The Renting Homes (Wales) Act 2016 (Amendment of Schedule 12 and Consequential Amendment) Regulations 2023

EXPLANATORY NOTE

(This note is not part of the Regulations)

These Regulations amend Schedule 12 to the Renting Homes (Wales) Act 2016 (anaw 1) (“the 2016 Act”) and make a consequential amendment to the Renting Homes (Amendment) (Wales) Act 2021 (asc 3). Schedule 12 to the 2016 Act (“Schedule 12”) makes provision about tenancies and licences that existed before the 2016 Act came into force and which converted into occupation contracts on 1 December 2022 (the day on which section 239 of the 2016 Act came into force). These contracts are known as “converted contracts”. Schedule 12 is designed to ensure that the 2016 Act works correctly in relation to the same.

Paragraph 11 of Schedule 12 deals with the requirement upon the landlord to provide a written statement in relation to converted contracts, within the information provision period (defined in paragraph 11(1) of Schedule 12).

Paragraph 32 of Schedule 12 defines substitute contracts as specified contracts that arise after a converted contract ends and provides that substitute contracts are to be treated as if they were the same tenancy or licence as the converted contract.

These Regulations amend Schedule 12 to clarify the written statement requirements in relation to converted contracts, where there has been a change in the identity of the contract-holder before 1 June 2023 (which is the end of the information provision period), and in relation to substitute contracts.

Regulation 3 amends paragraph 1 of Schedule 12 to insert a definition of “substitute contract” in consequence of amendments made by these Regulations.

Regulation 4 amends paragraph 11 of Schedule 12 to modify the operation of section 31(2) in relation to converted contracts where there has been a change in the identity of the contract-holder before 1 June 2023. Regulation 4 also disapplies paragraph 11 in relation to substitute contracts.

Regulation 5 inserts a new paragraph 11A into Schedule 12. New paragraph 11A(1) modifies section 31(1) and (2), section 36(3)(a), section 37(3)(a) and section 39(1) of the 2016 Act in relation to their application to substitute contracts which come into existence before 1 June 2023. New paragraph 11A(2) modifies section 31(1), section 36(3)(a), section 37(3)(a) and section 39(1) in relation to their application to substitute contracts that come into existence on or after 1 June 2023.

Regulation 6 amends paragraph 12A of Schedule 12 so that it does not apply to substitute contracts. Regulation 6 also amends the modified paragraph 2(a) of Schedule 9A (set out at paragraph 12A(b) of Schedule 12) in consequence of amendments made by these Regulations.

Regulation 7 amends paragraph 13(1) of Schedule 12 so that it does not apply to substitute contracts and separate provision is made for those contracts under paragraph 11A(1)(d) and (2)(b) of Schedule 12.

Regulation 8 amends paragraph 15(3)(b) of Schedule 12 to omit reference to paragraph 32 of that Schedule (as this is now included within the definitions in paragraph 1 of Schedule 12).

Regulation 9 amends paragraph 32 of Schedule 12 in consequence of amendments made by these Regulations.

Regulation 10 omits paragraph 27(2) of Schedule 6 to the Renting Homes (Amendment) (Wales) Act 2021 in consequence of the amendments made by these Regulations.

The Welsh Ministers’ Code of Practice on the carrying out of Regulatory Impact Assessments was considered in relation to these Regulations. As a result, it was not considered necessary to carry out a regulatory impact assessment as to the likely costs and benefits of complying with these Regulations.