Tom Lumsden, a partner at CooperBurnett LLP, looks at a long-awaited white paper which is intended to deliver a better deal for tenants
In June 2022, the Department for Levelling Up, Housing and Communities published the long-awaited white paper A fairer private rented sector. The objective is to deliver a better deal for tenants. Care home operators may be asking themselves: how is this white paper in any way relevant to their business?
While care home residents often occupy their accommodation under personal care contracts (as purely contractual licensees) there are many care developments where the care package is split into two separate contracts: one for personal care, and an entirely separate tenancy agreement (usually an assured shorthold tenancy) that deals only with accommodation. For this reason, care home providers, in their capacity as landlords within the private rented sector (PRS), need to take notice of the new white paper and plan ahead.
The key features of the proposed reforms include plans:
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