Legal Services are also authorised to approve amendments to the Council's Constitution and Scheme of Delegation to empower officers with the new RRA25 powers.
To effectively implement these new powers, officers will receive specific training in new legislation, enforcement powers, cultural competence, equality, disability awareness, and inclusive communication. Training for PFEA and new powers has already been delivered, with ongoing presentations.
A Renters' Rights Act Project Board has been established, led by the Director of Housing Needs, to meet monthly and monitor progress, financial expenditure, and agree future actions. All involved services are directed to progress the actions outlined in the implementation plan.
The implementation is supported by new burdens funding from the Ministry for Housing, Communities and Local Government (MHCLG). An initial £168,000 was allocated for preparation costs, intended to cover staff training and the recruitment of additional staff, based on the size of Newham's private rented sector. Furthermore, £600,000 for 2026/27 and £300,000 for 2027/28 is designated for managing the impact on homelessness services. This funding aims to prevent homelessness, including addressing the impact of increased Section 21 'no-fault' evictions served before the ban and subsequent court actions. An additional £364,000 is allocated for enforcement in 2026/27.
It is anticipated that income from Civil Penalty Notices, which is ring-fenced for housing enforcement, along with a proportion of the registration fee for the national property data base, will sustain property licensing staff enforcement costs from 2027/28 onwards. This is expected to cover related costs from RRA requirements as government new burdens funding is likely to reduce from 2027/28.
An Equality Impact Assessment for the proposal concludes it has a strong positive equality impact, particularly for groups disproportionately affected by poor-quality private rented housing, such as disabled residents, Black and Global Majority communities, pregnant tenants, care-experienced young adults, women, single mothers, and low-income households. Mitigating actions include multilingual guidance, proportionate enforcement, officer training, targeted engagement, and prioritisation of vulnerable tenants.
The decision aligns with the Council Priority 5: 'Homes for our residents', aiming to ensure high-quality, well-managed, and safe rented housing. Further details on the decision can be found in the Public reports pack 29th-Apr-2026 Officer Key Decision.