Recent reports in the housing sector suggest that landlords are attempting to restrict their tenants from working at home. But is this a real trend, and if so, what are the implications for landlords and tenants?
The move, reported in a piece in The Independent, has sparked controversy in the property market, raising questions about the rights and limitations placed on different types of renters.
The report in The Independent says that in what appears to be a new trend, adverts for shared homes have been appearing, specifying that the potential new occupant must not work from home. The piece says that the charity Generation Rent has called upon the new government to impose regulations to stop the practice, which is arguably given force by Section 21 “no-fault” eviction powers.
But comments on blog The Only Way Is Lettings point out that the property advert under discussion actually relates to a live-in landlord, an arrangement very different to that of a tenant who rents a dwelling separately from that of the property owner.
The blog explains that it is crucial to distinguish between lodgers and tenants when discussing this issue. Lodgers, who typically rent a room within a landlord’s primary residence and share common areas, do not have the same legal protections as tenants. Unlike lodgers, tenants have exclusive possession of a property and are covered by more extensive legal rights, including the right to work from home.
Limited Rights
Landlords could argue that allowing lodgers to work from home could lead to issues such as increased utility costs and wear-and-tear on the property. Landlords could also be concerned about lodgers potentially blurring the lines between living space and workspace, possibly transforming residential areas into business environments.
The legal framework of agreements for lodgers certainly gives landlords greater control over the terms of occupation, including specific rules and conditions such as prohibitions on working from home. This legal framework is generally supported, as lodgers are not afforded the same statutory protections as tenants.
In contrast, tenants have a more formal and legally binding rental agreement, including the right to work from home. This may not though extend to running a business from the property without the landlord’s consent. Landlords could seek to exclude a tenant’s right to work from home within the terms of the lease, but they would have to tread carefully to avoid breaching laws including the Small Business, Enterprise and Employment Act 2015, a key piece of legislation stipulating that landlords cannot unreasonably refuse a tenant’s request to work from home, subject to several exclusions, a provision introduced specifically to support the growing trend of flexible working arrangements and the increasing number of people working from home.
Tension
Though the idea of working from home may create tension between landlords and lodgers, a balanced approach should be able to come up with solutions considering the rights and responsibilities of both parties. The answer should lie in properly drafted tenancy agreements, and the awareness of both parties of the terms and conditions.
Certainly the trend towards working from home will continue, so landlords, lodgers and tenants will have to be aware of the possibility of conflict, particularly in cases where working from home turns into running a business. For instance if a tenant needed to meet clients or hold stock at a rented property, a line could be crossed turning the residential property into a commercial one. This would have many implications in terms of liability and insurance, for instance, and so would require careful consideration from all parties involved.
See also: Buying Property In the Cotswolds: a Comprehensive Guide
