Draft Residential Tenancy (Jersey) Amendment Law 202- (P.24/2025): sixth amendment

STATES OF JERSEY

DRAFT RESIDENTIAL TENANCY (JERSEY) AMENDMENT LAW 202- (P.24/2025): SIXTH AMENDMENT

Lodged au Greffe on 26th August 2025 by Deputy M.R. Scott of St. Brelade

Earliest date for debate: 9th September 2025

STATES GREFFE

2025  P.24/2025 Amd.(6)

DRAFT RESIDENTIAL TENANCY (JERSEY) AMENDMENT LAW 202- (P.24/2025): SIXTH AMENDMENT

1  PAGE 45, ARTICLE 3 –

1. Delete Article 3(1).
2. For Article 3(2) substitute –

2. In Article 1(1), after the definition "period" there is inserted –

"periodic  tenancy"  means  a  residential  tenancy  under  which  the  tenant occupies a residential unit on the basis of a recurrent period;

3. Delete Article 3(3).
4. In Article 3(4), for the definition "Rent Tribunal" substitute –

"Rent Tribunal" means the Tribunal (if any) established under Regulations made under Article 24(1)(la);

5. In Article 3(6), delete the definition "social rented housing".
6. In Article 3(7), delete the definition "total duration".
7. In Article 3, renumber the paragraphs accordingly.

2  PAGE 46, ARTICLE 4 –

1. In Article 4(1), delete "and (2)".
2. Delete Article 4(2).

3  PAGE 46, ARTICLE 5 –

1. In Article 5, in new Article 4(1) and (2), for "made or varied" substitute "made, varied or renewed" in each place.
2. In Article 5, after new Article 4(1)(d) insert –

(e)  set out notices that are approved by, and are published on a website maintained by or for, the Minister and that give information about –

1. the tenant's right to apply for a decision on whether  a rent increase is reasonable if there is a Rent Tribunal and the increase is greater than the threshold specified by Regulations;
2. the tenant's right to be heard by the Court in any proceedings brought by the landlord about the residential tenancy, including in relation to a failure to pay rent, a rent increase or an application for the tenant's eviction;
3. the Court's power to make an order about the rent payable, or to adjust the parties' rights in relation to rent payments, under Article 16;
4. the Court's power to stay an eviction order (if obtained by the landlord under Article 11 or 12), subject to review or variation of the rent payable, under Article 14; and

5. any  publicly  available  service  for  mediating  disputes  about residential tenancies.

4  PAGE 47, ARTICLE 6 –

For Article 6 substitute –

6  Part 3A (tenancies may become periodic) inserted

After Part 3 there is inserted –

PART 3A

TENANCIES MAY BECOME PERIODIC

7A  Certain tenancies for specified terms become periodic tenancies

A tenant's residential tenancy becomes a periodic tenancy if –

1. the tenant has had 1 or more residential tenancies of the same residential unit for a total consecutive duration of 3 years; and
2. that duration was reached by the grant, renewal or extension of 1 or more residential tenancies for a specified term of 6 months or less in each case.

5  PAGE 56, ARTICLE 7 –

Delete Article 7(1), (2), (4) and (5) and renumber the paragraphs accordingly. 6  PAGE 57, ARTICLE 9 –

In Article 9, delete new Article 11(3).

7  PAGE 57, ARTICLE 10 –

For Article 10 substitute –

10  Article 12 (termination and eviction where failure to rectify breach) amended

After Article 12(4) there is inserted –

(5)  If there is a Rent Tribunal and it has decided that an increase in the rent payable under the agreement is not reasonable, the Court must take the decision into account in considering the matters in paragraph (2)(a) and

(4) (about a breach and its seriousness).

8  PAGE 58, ARTICLE 11 –

Delete Article 11 and renumber the subsequent Articles accordingly.

9  PAGE 63, ARTICLE 13 –

Delete Article 13 and renumber the subsequent Articles accordingly.

10  PAGE 63, ARTICLE 14 –

1. In Article 14(2), for new Article 15(1)(e) substitute –

(e)  if there is a Rent Tribunal, any decision of the Rent Tribunal that an increase in the rent payable under the agreement is not reasonable.

