Fair Rent Determination for Tenant Under Rent Act 1977

OUTCOME: Allowed

FR27 First-tier Tribunal – Property Chamber File Ref No. HS/LON/OOBJ/F77/2025/0187

Notice of the Tribunal Decision

Rent Act 1977 Schedule 11

Address of Premises The Tribunal members were [ADDRESS], [POSTCODE]

[NAME] [NAME]

Landlord [APPELLANT]

Tenant Mr [APPELLANT]

1. The fair rent is £208.00 Per week (excluding water rates and council tax but including any amounts in paras 3&4)

2. The effective date is 30 October 2025

3. The amount for services is

Per

negligible/not applicable

4. The amount for fuel charges (excluding heating and lighting of common parts) not counting for rent allowance is

n/a Per n/a

negligible/not applicable

5. The rent is not to be registered as variable.

6. The capping provisions of the Rent Acts (Maximum Fair Rent) Order 1999 apply.

7. Details (other than rent) where different from Rent Register entry

n/a

8. For information only:

(a) The fair rent to be registered is the maximum fair rent as prescribed by the Rent Acts (Maximum Fair Rent) Order 1999 because the rent determined under the market approach section 70 is higher.

[NAME] of decision 30 October 2025

FR27 MAXIMUM FAIR RENT CALCULATION

LATEST RPI FIGURE X 407.7

PREVIOUS RPI FIGURE Y 358.3

X 407.7 Minus Y 358.3 = (A) 49.4

(A) 49.4 Divided by Y 358.3 = (B) 0.1379

First [NAME] for re-registration since 1 February 1999 YES/NO

If yes (B) plus 1.075 = (C)

If no (B) plus 1.05 = (C) 1.187

Last registered rent* £175.00 per week Multiplied by (C) = £207.73 per week *(exclusive of any variable service charge)

Rounded up to nearest 50p = £208.00 per week

Variable service charge no If YES add amount for services no

MAXIMUM FAIR RENT = £208.00 Per week

Explanatory Note

1. The calculation of the maximum fair rent, in accordance with the formula contained in the Order, is set out above.

2. In summary, the formula provides for the maximum fair rent to be calculated by:

(a) increasing the previous registered rent by the percentage change in the retail price index (the RPI) since the date of that earlier registration and

(b) adding a further 7.5% (if the present [NAME] was the first since 1 February 1999) or 5% (if it is a second or subsequent [NAME] since that date).

A 7.5% increase is represented, in the calculation set out above, by the addition of 1.075 to (B) and an increase of 5% is represented by the addition of 1.05 to (B).

The result is rounded up to the nearest 50 pence.

3. For the purposes of the calculation the latest RPI figure (x) is that published in the calendar month immediately before the month in which the Tribunal’s fair rent determination was made.

4. The process differs where the tenancy agreement contains a variable service charge and the rent is to be registered as variable under section 71(4) of the Rent Act 1977. In such a case the variable service charge is removed before applying the formula. When the amount determined by the [NAME] of the formula is ascertained the service charge is then added to that sum in order to produce the maximum fair rent.

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Case Reference

: HS/LON/00BJ/F77/2025/0187

Property : [ADDRESS],[POSTCODE]

Tenant

: [NAME]

Landlord : [APPELLANT] of Objection : 7 April 2025

Type of [NAME] : Section 70, Rent Act 1977

Tribunal

: [NAME]

: 30 October 2025

_______________________________________________

DECISION

The sum of £208.00 per week will be registered as the Fair Rent with effect from 30 October 2025, being the date the Tribunal made the Decision. ____________________________________

© CROWN COPYRIGHT 2023

Full REASONS

FIRST - TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY)

2 Background 1. The landlord submitted an [NAME] received by the Rent Officer on 23 January 2025 to register a Fair Rent. The landlord proposed £210.00 per week. Previous to the [NAME] the Rent Officer had registered a Fair Rent of £175.00 per week effective from 23 November 2022.

