First-tier Tribunal Sets Market Rent for Assured Tenancy
📌 In brief
In this case, a tenant challenged a proposed rent increase by the landlord. The First-tier Tribunal considered evidence from both parties, including property details and comparable rents in the area, and set the new rent at £2600 per month starting from March 20th, 2026.
⚖️ Legal holding
A tenant is entitled to have their rent set at a reasonable market rate based on comparable properties and the property's condition.
📖 What the law says
This section allows a tenant under an assured tenancy to apply to a tribunal to challenge the rent payable under the tenancy. The tribunal will determine the rent at which the dwelling house might reasonably be expected to be let in the open market by a willing landlord.
This section applies to certain types of assured periodic tenancies and outlines the process for landlords to propose increases in rent. It specifies the form of notice that must be served and the minimum period before the new rent can take effect.
Plain-English explanation — does not replace advice from a solicitor.
📖 Technical summary
The Tribunal determined the market rent for an assured tenancy in Kensington, considering comparables and property condition.
📜 Headnote Official document
The First-tier Tribunal (Property Chamber) determined the market rent for an assured tenancy in Kensington, considering property condition and comparables. The tenant argued that the proposed rent increase was excessive, while the landlord provided valuation work to support their proposal.
📚 Full judgment Official document
OUTCOME: Allowed in Part
© CROWN COPYRIGHT 2013 FIRST-TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY) Case Reference : LON/00AW/MNR/2026/0133 Property : 2 F [ADDRESS] [POSTCODE] Applicant : [redacted] (Tenant) Representative : None Respondent : [redacted] (Landlord) Representative : [RESPONDENT] (Agent) Date of Application : 9 March 2026 Type of Application : Determination of a Market Rent sections 13 &14 Housing Act 1988 Tribunal Members : Mr [NAME]. [NAME] Mr [NAME] of Decision : 28 May 2026 Rent Determined : £2600 per calendar month Date of new rent start : 20 March 2026
REASONS FOR
DECISION Background 1 A landlord’s notice dated 4 February 2026, was served under Section 13(2) Housing Act 1988 proposing a new rent of £2575 per calendar month in place of the passing rent of £2235 pcm, to take effect from 20 March 2026.
2 2 At a date, prior to the effective date, under S.13(4)(a) Housing Act 1988 the tenant referred the landlord’s notice proposing a new rent, to the Tribunal for determination. 3 The assured tenancy is now calendar monthly periodic. Allocation of Repairs between Landlord and Tenant 4 As per S.11 Landlord and tenant Act 1985. Landlord’s Service Charges, Furniture provided and costs. 5 Landlord supplied white goods to kitchen and floor coverings. No furniture. Liability for Council Tax 6 Tenant. Other relevant terms of tenancy 7 None Inspection and Hearing 8 An inspection is not routinely carried out. The Tribunal is content that it has sufficient information on the Property, its condition and on comparables, from a combination of the written and photographic representations received and from its own knowledge and specialist expertise. Property 9 There was no inspection. The Property is an 1880’s flat purpose built in a Building with 5 levels (plus basement) of similar flats. The Property is accessed from the street level by a communal door and entrance lobby. 10 The accommodation consists of 2 bedrooms, living room, kitchen, bathroom, WC set on 1 level with central space and water heating. There are communal internal access areas for the Property and other flats in the Building, each served by communal stairs and hallways. Access is directly from the street with no significant communal open space. There are on street parking restrictions. It is within an established residential area just off Kensington High St. right by the entrance to the Underground railway service. The area immediately by the Building is of mansion block flats, purpose built, of a similar age and quality construction with significant retail and other commercial uses very nearby in the High St.. (Google Streetview July 2019).
3 11 The Property appears to be part of a traditional brick construction with high quality brick faced wall finishes under what appears to be a main double pitched hipped tiled and gabled (complex) roof structure and coverings. The Building appears in good condition. Evidence 12 The Tribunal received completed Form 1 and 1b from the tenant. Form 1a from the landlord was received. The Tribunal is grateful for such information as was provided by one or both of the parties. Tenant 13 The tenant referred to the notice being defective in that the rent increase was excessive. The tenant referred to the small size of a second ‘store’/bed room rendering it essentially a 1 bedroom flat. Measurements were not provided for the rooms but the gross internal floor area of the whole property appeared to be some 60m2 from the EPC (band D) included. The tenant described the interior of the flat with cracked ceiling plasterwork and damaged flooring. There were no photographs of the interior or communal areas. 14 The tenant also provided summary details of some 4No. other 1 bedroom flats. These were undated but, showed rents sought from £2167 to £2249 pcm. These were said to be let or to let at or around the date of their application preparation. Landlord 15 The Tribunal received brief representations from the landlord’s agent in Form 1a. These included their reference to valuation work completed by [COMPANY] ([NAME]). They cited some details of 1 or 2 comparables but the rents and the conclusions were unclear in support of the new rent of £2575 pcm. Law 16 In accordance with the terms of S.14 of the Act we are required to determine the rent at which we consider the property might reasonably be expected to let in the open market, by a willing landlord, under an assured tenancy, on the same terms as the actual tenancy; ignoring any increase in value attributable to tenant’s improvements and any decrease in value due to the tenant’s failure to comply with any terms of the tenancy. Thus the Property falls to be valued as it stands; but assuming that the Property to be in a reasonable internal decorative condition. Valuation 17 The Tribunal found no issue with validity of the notice.