2. Delete Article 14(3).
3. In Article 14, renumber the paragraphs accordingly.

11  PAGE 64, ARTICLE 15 –

In Article 15, for new Article 16(1A) substitute –

(1A)  If there is a Rent Tribunal –

1. the Court's jurisdiction is not exclusive in respect of a matter for which the  Rent  Tribunal  has  jurisdiction  under  Regulations  made  under Article 24(1)(la) or (lb); and
2. the Court must, in exercising its powers under this Article, take into account any decision of the Rent Tribunal that an increase in the rent payable under a residential tenancy agreement is not reasonable.

12  PAGE 64, ARTICLE 17 –

Delete Article 17 and renumber the subsequent Articles accordingly. 13  PAGE 65, ARTICLE 18 –

Delete Article 18(2) and (3).

14  PAGE 65, ARTICLE 19 –

1. In Article 19(1), for new Article 24(1)(la) to (lf) substitute –

(la)  providing for the establishment of a Rent Tribunal with original, non-

exclusive jurisdiction, on application by the tenant, to decide whether an increase in the rent payable under a residential tenancy agreement is reasonable but only in respect of an increase that is greater than a specified threshold, whether –

1. the increase in RPI for the relevant period, rounded up to the nearest pound; or
2. another threshold;

(lb)  providing for any of the following aspects of the Rent Tribunal –

1. criteria or other matters that it must or may consider in making a decision;
2. a power to consider the reasons for the landlord's or tenant's views about an increase, to propose an amount of rent that it thinks is reasonable or to help resolve a disagreement about the increase;
3. its  functions,  its  other  powers,  rights  and  privileges  and  its jurisdiction;
4. its composition, the appointment of its members and the ending of membership;
5. its decision-making and procedures;
6. rights to appeal its decisions;
7. the publication of its decisions;

(viii)  the disclosure of interests or information by its members; (ix)  the remuneration, reimbursement or liability of its members;

2. After Article 19(1) insert –

2. After new Article 24(1)(lb) there is inserted –

(lc)  requiring a landlord to provide the Minister with specified information that relates to the rent payable under each of their residential tenancies, including information about each residential unit;

(ld)  providing  for  the  following  aspects  of  the  provision  of  that

information –

1. the purposes for which it may be required;
2. the times at which, and the way in which, it must be provided;
3. how the Minister may use or disclose the information;

3. After Article 19(2) insert –

3. After Article 24(1) there is inserted –

(1AA)  Before lodging a proposition containing draft Regulations to be made

under paragraph (1)(la) or (lb), the Minister must consult the Judicial Greffier.

4. In Article 19, renumber the subsequent paragraph as Article 19(4) and, in that paragraph, delete new Article 24(3)(ba) and (bb).
5. After Article 19(4) insert –

5. After Article 24(5) there is inserted –
   6. In paragraph (1)(la) –

"increase in RPI for the relevant period" means the following,  as calculated from the figures published by the Chief Statistician most recently before the start, and before the end, of the relevant period –

1. the percentage increase in the Retail Price s Index during the relevant period;
2. 0% if there was a percentage decrease in the Retail Price s Index during the relevant period;

"relevant period" means the period that –

1. starts on the day on which the rent was last set or increased during the total duration of the residential tenancy; and
2. ends on the day on which the landlord gives notice of the rent increase;

"total duration", for a residential tenancy, includes the total consecutive duration of the following, whether during 1 or more specified terms or while a periodic tenancy –

1. that tenancy; and
2. any 1 or more consecutive earlier residential tenancies of the same tenant and residential unit.

15  PAGE 67, ARTICLE 20 –

Delete Article 20 and renumber the subsequent Articles accordingly.

16  PAGE 67, ARTICLE 21 –

1. In Article 21(2), for "paragraphs 3 to 5" substitute "paragraphs 4 and 5".
2. In Article 21(2), delete new paragraph 3 of Schedule 1.
3. In Article 21(3), delete new paragraphs 12 and 15 of Schedule 1 and renumber the remaining new paragraphs accordingly.

17  PAGE 67, ARTICLE 22 –

In  Article 22(2),  in  new  paragraph 5  of  Schedule 2,  for  "total  duration"  substitute "duration".

