What is the Decent Homes Standard and what does it mean for landlords

The implementation of the Renters’ Rights Bill this year aims to provide a fairer rental market where tenants have greater security and protections. Part of that includes improving the condition of rental properties, which is where the application of a renewed Decent Homes Standard (DHS) comes in. In this article we look at what the Decent Homes Standard is, and what it means for landlords.

What is the Decent Homes Standard?

The Decent Homes Standard is a set of criteria set out by the government, outlining the minimum expectation for a property's standards, so that those inhabiting it can be considered to have decent living standards. The Decent Homes Standard was published in the UK in 2002 and applied to social housing. The target was for all social housing to meet the standards laid out by 2010.

In 2025 the Renter's Rights Bill is set to come into force, and amongst its features will be the application of a Decent Homes Standard, similar to the one that currently exists for social housing, to private rentals.

For example, it will mean (but is not be limited to):

●      Making sure properties are structurally sound (roof, walls, windows, chimneys)

●      Ensuring there is no damp, mould, or disrepair (with the notable extension of Awaab’s Law into the private rental sector)

●      Ensuring essential facilities and services are in place (heating, kitchen)

Is the Decent Homes Standard applicable to private landlords?

At the time of writing, the Decent Homes Standard is not applicable to private landlords, but it will be by the end of 2025. It's therefore prudent, as well as ethical, for landlords to prepare for the changes if they do not currently meet the requirements set out.

In the government's published consultation outcome on the topic, it notes:

"This standard is broadly consistent with the existing standard in the social rented sector but includes adjustments to reflect the specific circumstances of the private rented sector, specifically removing the requirement for kitchens and bathrooms to be of a certain age and reflecting the existing requirement to meet minimum energy efficiency standards in the private rented sector. We are conscious that property types in the private rented sector tend to be more diverse than the social rented sector, and we are committed to ensuring the Standard and its enforcement suits the varied needs of the sector."

What do the changes mean for landlords?

The changes mean that landlords will have a legal duty to make sure their property meets the Decent Homes Standard, and that they are required to take a proactive rather than reactive approach towards ensuring that outcome.

Most responsible landlords will already ensure that their properties meet the criteria set out by the Decent Homes Standard, simply by making sure that their properties are well cared for. However, the new rules will mean that there are more specific parameters that need to be checked to make sure your property is in compliance with the regulations. That includes making sure properties are in a reasonable state of repair and that they're free from serious health hazards.

The risks of non-compliance

There's an emphasis on penalties within the Bill, with an established process for enforcement, investigation, and penalties. Local councils are being given a range of new powers to check and enforce standards or to take action against anyone who doesn't comply.

This includes:

●      A civil penalty of up to £7,000 for initial or minor non-compliance

●      A civil penalty of up to £40,000 for serious, persistent, or repeat non-compliance

●      Serious, persistent or repeat non-compliance may also lead to a criminal prosecution

●      Failure to comply with ombudsman decisions may lead to landlords being expelled from the Private Rented Sector Landlord Ombudsman scheme, followed by possible fines and penalties from the local council

●      Rent repayment orders (RROs) may also mean tenants can seek repayment of rent from their landlord if they don't comply with the Renters’ Rights Bill

The government consultation on the Decent Homes Standard notes:

"If landlords are in breach of this requirement as identified by a local council through an inspection, this would be a criminal offence and it can be dealt with by either issuing a civil penalty or undertaking a prosecution in the magistrate’s court. We propose that failure to comply with this duty also be made a banning order offence. A banning order prohibits a landlord from letting housing or engaging in letting agency or property management work."

How private landlords can prepare for the Decent Homes Standard

As a reputable landlord, the chances are that your property will already meet the requirements for the Decent Homes Standard. However, it's important to dot the Is and cross the Ts to make sure you and your tenants are protected and compliant with the regulations. If you work with a good letting agent, they will help to ensure your property and your contract is up to date. However, some of the things you can start doing, or you should make sure your agent is doing, include:

1) A detailed audit or survey of the property and its condition This should include inspecting heating systems, plumbing, insulation, ventilation, and the structural integrity of the property. Make sure you document your findings so that you can address them in a timely and suitable manner. 
2) Address any known hazards Pay particular attention to any damp, mould, and the temperature of the property to make sure it's not unreasonably difficult to keep warm. If you currently have a tenant in situ, make sure any problems are addressed sooner rather than later, and that you communicate with your tenant so that changes can be made at mutually agreeable times. 

3) Upgrade outdated kitchens and bathrooms If kitchens and bathrooms are more than 20 years old, it's recommended that plans are made to update them in order to keep them safe, functional, and energy efficient. Modern amenities will also help to attract good tenants and encourage them to look after them well while they're in residence. 

4) Review heating and insulation performance

It's particularly important to check the EPC rating of your property, including how well the heating and insulation are working. New legislation means that rental properties will have to achieve an EPC rating of C or higher by 2030. In addition, properties that can't be maintained at a temperature between 18°C to 21°C at a reasonable cost to the occupier are not considered adequate.

Read our private landlord's guide to property maintenance and safety standards - here

5) Stay up to date with the rules and regulations

While a good letting agent will keep you fully informed about changes in rules and regulations, and guide you as to how to remain compliant, it's also helpful for your own peace of mind to remain aware of any changes that impact private landlords. You might also find it helpful to read our landlord's guide to the Renters Rights Bill.

Chestertons is the premier London lettings and estate agency with more than 200 years’ experience and a team of experts offering a range of services from a full-time compliance department to property management, for both long- and short-term lets. If you would like to find out more about working with Chestertons contact your local Chestertons letting agent at any time.

Contact your local Chestertons letting agent - here