My partner and I are tenants in a property within a Selective Licencing area. We are writing to seek advice on a potential “sham” lodging arrangement and our prospects for a Rent Repayment Order (RRO).
The Situation: We found the property on a popular room-share site and were not provided with a written contract. We have since discovered the property is unlicensed despite being in a mandatory licencing zone. The landlord and their agent (a family member) claim we are “excluded occupiers” (lodgers). However, the landlord is entirely non-resident. We have physical evidence (including mail for previous residents) that the house has been a dedicated rental for several years.
The Conflict: After we requested a formal tenancy agreement and raised safety concerns, the landlord served us a one-month “notice to vacate” and offered to waive the final month’s rent in exchange for leaving. This situation has caused us immense stress and has required an exhausting amount of time to manage alongside our professional commitments. We feel the “rent waiver” is an attempt to settle cheaply to avoid the consequences of their non-compliance.
Our Objectives: We intend to seek compensation for these damages, specifically a 100% Rent Repayment Order for the duration of our stay. We would appreciate insights on the following:
DIY RRO: Is it feasible to handle a Rent Repayment Order application through the First-tier Tribunal without a solicitor? We are confident in our evidence but would like to know if the process is manageable for laypeople.
Damages & Stress: Does the Tribunal take the stress caused by retaliatory notice and the time dedicated to the dispute into account when determining the percentage of the RRO award?
The “Sham” Defence: Has anyone seen a landlord successfully claim “resident” status when they have clearly lived elsewhere for years?
We are currently searching for new accommodation but want to ensure we do not waive our rights to full compensation upon move-out. Thank you for any guidance.
Think your priority should be to establish if you have an ast. Check what documentation you have about what was offered /advertised and agreed when you moved in. ASTs don’t need to be written (this changes j think from 1 may due to RRA)
You say you want an RRO for the ‘ duration of your stay’. Before 1 may the max is 12 months it increases I think to 24 from 1 may due to RRA
Shelter has a page about RROs. It doesn’t mention sham tenancy arrangements but the circumstances you mention may qualify as an illegal eviction and harassment assuming the tribunal agrees you do have a tenancy.
I would get advice from Shelter and Citizens Advice- but there may well be specialists who will act for you on a no win no fee based which as your circumstances aren’t straightforward might be best
Your council licensing scheme will also be able to advise on the penalties the LL faces if it’s an unlicensed tenancy which would also give you more leverage with the LL
Thank you for the advice regarding the Renters’ Rights Act (RRA) on 1 May. While our total stay at the property will only be approximately two months, we see the legislative transition as critical leverage for our Rent Repayment Order (RRO).
Our strategy is now focused on the following:
Leveraging the RRA as a ‘Conduct’ Multiplier: Even though our claim is for a short duration, we are highlighting the landlord’s attempt to bypass the new, stricter RRA protections as evidence of “poor conduct.” We believe that attempting a “lodger sham” right as the RRA comes into force justifies a 100% refund of the rent we have paid.
Rejecting the ‘Bribe’: We have formally declined the landlord’s offer of a one-month rent waiver in exchange for a quick exit. We view this as a low-ball attempt to settle a statutory breach before the new enforcement powers take effect.
DIY RRO vs. Specialists: Given the short duration of our stay (2 months), we are weighing the costs of a “no win, no fee” firm against handling the Tribunal ourselves as litigants in person. Since our evidence of the “sham” is so strong, we feel confident presenting this to the First-tier Tribunal directly.
We are currently logging our search for a new property—including cancellations beyond our control—to prove we are acting in good faith. Our goal is to vacate shortly after 1 May, ensuring our case is heard in a post-RRA legal environment.
If you are asserting that you do have an ast than from 1 may you have to give 2 months notice or more (ending at the end of a rent payment period) unless a shorter notice period agreed between yourself and the Landlord.
You also will have 2 years to make the RRO claim from the offence so can wait till you have left, or negotiate a payment with the LL - assuming they seek legal advice and get confirmation that your evidence is strong they may be willing to settle
The proposed changes to Rent Repayment Orders • The Independent Landlord The proposed changes to Rent Repayment Orders • The Independent Landlord
Gov guidance here
Rent Repayment Orders: guidance for tenants
This guidance is for tenants who rent privately and want to apply for a rent repayment order.
Any case you make will need good supporting evidence and any successful RRO claim will be on the basis that the property requires a licence but doesnt have one, not that its a sham tenancy.
Let’s deal with the tenure first:
1.You mention some evidence that the landlord doesnt live there, but does this show that the previous occupants had exclusive possession and were not lodgers? You should check any written correspondence you have with the agent/landlord that demonstrates this. If you can get former occupants to write a witness statement, that would also help. In any case if it went to Tribunal, the landlord would be asked for evidence that he does live there.
2. As you dont have a written contract and have only lived there 2 months, the landlord could try to claim its a holiday let or you claimed to be a short term contract worker. You would need to counter this by showing that its your only home through bills, bank statements, electoral roll etc.
3. The Landlord could try to claim that its a serviced property and that you are therefore licensees. This may be harder to refute if he persuades a friend/relative to claim they clean the place and launder the bed-linen. You would probably just assert that no cleaner ever came.
With regard to the property licence, you say its a mandatory licence area, but I’m assuming you are all one household, (not 3 or more sharers) and you’re referring to a Selective Licence? Have you checked the Councils website to ensure your particular ward is covered by the licensing designation? If its licensable, another option would be to ask the Council to attend because of your safety concerns. You could then demonstrate that the landlord doesnt live there and mention the lack of a licence. The Council would then take up the case and you could make your RRO claim on the back of it.
Finally, its worth saying that this could be a lot of hassle for a maximum of 2 months rent rebate. If that is the key driver, you could just negotiate 2 months rent reduction from the landlord to leave.