18  PAGE 68, ARTICLE 23 –

Delete Article 23 and renumber the subsequent Articles accordingly. 19  PAGE 70, ARTICLE 25 –

Delete Article 25 and renumber the subsequent Article accordingly.

DEPUTY M.R. SCOTT OF ST. BRELADE

REPORT

Introduction

The  technical  changes  to  the  Draft  Residential  Tenancy  (Jersey)  Amendment  Law  202 (P.24/2025) (the draft Law) set out in this Amendment may seem complex. However, most would simplify the Law considerably. Overall, they create six types of change intended to:

• simplify the draft Law;

• counter  potential  adverse  social  and  economic  consequences  arising  from  current proposals for the benefit of everyone in our community;

• provide some middle ground for debate; and

• provide time for some proposals to be reconsidered and put forward in the form of separate Regulations for approval by the States Assembly, particularly with respect to the introduction and operations of any Rent Tribunal that would operate a form of rent control.

There is overlap in their content with Deputy Bailhache 's amendment to the main Proposition, which will be debated before this Amendment in the normal course of events. I therefore will be submitting similar amendments to Deputy Bailhache 's amendment to P.24/2025. If any are approved, along with his amendment, the corresponding content in this amendment would fall away.

The nature of, and the reason for, the amendments are explained below. The Appendix to this Proposition explain which technical amendments to the Law achieves the different proposed outcomes.

Nature of amendments

• To replace the restriction on landlords to grant fixed term leases with a more limited situation in which a fixed term lease will become periodic

• To reinstate the Ministerial powers to prescribe required notice periods for different classes of periodic lease (e.g., based on length of occupation of the premises).

• To reinstate the jurisdiction of the Petty Debts Court in matters of rent control and eviction, while ensuring tenants are aware of its powers and their rights in these areas.

• To replace the current provision for a Rent Tribunal with a provision enabling its establishment in the form of Regulations, with power for the Rent Tribunal to decide what are reasonable rent increases, and the Regulations to determine the appropriate threshold to be exceeded for a rent increase to fall within the Rent Tribunal's jurisdiction.

• Removal of Civil Penalty Provisions.

• Rent  Information  provision  to  be  brought  by  Regulations  approved  by  the  States Assembly rather than Ministerial Order.

Reason for amendments

1. Alignment with Common Strategic Policy 2024-2026

1. The Common Strategic Policy 2024-2026 (the CSP) approved by the States Assembly in its debate of 21st May 2024 –

• references the outcomes of the Future Jersey vision (endorsed by the States Assembly in 2022);

• aims to provide more affordable homes for Islanders and give more confidence for the rented sector' by introducing a new Residential Tenancy Law to improve arrangements for both tenants and landlords'; and

• identifies these objectives as consistent with Future Jersey outcomes of Affordable living, within the theme of Economic Wellbeing.

2. It was clear in the States Assembly debate held on relating to P.24/2025 that many States Members questioned whether P.24/2025 was in line with the CSP, with concerns regarding the impact of its proposals on Future Jersey Economic Wellbeing and Future Community Wellbeing outcomes.
3. Having sought broader advice from government's Economics Unit than had been sought by the Minister at the time of lodging P.24/2025 and P.24/2024 Amd.(2), I consider the concerns raised regarding the impact of their proposals on Economic Wellbeing to be valid. Community Wellbeing is dependent on Economic Wellbeing.

2. Economic Wellbeing

Red tape

1. The CSP aims to reduce red tape for businesses, which could include property letting businesses that provide housing to Islanders. The draft Law is more complex than it need be, which does not serve anyone seeking to refer to it. This is the reason why it needs to be simplified.

Rent Control and Rent Stabilisation measures

2. At the time that P.24/2025 was lodged, no official information had been provided to States Members beyond the more limited advice sought by the Minister from the Chief Economic Adviser on rent stabilisation measures.
3. This advice was provided to the Environment Housing and Infrastructure Panel for the purpose of its review but, as far as I am aware, no broader official economic advice has been sought by that Panel or any other Scrutiny Panel.
4. Since the initial debate of P.24/2025, I have sought further advice from the Chief Economic Adviser on the broader economic context within which its proposals should be considered and their impact on Affordable Living and Economic Wellbeing.

