Fair Rent Determination Under Rent Act 1977

OUTCOME: Dismissed

FR27 First-tier Tribunal – Property Chamber File Ref No. LON/00AY/F77/2025/0328

Notice of the Tribunal Decision

Rent Act 1977 Schedule 11

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

Tribunal Judge Mohabir Mrs A Kelly MRICS

Landlord [NAME]

Tenant [APPELLANT]

1. The fair rent is 714.50 Per month (excluding water rates and council tax but including any amounts in paras 3&4)

2. The effective date is 18 March 2026

3. The amount for services is

Per

not applicable

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

Per

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 (please see calculation overleaf)/ do not apply because 1st registration/15% exemption.

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

None.

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. The rent that would otherwise have been registered was £855 per month.

Chairman Tribunal Judge Mohabir Date of decision 18 March 2026

FR27 MAXIMUM FAIR RENT CALCULATION

LATEST RPI FIGURE X 406.4

PREVIOUS RPI FIGURE Y 367.2

X 406.4 Minus Y 367.2 = (A) 39.2

(A) 39.2 Divided by Y 367.2 = (B) 0.[PHONE]

First application for re-registration since 1 February 1999 YES/NO

If yes (B) plus 1.075 = (C)

If no (B) plus 1.05 = (C) 1.156753813

Last registered rent* 617.50 Multiplied by (C) = 714.30 *(exclusive of any variable service charge)

Rounded up to nearest 50p = 714.50

Variable service charge NO If YES add amount for services

MAXIMUM FAIR RENT = £714.50 Per month

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 application was the first since 1 February 1999) or 5% (if it is a second or subsequent application 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 application 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:

LON/00AY/F77/2025/0328

Property: [ADDRESS], [POSTCODE]

Tenant: `

[APPELLANT]

Landlord:

[APPELLANT] of Objection:

6 November 2026

Type of Application: Section 70, Rent Act 1977

Tribunal:

Judge I Mohabir

Mrs A Kelly MRICS

Date of Extended Reasons

: 18 March 2026

_____________________________________________

DECISION

The sum of £714.50 per month will be registered as the fair rent with effect from 18 March 2026 being the date the Tribunal made the Decision. ___________________________

© CROWN COPYRIGHT

FIRST - TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY)

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EXTENDED REASONS

Background 1. Following an objection from the landlord 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.

Inspection 2. The Tribunal inspected the property on 18 March 2026 with the landlord’s representative and the tenant present.

Evidence 3. No written submissions were received from the tenant.

4. Written representations were received from the landlord, which were considered by the Tribunal. The Tribunal noted that the landlord had carried out extensive external and internal redecorations and refurbishment approximately 12-18 month previously. However, the Tribunal was satisfied that these works could not be regarded as improvements to the subject property per se. They improved the overall amenity of the building as a whole and the work had been carried out in accordance with modern standards.

Determination and Valuation 5. Having consideration of our own expert, general knowledge of rental values in the area of Waterloo, we consider that the open market rent for the property in its current condition would be in the region of £2,250 per month.

6. From this level of rent we have made global adjustments in relation to:

The tenant’s decorating liability (5%) No white goods, floor covering or curtains (12.5%) Lack of central heating (20%) Dated kitchen and bathroom (15%)

7. After deducting the amount for services, the Tribunal has also made an adjustment for scarcity.

8. The full valuation is shown below:

per month Market Rent

£2,250

Less Deductions above

)

) 52.5% )

£1,181.25

£1,068.75 Less Scarcity

approx. 20%

£213.75

£855.00

9. The Tribunal determines a rent of £855 per month.

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Decision 10. However, the rent has been capped under the provisions of the Rent Acts (Maximum Fair Rents) Order 1999 at £714.50 per month. The Maximum Fair Rent calculation is annexed to the decision.

Tribunal Judge: Mr I Mohabir

Date: 18 March 2026

APPEAL PROVISIONS

These extended reasons are provided to give the parties an indication as to how the Tribunal made its decision. Any application for permission to appeal should be made on Form RP PTA.