4 18 The Property had a floor area of 60m2 or so, typical of a smaller 2 bedroom purpose flat. In the absence of specific photos and measurements of the small second bedroom it concludes that it is of a reasonable size for a 2 bedroom flat. By contrast from the details supplied by the tenant some of these 1 bedroom flats referenced a floor area of between 35m2 to 47m2. 19 The Tribunal finds both the tenant’s and landlord’s comparables, said to be let or t0 let around in early 2026, helpful. From these and from the Tribunal’s own general knowledge of market rent levels in and around the [NAME] it determines that the subject Property would let on normal Assured Shorthold Tenancy (AST) terms, for £2600 pcm, fully fitted and in good order. This is the rent we would expect the Property to let for in the open market if it was in the same condition as comparable properties including landlord’s white goods carpets and curtains. 20 From the representations the Tribunal found that there were no issues significant enough to justify any adjustment from this starting figure. The new rent is therefore £2600 pcm. Undue Hardship 21 Any Hardship has to demonstrably ‘undue’. Hardship, if sought by the tenant in their application, needs to be based on substantial argument, information and supporting documentation to consider it further. The reporting of elements of disrepair to the local authority and the service a notice to quit are not factors that the Tribunal takes into in setting the new rent. In this instance the tenants did not seek to represent ‘undue Hardship’ arising as a result of the rent increase. Decision and effective start date 22 The starting date of the new rent of £2600 pcm is from and including 20 March 2026. 23 Although the landlord is not obliged to charge this rent and may charge a significantly lower rent as a result of their own choice, policy, or governmental regulation; they may not charge more than this figure. [NAME] 28 May 2026
5 Rights of appeal By rule 36(2) of the Tribunal Procedure (First-tier Tribunal) (Property Chamber) Rules 2013, the tribunal is required to notify the parties about any right of appeal they may have. 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 decision to the person making the application (regulation 52 (2) of The Tribunal Procedure (First-tier Tribunal) (Property Chamber) Rule 2013). If the application is not made within the 28-day time limit, such application must include a request for an extension of time and the reason for not complying with the 28 day time limit; the tribunal will then look at such reason(s) and decide whether to allow the application for permission to appeal to proceed, despite not being within the time limit. The application for permission to appeal must identify the decision of the tribunal to which it relates (i.e., give the date, the property, and the case number), state the grounds of appeal and state the result the party making the application is seeking. If the tribunal refuses to grant permission to appeal, a further application for permission may be made to the Upper Tribunal (Lands Chamber).
📊 How courts decide similar cases
Among 12 similar decisions in this collection:
- First-tier Tribunal (Property Chamber) Tribunal Sets Market Rent for Assured Tenancy Property
- First-tier Tribunal (Property Chamber) First-tier Tribunal Determines Market Rent for Assured Tenancy Property
- First-tier Tribunal (Property Chamber) First-tier Tribunal Determines Market Rent for Portsmouth Property
- First-tier Tribunal (Property Chamber) 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 Sets New Rent for Assured Tenancy
- First-tier Tribunal (Property Chamber) First-tier Tribunal Sets Market Rent for Bow Property
- First-tier Tribunal (Property Chamber) First-tier Tribunal Sets Market Rent at £1650 PCM for Assured Tenancy
- First-tier Tribunal (Property Chamber) First-tier Tribunal Sets Market Rent for One-Bedroom Flat in Salford
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 the condition of the property and comparable properties in the area.
- The First-tier Tribunal determines the rent based on the property's condition and local rental values.
- Rent must be set at a reasonable open market rate considering the property's condition and comparables.
❌ Tends to be rejected
- Rent proposals under Section 13 must be reasonable and based on open market conditions.
- Rent determinations under Section 14 Housing Act 1988 ignore improvements made by the tenant.
- Rent should be set at a fair market rate as determined by the First-tier Tribunal (Property Chamber) but was dismissed for unspecified reasons.
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 market rent for the assured tenancy should be £2600 pcm.
Who was involved?
A tenant and a landlord were involved in the dispute over the rental amount.
How did the court decide, and why?
The Tribunal reviewed evidence from both parties and set the rent based on market comparables and property condition.
Which laws or rules were applied?
Sections 13 and 14 of the Housing Act 1988 were applied to determine the market rent.
What was the argument that mattered most?
The arguments about comparable rents in similar properties around Kensington were crucial.
Was the decision for or against the person who brought the case?
The decision was partially in favour of the tenant, setting a lower rent than proposed by the landlord.
What does this mean for someone in a similar situation?
Someone facing a rental dispute should gather evidence on comparable rents and property condition to support their case.
What evidence or documents mattered?
Evidence of comparable properties, valuation reports, and details about the property's condition were important.
Can a decision like this be appealed?
Either party can appeal the decision within 28 days if they have grounds based on points of law.
Is it worth getting a solicitor for a case like this?
It is advisable to seek legal advice from a qualified solicitor for such disputes.