5. The advice provided to me by government's economic advisers aligns with the economic concerns highlighted in paragraph 1 of the Report accompanying the first Amendment to P.24/2025 (P.24/2025 (Amd)) lodged by Deputy Bailhache regarding the potential risk of divestment in rental properties, along with added disincentives to invest in buy-to-let properties. This is owing to the current economic environment and state of the housing market in Jersey.
6. The economic advice I have received indicates that some form of rent stabilisation intervention for residential properties can work in certain circumstances. However, locally, the increase in stamp duty on property, alongside the increase in mortgage rates, the introduction of the new Rented Dwelling Licensing Scheme and the proposal to reduce mortgage relief have led to a slowdown in the housing market and poor returns on buy to lets, while making house purchases more expensive.
7. This means that the time is not right to impose further constraints on the private rental sector in the manner sought by P.24/2025.
8. It seems more flexibility and thought needs to be given to the proposals regarding rent control before the States Assembly approves such measures. I therefore propose to soften the parameters of P.24/2025 to allow for the possibility of a rent tribunal being created by Regulations approved by the States Assembly.
9. The rent tribunal itself could be a mechanism through which rent controls can be imposed, using a flexible threshold mechanism than can be approved, and changed, by Regulations approved by the States Assembly.
10. I suggest this is a better way of proceeding than seeking to amend the content of the proposals of P.24/2025 by reinstating the redundant Dwelling-Houses (Rent Control) (Jersey) Law 1946 (the 1946 Law), as is proposed by Deputy Bailhache 's amendment, or by deleting the proposed rent freeze of 5% over RPI, as proposed in Deputy Renouf 's third amendment to P.24/2025, for the following reasons:

1. the 1946 Law is outdated, its scope has been argued to be overly restrictive and, by providing that any rent increase for leases within its scope should be approved by the rent tribunal, it could prove more costly to administrate than the Minister's estimated £130,000 per year for a rent tribunal that considers increases over a specified amount or threshold;
2. the government's Economic Unit has indicated that, if rent controls are to be linked to indexes, a preferable measure would be the lower of average earnings and RPI. It is possible that most leases have clauses linking rent increases to RPI already. Concerns were raised in the debate regarding the constitution of the Rent Tribunal and the rigidity of the reasons in which increases above the threshold would be allowable. By seeking to exclude the jurisdiction of the court to matters of law, the Minister's proposals may restrict access to justice; and
3. I therefore believe there is more work to be done for the rent tribunal and threshold proposals to sit comfortably with the aims of the CSP. My amendment enables the Minister for Housing to bring future proposals for a Rent Tribunal that are more acceptable to the States Assembly in a less cumbersome way than by legislative amendment, allowing the necessary work to be done without necessarily delaying the introduction of a Rent Tribunal beyond the appointed day of the proposed draft Law.

11. I believe it would be both reasonable and helpful for the court to consider decisions made by a rent tribunal, should one come into existence in exercising its powers under the Law. I accordingly am proposing amendments to make the jurisdiction of any rent tribunal non-exclusive and to require the court to consider decisions of the Rent Tribunal in proceedings where rent is a relevant consideration.

3. Community Wellbeing

1. It remains important to protect the relatively small proportion of tenants who have been identified as victims of, or potentially vulnerable to, bullying and unfair treatment by bad' landlords in our community.

Rent stabilisation and controls

2. The adverse consequences on both tenants and landlords of proceeding with rent stabilisation measures at the wrong time and in the wrong way would not be consistent with Future Jersey Community Wellbeing outcomes. There has been less objection in our community to the existence of a rent tribunal than the way the draft Law proposes one should be reestablished. These matters are addressed under the heading Economic Wellbeing above. The amendment:

1. enables a Rent Tribunal to be created by Regulations approved by the States Assembly;
2. requires leases to inform tenants of their rights (at the time the lease is made, varied or renewed) to be heard in proceedings relating to rent and the court's power to adjust the rights relating to rent payments;
3. requires the court to take into account any decision regarding rent by a Rent Tribunal (if created in accordance with these proposals) in proceedings where payment (or non-payment) of rent is relevant; and
4. requires leases to provide notices in a form provided by the Minister to increase awareness amongst tenants and landlords of Government funded mediation resources (currently provided by the court and the Citizens Advice Bureau).

