First-tier Tribunal Sets Market Rent for Assured Tenancy
📌 In brief
In this case, the First-tier Tribunal decided on a fair market rent for an assured tenancy after reviewing comparable rental prices in the area and accounting for upgrades made by the tenant. The final rent was set at £890 per month.
⚖️ Legal holding
A tenant is entitled to have their rent set at a fair market value considering the property's condition and improvements made by the tenant.
📖 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. There are additional conditions for when the rent can be increased again after the first increase.
This section permits a tenant under an assured tenancy to apply to a tribunal to challenge the rent payable under the tenancy. The tribunal will then determine the open-market rent, considering various factors including the terms of the tenancy and any 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 comparable properties and adjustments.
📜 Headnote Official document
The First-tier Tribunal (Property Chamber) determined the market rent for an assured tenancy based on comparable properties and adjustments considering improvements made by the tenant. The new rent was set at £890 pcm.
📚 Full judgment Official document
OUTCOME: Allowed in Part
© CROWN COPYRIGHT 2026
FIRST - TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY)
Case Reference
HAV/21UC/MNR/2025/0832
[ADDRESS] [POSTCODE]
Tenant
Mr [COUNSEL]
Tenant’s Representative
None
Landlord
[NAME]
Landlord’s Address
Landlord’s [RESPONDENT] of Application
30th November 2025
Type of Application Determination of a Market Rent sections 13 & 14 of the Housing Act 1988
Tribunal Members [NAME] [NAME] [NAME] of Decision
23rd April 2026
Rent Determined
£890 per calendar month
Date the new rent takes effect
1st December 2025
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REASONS FOR THE DECISION
Background
1. On 31st October 2025, the Landlord served a notice under Section 13(2) of the Housing Act 1988 which proposed a new rent of £975 per calendar month (“pcm”) for the Property in place of the existing rent of £780 pcm to take effect from 1st December 2025.
2. On 30th November 2025, 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 August 1993. 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 large basement flat within a Victorian 4-storey building, comprising a living room, kitchen, bedroom and bathroom.
Evidence
10. The Tenant provided an application form and the Landlord’s Agent a Rent Appeal Statement.
The Tenant.
11. The Tenant made the following comments:
a) No white goods are provided by the Landlord. All white goods, fixtures and fittings improved or installed by the Tenant.
The Landlord
12. The Landlord’s Agent made the following comments:
a) There is no double glazing.
b) The Tenant provides carpets and curtains.
c) Works to alleviate damp have been completed.
d) There have been no recent upgrades to the bathroom or kitchen.
e) The property is in a sought-after area of Eastbourne and has a floor area of 109 square meters.
13. The Landlord’s Agent also provided a list of comparable properties recently let with rents ranging from £895 to £1,000 per month.
Determination and Valuation
14. Relying on its own expert, general knowledge of rental values in the area, and the comparables provided by the Landlord’s Agent, the Tribunal considers that the market rental of the subject Property modernised and in good order would be in the order of £1,000 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
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properties including having white goods, flooring and curtains provided by the landlord.
15. From this level of rent, the Tribunal has made adjustments in relation to the following:
a) The Tenant’s provision of white goods. b) The Tenant’s provision of carpets and curtains c) Dated kitchen and bathroom fittings
The full valuation is shown below:
Starting Rent
£1,000 pcm
Less a) Items given under a) above
£30 b) Items given under b) above
£30
c) Items given under c) above
£50
£110
Market rent
£890 pcm
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 made no submission or provided any evidence that the new rent will cause undue hardship in respect of hardship.
Decision
14. Therefore, the Tribunal determines the market rent at £890 per calendar month with effect from 1st December 2025, this being the date specified in the Notice.
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
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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) Tribunal Adjusts Rent Due to Property Repairs
- First-tier Tribunal (Property Chamber) Tribunal sets fair rent of £618.75 pcm for Ipswich flat
- 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 Market Rent for Portsmouth Property
- First-tier Tribunal (Property Chamber) First-tier Tribunal Determines Market Rent for Manchester Property
- First-tier Tribunal (Property Chamber) First-tier Tribunal Sets New Rent Amid Financial Hardship
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 property's condition and improvements made by the tenant.
- Environmental factors affecting the desirability of the property should be considered.
- Undue hardship faced by the tenant should be taken into account.
❌ Tends to be rejected
- Expert valuation without considering the property's condition was insufficient.
- Rent determination based solely on comparable properties without considering the property's condition was insufficient.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The Tribunal determined a fair market rent of £890 pcm for an assured tenancy.
Who was involved?
A tenant and their landlord were involved in the dispute over rental price.
How did the court decide, and why?
The court reviewed comparable properties and adjustments based on improvements made by the tenant to determine a fair market rent.
Which laws or rules were applied?
Sections 13 and 14 of the Housing Act 1988 were applied in this case.
What was the argument that mattered most?
The argument about comparable rental prices and tenant improvements was crucial to determining a fair market rent.
Was the decision for or against the person who brought the case?
The decision was partially in favour of the tenant, as it resulted in a lower rent than initially proposed by the landlord.
What does this mean for someone in a similar situation?
Someone facing a rental dispute can seek a fair market valuation based on comparable properties and any improvements made to their property.
What evidence or documents mattered?
Comparable rental prices, tenant upgrades, and the condition of the property were key pieces of evidence.
Can a decision like this be appealed?
Yes, either party can apply for permission to appeal 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 specific guidance and representation.