2. Following the [NAME] the Rent Officer registered a Fair Rent of £185.00 per week effective from 20 March 2025.

3. Following an objection from the landlord on 7 April 2025 to the determination of a Fair Rent by the Rent Officer, the Tribunal has made a determination under the provisions of the Rent Act 1977. The landlord also objected on 2 July 2025

4. The case was determined following a hearing and subsequent inspection.

Property description and inspection

5. The property is described as a self-contained converted flat, with full central heating in the basement comprising two rooms, one kitchen and a bathroom/WC.

Hearing

6. The Applicant appeared for himself accompanied by his daughter [COUNSEL]. The Respondent landlord did not appear. The Tribunal had recourse to Rule 34 of The Tribunal Procedure (First tier Tribunal) (Property Chamber) Rules 2013 Rule 34 which covers the issue of whether the hearing should go ahead in the absence of a party. The tribunal is satisfied the Respondent landlord was notified of the hearing, and that it is in their absence in the interest of justice to continue the hearing.

Submission by the tenant

7. The tenant completed a Reply Form noting the accommodation and its condition including issues with damp and mould, The Reply Form notes the tenant supplied the central heating, that there is no double glazing, and that curtains, carpets and white goods are supplied by the tenant.

8. The tenant notes the repairs and improvements they have made over the last 50 years and noted the areas of disrepair.

9. The tenant during the hearing drew out the improvements that they had undertaken during their tenancy; work to make dry the under-stair area, rebuild fireplace in living room, installed central heating, kitchen the kitchen and replaced the bathroom.

3 Submission by the landlord

10. The landlord completed a Reply Form, detailing the accommodation but also noting sole use of a “sizable garden”. The landlord notes that they fitted the central heating,

11. In the objection letter by the landlord of 2 July 2025 asserting that market rent of the property is £ 426 per week, and so a fair rent of £210 per week is requested.

Determination and Valuation

12. The Tribunal first considered the factual disagreement over who fitted the central heating. The tribunal questioned the tenant on the issue of who fitted the central heating. The tenant asserted they had initially fitted the whole central heating system and that the last boiler was fitted paid by them in the last year. The tribunal on the evidence before in findings the tenant fitted the central heating.

13.The Tribunal heard that the landlord believed the property was worth £426 per week. There was no evidence to suggest whether this related to the current condition of the flat with or without the tenant's repairs and improvements.

14. The Tribunal is an expert tribunal and using its expertise of rents in the area determines that a rent of £2000.00 per month equivalent to £461.54 per week for a property on a contemporary tenancy agreement and in good tenantable condition.

15. From this level of rent we have made adjustments in relation to: (i) terms and conditions the tenancy dates (10%), the terms likely to be more onerous than the contemporary tenancies from which the comparables are derived (ii) condition of the flat including disregarding the tenant's improvements (30%)

The Tribunal has also made an adjustment for scarcity at 20%.

16.. The full valuation is shown below:

Market Rent

£461.54 per week

Less 40% as above -£184.62 per week --------------------------------------------

£276.92 per week

Less Scarcity 20%

£55.38 per week

Section 70 rent £221.54 per week

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17. The Tribunal determines a rent under section 70 of say £221.50 per week.

18. The Tribunal also determined the rent under the Maximum Fair Rent Regulations this from the attached template is £208.00 per week.

19.. The Rent Act 1977 provides that the rent to be registered is the lesser of the section 70 rent, and rent determined under the Maximum Fair Rent Order.

Decision

20. The Tribunal therefore determines the Fair Rent for the subject property is £208.00 per week from 30 October 2025.

Chairman: [NAME]: 30 October 2025

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Appeal to the Upper Tribunal A person wishing to appeal this decision to the Upper Tribunal (Property Chamber) on a point of law must seek permission to do so by [NAME] a written [NAME] to the First-tier Tribunal at the Regional Office which has been dealing with the case which [NAME] must: a. be received by the said office within 28 days after the Tribunal sends to the [NAME] written reasons for the decision. b. identify the decision of the Tribunal to which it relates, state the grounds of appeal, and state the result the party [NAME] the [NAME] is seeking. If the [NAME] is not received within the 28 –day time limit, it must include a request for an extension of time and the reason for it not complying with the 28- day time limit; the Tribunal will then decide whether to extend time or not to allow the [NAME] for permission to appeal to proceed.