Fixed term leases and termination of leases

3. The Minister's proposals regarding fixed term leases and termination of leases have been described as a solution to the occurrence of revenge evictions', whereby a landlord can serve notice on a tenant in accordance with the landlord's rights in circumstances where, e.g, a tenant has sought to exercise that tenant's statutory rights against that landlord.
4. The Minister has also expressed concern regarding the uncertainty caused by stays of eviction, whereby the court has permits tenants to remain on a premises notwithstanding an order of eviction.

5. There are ideological and human rights issues regarding the alteration of long-standing property rights to achieve this, as opposed to:

1. allowing the court to prevent landlords from exercising their rights in circumstances where the court considers it would be unjust (the current Law gives the courts such powers and Article 3 of my amendment seeks to improve tenants of their awareness of their rights to seek relief from the court); and
2. providing tenants with an improved supply of alternative accommodations and alternative landlords (which I support but which require actions outside the scope of the draft Law.

6. Generally, fixed term leases operate in our community to give both Landlords and tenants certainty. The fixed term serves as a form of notice of the date of termination of the lease (or of the date of its potential termination if the lease includes a fixed-date break clause).
7. The proposals within P.24/2025, in seeking to restrict the grant of fixed term leases and the grounds on which leases can be terminated Article P.24/2025 and P.24/2025 (Amd) have invited States Members to consider ideological tensions around property ownership and rights of occupation, in particular, the extent to which a landlord may have the choice to have a lease ended in accordance with its terms.
8. Tenancies in Jersey take the form of legalised occupation of property owned by another person, who has allowed the tenant to treat property as a possession in the manner and for the period of time permitted by the owner, subject to the jurisdiction of the court. P.24/2025 seeks to change the nature of residential tenancies so that they allow the tenant to treat property as a possession in the manner and for the period of time permitted by government, removing the right of the court to review the matter on a case-by-case basis.
9. This is unlikely to be attractive to landlords as an investment thereby negatively affecting the supply of rental properties. It also would also restrict the choice and bargaining power of both tenants and landlords and weaken security of tenure options for tenants.
10. Periodic tenancies do not necessarily give tenants more security than fixed term leases, particularly where fixed term leases are granted for a longer period than the notice that is capable of being given under a periodic tenancy.
11. The proposals in P.24/2025 do not necessarily provide more security of tenure for tenants who could have opted for fixed term leases in their absence. They also restrict the court's power to stay evictions unless a breach is serious'. No evidence has been provided of a court refusing a stay of eviction where a breach has not been serious and, under the current proposals, the court still would be left with the task of determining if a breach is serious or not.
12. Articles 6(3)(e) and (5) of the Residential Tenancy (Jersey) Law 2011 (the Current RTL) currently give the Minister power by Ministerial Order to alter the length of notice required to terminate periodic tenancies, including periodic tenancies of different classes. This power could have been exercised before the lodging of the draft Law to serve to protect tenants who do not have the protection of fixed term leases.

13. I am advised that the Minister would be permitted to distinguish between a tenant who has occupied a residential unit for a specified amount of time and a tenant who has occupied a residential unit for a specified longer amount of time, for the purpose of prescribing different notice periods for the different tenants.
14. It is important that fixed term leases are not used as a mechanism to circumvent any Ministerial Order issued pursuant to Article 6 of P.24/2025 regarding the notice period to be given on periodic tenancies. This Amendment seeks to deter this from happening by converting fixed term leases into periodic tenancies in very limited circumstances: where those leases have been granted, extended or renewed for periods of less than 6 months but have been successively granted over a period of 3 years.
15. A concern has been raised by the Minister regarding the use of the case of rolling break clauses in fixed term leases (which allow the landlord to terminate at any time after a certain point, thereby offering less certainty of tenure). By reinstating Article 6 of the current Law in its current form, my Amendment would have the effect of making such leases periodic through the principle of reconduction tacite. In other jurisdictions, such as the UK and Scotland, rolling break clauses are regulated, or within the court's power to strike down. This could be addressed in the alternative by a relatively simple amendment to the draft Law if that is preferred.

