First-tier Tribunal Sets Market Rent at £940 PCM
📌 In brief
In this case, the First-tier Tribunal assessed the fair rental value of a semi-detached house in Somerset. After considering the property's condition and market rates for similar properties, they set the rent at £940 per month starting March 1st, 2026.
⚖️ Legal holding
A tenant is entitled to a fair determination of their rent based on current market conditions and the actual state of repair of the property.
📖 What the law says
This section allows landlords to propose increases in rent for assured periodic tenancies through a notice in a prescribed form. The notice must specify a new rent to take effect at the start of a new period, which begins at least two months after the notice is served. However, if the rent has been previously increased, the next increase can only be proposed after a longer waiting period, typically a year.
This section permits tenants under assured tenancies to apply to a tribunal to challenge the rent payable under their tenancy. The tribunal will then determine the open-market rent, considering factors like the periods of the tenancy and the terms of the agreement, excluding certain effects like improvements made by the tenant.
Plain-English explanation — does not replace advice from a solicitor.
📖 Technical summary
The Tribunal determined the market rent for an assured tenancy based on comparables and property condition, adjusting from £1400 pcm to £940 pcm.
📜 Headnote Official document
The First-tier Tribunal (Property Chamber) determined the market rent for an assured tenancy, adjusting from £1400 pcm to £940 pcm based on property condition and comparables.
📚 Full judgment Official document
OUTCOME: Allowed
© CROWN COPYRIGHT
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FIRST - TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY)
Case Reference
HAV/40UG/MNR/2026/0023
Property 303 Bickenhall Farm Cottage Taunton Somerset [POSTCODE]
Tenants
[NAME] [COUNSEL]
Tenant’s Representative
None
Landlord
[APPELLANT]
Landlord’s Address
Landlord’s [COUNSEL] of Application
26th January 2026
Type of Application Determination of a Market Rent sections 13 & 14 of the Housing Act 1988
Tribunal Members [NAME] [NAME] [NAME] [NAME] of Decision
23rd March 2026
Rent Determined
£940 per calendar month
Date the new rent takes effect
1st March 2026
2
REASONS FOR THE DECISION
Background
1. On 22nd January 2026, the Landlord’s Agent served a notice under Section 13(2) of the Housing Act 1988 which proposed a new rent of £995 per calendar month(pcm) in place of the existing rent of £920 pcm to take effect from 1st March 2026.
2. On 26th January 2026, under Section 13(4)(a) of the Housing Act 1988, the Tenant referred the Landlord’s notice proposing a new rent to the Tribunal for determination of a market rent.
3. The assured tenancy commenced in March 2001. The rental period is monthly.
Allocation of Repairs between Landlord and Tenant.
4. None.
Services Charges or furniture provided by Landlord (other than carpets and curtain and white goods specified below) and the costs relating to the same.
5. None.
Liability for Council Tax
6. The Tenant is responsible for the payment of Council Tax in respect of the Property. The rent determined is exclusive of Council Tax.
Any other terms of the tenancy taken into consideration in determining the rent.
7. None
Inspection/Hearing
8. Neither party requested an oral hearing. The Tribunal has considered this case on the basis of the papers provided by the parties and its own knowledge and specialist expertise.
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The Property
9. The Property is a stated to be a semi-detached house within a rural situation, offering the following accommodation:
Living room, dining room, kitchen, 3 bedrooms, bathroom. Outside there are gardens to front and rear and off-road parking.
The Property has oil-fired central heating and double galzing.
Evidence
10. Both the Tenant and the Landlord’s Agent returned the Tribunal’s Reply forms.
The Tenants.
11. The Tenants made the following comments:
a) The Tenants state that no white goods, carpets or curtains are provided by the Landlord and lists repairs and improvements they have completed over many years.
b) The Tenants refer to existing repair issues including poor kitchen cupboards with black mould behind, a large crack in a bedroom wall and poor roof insulation. Photographs are provided
c) The Tenants comment that the present reasonable condition of the property results from their improvement and maintenance of the property during their tenancy.
12. The Landlord’s Agent included photographs of the property and made the following comments:
a) No curtains are provided.
b) The Tenants have carried out improvements which pre-date the Landlords ownership.
c) The bathroom and fittings are dated but largely in reasonable condition.
d) The Agents consider that a rent of £1,350 pcm would be justified if the property were in modern condition, but this should be reduced by £300 pcm to reflect the condition of the property.
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The Landlord’s Agent.
13. The following comparables were provided by the Landlord:
a) 3-bed semi-detached house in Rushton let at £1,395 pcm and a 3-bed semi-detached house in [ADDRESS] let at £1,300 pcm.
