Housing Associations / Legal

The Use and Management of Assured Short-hold Tenancies in a Private Sector Leasing Scheme

Summary

Due to the short term nature of the way accommodation is leased to a Registered Social Landlord and that the head landlord requires vacant possession of the property at the end of the lease period, it is recognised that the form of tenure given to the tenant of the RSL should be such that properties can easily be returned to the owner at the end of the lease period.  

Further Information

The Housing Corporation expects Registered Social Landlords (RSLs) to give their occupants the most secure form of tenancy possible and it is therefore, expected that periodic tenancies will normally be issued. The Corporation recognise, however, that there are circumstances where other forms of tenure may be appropriate. The Housing Corporation have issued a Code of Practice under Circular R3/36/96 for the use of Assured Short-hold Tenancies.

The Assured Short-hold Tenancy is a particular type of Assured Tenancy. Assured Short-hold tenancies must be for a term of at least six months and there is no maximum term. An Assured Short-hold Tenancy must not be granted to someone who, immediately before the tenancy is issued, was a tenant of the same RSL under an assured periodic or secure tenancy. This is to prevent landlords from making existing tenants accept tenancies with less security.

When a property is let on a temporary basis, i.e., short-life, or leased properties, the length of the Assured Short-hold Tenancy will reflect the length of the lease that the RSL has with the freeholder, for instance this could be a term of three years. However the Assured Short-Hold Tenancy does not carry a determined end date. 

An assured short-hold tenancy can be ended by the landlord by service of a notice of not less than two months duration (under section 21 of the Housing Act 1996). This guarantees the landlord possession in the Courts should the tenant not leave at the end of the notice period as the grounds for possession are mandatory. There is also a ‘fast track’ procedure available at the County Court to enable the landlord to gain a possession order within approximately 3 weeks of the application being made. The Housing Corporation gives guidance on the management of assured short-hold tenancies and suggests that landlords should use a consistent approach in the management of short-hold tenants. However, in the following circumstances an RSL may end an Assured Short-hold Tenancy using the Mandatory Two Month Notice (Section 21 of the Housing Act 1996).

The tenancy is an assured short-hold because the RSL has assisted the Local Authority in discharging its duties to homeless households under Part VII of the Housing Act 1996, and the Society has been notified by the Local Authority that the tenant has refused an offer or offers of suitable permanent accommodation and therefore their duty to provide temporary accommodation has ceased.

The tenancy is an assured short-hold because the accommodation let has been leased to the RSL on a short term basis and the head landlord has advised the Society that the lease is not to be renewed and vacant possession is required.

Downloads

Assured Short-Hold Tenancy Agreement

External Links

Housing Corporation