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Changing the Rent (England)

Rent increase clause in Tenancy agreement

16 Aug 2016 | 1 comment

We have a landlord who insists on giving a new tenant a 3 year tenancy agreement despite our recommendation not to do so. However they are the client & we will follow their instruction but they have asked for a clause to be added be able to increase the rent within the 3 year fixed term.
Do you have any suggested wording that would be suitable?


1 Comment

  1. guildy

    These can be tricky and I don’t have any at hand without breaching copyright by copying from other peoples tenancy agreements.

    I have just had a look at one provided by TFPonline.co.uk and they have a good increase clause but it’s quite extensive covering several clauses (hence I couldn’t copy it due to copyright).

    The problem is getting it right because if done incorrectly and the date is missed, you loose that increase until the next year (or whatever periods the increases are set at).

    The easiest and best way to do this would be as I have in the past on commercial properties and actually stipulate what the rent will be for what periods. That way, the actual rent increase amounts have been agreed from day 1.

    For example you could have the rent as £500 for first 12 months then next 12 months is £525, then £550. That way there is no need to issue a notice to increase the rent or do anything because it’s already done in the tenancy and it just increases to the rent specified. The disadvantage to this is that the landlord could potentially get caught out if there is a major spike in rent levels meaning the rents are too low by year 2 or 3.

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