John HW Anderson v Igors Kokins & Anor
[2024] UKUT 91 (LC)
Elizabeth Alexander & Anor v Mark Middleton
21 June 2024
[2024] UKUT 182 (LC)
Upper Tribunal
A landlord wanted to raise the rent. The tenant disputed it, and a court considered the property's condition. The court made a mistake by focusing on problems that appeared *after* the rent increase date. The case will now be re-heard correctly.
Key Facts
- •Appeal against a First-tier Tribunal (Property Chamber) rent determination for 2 Boulton Road, Dagenham.
- •Assured shorthold tenancy; rent increase notice served by landlord (respondent) proposing £1400/month from 31 March 2023.
- •Tenants (appellants) referred the notice to the FTT; FTT determined market rent as £1200/month.
- •FTT considered the property's poor condition but disregarded the need for repairs due to tenants' alleged limited access.
- •Appeal granted on the basis that access issues arose after the new rent's effective date (31 March 2023).
Legal Principles
Section 14 of the Housing Act 1988 dictates the FTT's role in determining market rent, considering factors like tenancy terms and disregarding certain influences (e.g., improvements by the tenant).
Housing Act 1988, sections 13 and 14
In rent determinations, events after the valuation date are irrelevant to the determination of the market rent on that date.
Implicit in the Upper Tribunal's reasoning
Outcomes
The Upper Tribunal set aside the FTT's decision.
The FTT failed to make findings of fact regarding access issues before 31 March 2023. Consideration of post-31 March events was an error of law. The absence of findings on pre-31 March access issues also renders the decision unjustifiable.
The matter was remitted to the FTT for re-determination.
To allow the FTT to properly consider evidence and make findings of fact relevant to the rent on the valuation date (31 March 2023) without considering irrelevant post-valuation date events.