Determination and Valuation
14. Relying on its own expert, general knowledge of rental values in the area, and the comparables provided by the Landlord and Tenant, the Tribunal considers that the market rental of the subject Property modernised and in good order would be in the order of £1,400 pcm. This is the rent we would expect the property to let for in the open market if it was in the same general condition as the comparable properties including having white goods and curtains provided by the landlord.
15. From this level of rent, the Tribunal has made adjustments in relation to the following:
a) Tenants provision of white goods. b) Tenants provision of carpets and curtains c) Dated kitchen in poor condition (ignoring tenant’s improvement) d) Dated bathroom (ignoring tenants’ improvement) e) General wants of repair f) Poor insulation
The full valuation is shown below:
Starting Rent
£1,400 pcm
Less a) Items given under a) above
£30 b) Items given under b) above
£50
c) Items given under c) above
£150 d) Items under d) above
£100 e) Items under e) above
£100 f) Items under f) above
£30
Market rent
£940 pcm
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Undue hardship
12. The new rent takes effect from the date specified in the Landlord’s Notice of Increase unless that would cause undue hardship to the tenant. In cases of undue hardship, the Tribunal has a discretion to fix a later starting date up to the date a Tribunal makes its determination.
13. The Tenant has not asked the Tribunal to fix a later starting date in this case.
Decision
14. Therefore, the Tribunal determines the market rent at £940 per calendar month with effect from 1st March 2026.
APPEAL PROVISIONS
If either party is dissatisfied with this decision, they may apply for permission to appeal to the Upper Tribunal (Lands Chamber) on any point of law arising from this Decision. Prior to making such an appeal, an application must be made, in writing, to this Tribunal for permission to appeal. Any such application must be made within 28 days of the issue of this statement of reasons (regulation 52 (2) of The Tribunal Procedure (First-tier Tribunal) (Property Chamber) Rules 2013) stating the grounds upon which it is intended to rely in the appeal.
📊 How courts decide similar cases
Among 12 similar decisions in this collection:
- First-tier Tribunal (Property Chamber) First-tier Tribunal Sets New Rent for Assured Tenancy
- First-tier Tribunal (Property Chamber) First-tier Tribunal Sets Market Rent for Assured Tenancy
- First-tier Tribunal (Property Chamber) Tribunal sets fair rent of £618.75 pcm for Ipswich flat
- First-tier Tribunal (Property Chamber) First-tier Tribunal Determines Market Rent at £1,250 PCM
- First-tier Tribunal (Property Chamber) First-tier Tribunal Sets Market Rent for Assured Tenancy
- First-tier Tribunal (Property Chamber) First-tier Tribunal Sets Market Rent for Assured Tenancy
- First-tier Tribunal (Property Chamber) First-tier Tribunal Determines Fair Rent for Assured Tenancy
- First-tier Tribunal (Property Chamber) First-tier Tribunal Determines Market Rent for Portsmouth Property
A snapshot of this collection — not a prediction of your case's outcome.
⚖️ What tends to weigh in cases like this
✅ Tends to be accepted
- Rent should be set based on current market conditions.
- Rent should consider the property's condition compared to similar properties.
- Rent should take into account improvements made by the tenant.
- Rent should be assessed by the First-tier Tribunal based on current market conditions and the state of repair of the property.
❌ Tends to be rejected
- Rent should be set based on the First-tier Tribunal's determination without additional considerations.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The Tribunal determined that the fair rental value of the property is £940 pcm.
Who was involved?
A tenant and a landlord were involved in the case, with the landlord proposing an increase to £995 pcm.
How did the court decide, and why?
The Tribunal decided based on comparables and the actual condition of the property, adjusting from £1400 pcm to £940 pcm.
Which laws or rules were applied?
Sections 13 and 14 of the Housing Act 1988 were used in determining the market rent.
What was the argument that mattered most?
The condition of the property, including dated kitchen and bathroom fittings, influenced the decision to reduce the proposed rent.
Was the decision for or against the person who brought the case?
The decision was in favour of the tenant, setting a lower rent than initially proposed by the landlord.
What does this mean for someone in a similar situation?
Someone facing a rental increase can challenge it based on property condition and market comparables.
What evidence or documents mattered?
Photographs of the property and comparable rental rates were important in assessing the fair rent.
Can a decision like this be appealed?
Yes, either party may appeal to the Upper Tribunal (Lands Chamber) on points of law within 28 days.
Is it worth getting a solicitor for a case like this?
It is advisable to seek legal advice from a qualified solicitor for such cases.
