Plan to scrap eviction power

A forthcoming white paper is likely to suggest scrapping the ground 8 possession law because it considers it to be too draconian.

Landlords in England and Wales can currently use ground 8 to evict tenants who are in rent arrears. It is rarely used, but it is thought it may become a vital tool in landlords’ battles to protect balance sheets if more tenants fall into arrears as a result of benefit changes.

Ground 8 is a mandatory power, where a judgement must give a landlord possession of the property if it meets the ground’s criteria. At present landlords tend to use ground 10 which is discretionary, so a court doesn’t have to agree to evict a tenant.

The proposal to scrap ground 8 is outlined in a report about renting homes in Wales published by the Law Commission, which will influence the Welsh Government’s May white paper.

Amanda Oliver, head of policy at Community Housing Cymru, which represents associations across Wales, said: ‘In the context of welfare reform, the bedroom tax and a supply-side crises, if landlords are unable to evict tenants on grounds of escalating arrears then the long-term financial viability of the sector may be under threat,’ she added.

Several Welsh housing associations said they did not use ground 8 regularly, but they would review this position following the implementation of welfare reforms, which begins in April.

A spokesperson for 10,000-home Newport City Homes said although it does not use ground 8 at present ‘given the challenges and risk to future income streams posed by welfare reform, we are in the process of reviewing this position’.

A Welsh Government spokesperson said it had not yet taken a final view on the Law Commission’s proposals.

Any changes would have to be legislated through the Housing Bill, which will be published later this year.