Extortionate fees

16. Extortionate fees are an area of possible abuse of bargaining power which does not seem to have been addressed by the main Proposition. In the time available to me, I have not been able to address the issue either, but an amendment to enable the Rent Tribunal to consider the matter of extortionate fees could be one way forward or an amendment of the court's powers so that they can be adjusted too.

Human Rights Considerations

17. Article 1 of the First Protocol of the Convention for the Protection for the Protection of Human Rights and Fundamental Freedoms (which is part of the Human Rights (Jersey) Law 2000) allows jurisdictions to enforce such laws as they consider necessary to control the use of property in accordance with the general interest'. The general interest includes the Island's economic wellbeing, as its economy is our community's support system, as well as other Future Jersey outcomes.
18. There remains the perceived unfairness of a bad' landlord exercising choice in a retaliatory manner, when a tenant seeks to exercise their statutory rights to report environmental hazards such as mould.
19. P.24/2025 has sought to remedy this through the restriction of the rights of all landlords to exercise choice in terminating leases. The lines drawn by the Minister to determine fairness of grounds for termination, which exclude the jurisdiction of the court in such matters, remain open to challenge. For example, why should termination of a lease in accordance with its terms to provide a home for a nephew or niece or cousin not be permissible?

20. Conversely, there are other ways of ensuring bad behaviours, including harassment, are punished. For example, a complaint about mould can be the result of inadequate ventilation (something over which a tenant could have control). While the matter may be addressed by the Public Health and Safety (Rented Dwellings) (Licensing) (Jersey) Regulations 2023, it raises questions whether it is desirable for a tenant to remain in a hazardous property or for the dwelling to be let out to any new tenant.
21. Similarly, where relationships deteriorate, it seems preferable for the tenant to have support in the form of access to alternative accommodation, which largely is a supply issue affected by government action or inaction in other areas.

In conclusion, the changes I seek are intended to find a way forward that would allow changes to the status quo that would be beneficial for both the Economic and Community Wellbeing of all Islanders, be they Tenant or Landlord or neither, and to allow further work to be done without requiring a further law change or rejection of the Minister's Proposition.

Financial and staffing implications

There are limited financial or staffing implications from these amendments relating only to procedural adjustments and policy work.

Children's Rights Impact Assessment

A Children's Rights Impact Assessment (CRIA) has been prepared in relation to this proposition and is available to read on the States Assembly website.

APPENDIX

1. Replacement of restrictions of fixed term leases, removal of grounds for termination provisions and insertion of notice of rights provisions

Main

Article 3(2): insertion of notice provisions.

Article 4: removes proposed restrictions on fixed term leases in accordance with their terms and provides for conversion of fixed term leases into periodic tenancies solely where a succession of terms of less than 6 months span over 3 years; removes proposed restrictions on termination of leases solely on statutory prescribed grounds proposed in new Part 3 of Law and restores Petty Debt Court's power to determine seriousness of a breach for purposes of termination and eviction.

Article 7: Petty Debt court to take any Rent Tribunal's decision into account regarding reasonableness of rent increase in determining seriousness of breach of lease that has not been rectified, in context of eviction proceedings.

Consequential

Articles 1(1), 1(6)-(7)*, Article 3(1), 5, 6, 9, 10, 12, 15-18

2. Replacement of Rent controls and Rent Tribunal provisions with reinstatement of jurisdiction of court

Article 4: removes proposed Part 3A of Law restrictions on rent increases and provision of rent information

Article 8: removes proposed Part 4A of Law provisions to establish rent tribunal and reinstates jurisdiction of Petty Court over rent matters

Article 11: Petty Debt court to take any Rent Tribunal's decision into account regarding reasonableness of rent increase in determining seriousness of breach of lease that has not been rectified, in context of eviction proceedings.

Consequential

Article 1 (2)-(7)*, 13, 14(1) (3) and (5), 17*, 19

3. Removal of Civil Penalty Provisions Main

Article 14(4)

4. Substitution of ability to bring in Rent Information provision requirements by Ministerial Order for Regulations approved by the States Assembly

Main

Articles 13 and 14(2)

*Article 1(6) amends for the purposes of Article 4 a term used in the Minister's proposals in Part 3A (rent increases) and Article 17 related to not termination of lease and rent control content.