First-tier Tribunal Sets New Rent After Undue Hardship Claim
📌 In brief
A tenant challenged a proposed rent increase of £725 per month due to financial difficulties. The First-tier Tribunal heard the case and set a new rent of £625 per month effective from April 17, 2026, considering the hardship faced by the tenant.
⚖️ Legal holding
A tenant is entitled to have a proposed rent increase determined by the First-tier Tribunal if it causes undue hardship.
📖 What the law says
This section applies to certain types of assured periodic tenancies, allowing landlords to serve a notice proposing a new rent increase. The notice must specify a new period for the tenancy starting at least two months after the notice is served. The section also outlines specific dates when further rent increases can be proposed.
A tenant under an assured tenancy can apply to the appropriate tribunal to challenge the rent payable under the tenancy, provided the rent is not pursuant to a previous determination under this section and more than six months have not elapsed since the beginning of the tenancy. Additionally, a tenant can challenge a new rent proposed in a notice under section 13(2) or 13A(2).
Plain-English explanation — does not replace advice from a solicitor.
📖 Technical summary
The Tribunal determined the market rent for an assured tenancy under Section 13 of the Housing Act 1988.
📜 Headnote Official document
The First-tier Tribunal (Property Chamber) determined the market rent for an assured tenancy at £625 pcm, taking into account undue hardship faced by the tenant.
📚 Full judgment Official document
OUTCOME: Allowed
© CROWN COPYRIGHT 2026
FIRST - TIER TRIBUNAL PROPERTY CHAMBER (RESIDENTIAL PROPERTY)
Case Reference
MAN/ooBY/MNR/2025/1051 [ADDRESS] [POSTCODE]
Tenant
[NAME]
Tenant’s Representative
N/A
Landlord
[NAME] Landlord’s [ADDRESS] [POSTCODE]
Landlord’s Representative
N/A
Date of Application
26 November 2025
Type of Application Determination of a Market Rent sections 13 & 14 of the Housing Act 1988
Tribunal Members Judge Watkin Valuer Member – Ian James MRICS
Date of Decision
17 Apri 2026
Rent Determined
£625 per calendar month
Date the new rent takes effect
9 January 2026
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REASONS FOR THE DECISION
Background
1. On 4 April 2025, the Landlord sent an email to the Tenant informing him of the rent increase to take effect from 30 May 2025. The proposed new rent was £725 per calendar month (pcm) (in place of the existing rent of £600pcm) to take effect from 9 January 2026.
2. By Application dated 26 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 on 30 September 2019. The rental period is monthly, commencing on the 1st of each month.
Allocation of Repairs between Landlord and Tenant.
4. As per section 11 of the Landlord and Tenant Act 1985.
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. No service charges were identified as part of or separately from the rent. No furniture was provided by the Landlord.
Liability for Council Tax
6. The Tenant is responsible for the payment of Council Tax in respect of [NAME]. The rent determined is exclusive of Council Tax.
Any other terms of the tenancy taken into consideration in determining the rent.
7. No other particular tenancy terms were taken into consideration.
Inspection/Hearing
8. An oral hearing took place on 17 April 2026 which was attended by the Applicant, the Respondent was not in attendance. The Tribunal has considered the
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documents received from the parties, the oral evidence and submissions of the Applicant and its own knowledge and specialist expertise.
[NAME]
9. The Tribunal carried out an external only inspection of [NAME] on 17 April 2026. The parties were notified of the inspection, but the Landlord was not able to attend due to a change in the time of the inspection and, therefore, the Tribunal was not able to gain access.
10. The Tribunal were able to view photographs of the flat at the hearing.
11. [NAME] is a first floor flat with one living room, one bathroom, one kitchen and two bedrooms (from Application).
12. [NAME] is situated in Liverpool. The surrounding area is predominantly residential with all amenities close by.
Determination and Valuation
13. The Tribunal used its general knowledge of Market Rents in the vicinity to decide that the Market Rent of the subject property is £625 per calendar month.
14. From this level of rent, the Tribunal has made no adjustments
Undue hardship
15. 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.
16. The Tenant satisfied the Tribunal at the hearing that he would suffer undue hardship if he was required to pay rent from the date specified in the Landlord’s Notice.
Decision
17. Therefore, the Tribunal determines the market rent at £625 per calendar month with effect from 17 April 2026.
APPEAL PROVISIONS
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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 Rental Rate for Assured Tenancy
- First-tier Tribunal (Property Chamber) First-tier Tribunal Sets New Rent After Tenant Dispute
- First-tier Tribunal (Property Chamber) First-tier Tribunal Sets Market Rent in Assured Tenancy Dispute
- First-tier Tribunal (Property Chamber) Tribunal Sets Market Rent for HMO Room: £600 PCM
- First-tier Tribunal (Property Chamber) First-tier Tribunal Adjusts Market Rent Due to Property Issues
- First-tier Tribunal (Property Chamber) First-tier Tribunal Determines Market Rent for Assured Tenancy
- First-tier Tribunal (Property Chamber) First-tier Tribunal Sets New Rent for Assured Tenancy Flat
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
- The proposed rent increase causes undue hardship.
- The tenant refers a landlord's notice proposing a new rent under Section 13(4)(a) of the Housing Act.
- A fair market rent determination is sought when challenged by a landlord's notice under Section 13 of the Housing Act 1988.
❌ Tends to be rejected
- The proposed rent does not cause undue hardship.
- The rent determination does not reflect the size of the accommodation relative to similar properties in the area.
Patterns observed in similar cases in this collection — every case is unique.
❓ Frequently asked questions
What did this decision decide?
The market rent for an assured tenancy was determined at £625 pcm.
Who was involved?
A tenant and a landlord were involved in the dispute over rent increase.
How did the court decide, and why?
The Tribunal considered evidence of undue hardship faced by the tenant and set a lower market rent.
Which laws or rules were applied?
Sections 13 and 14 of the Housing Act 1988 were applied.
What was the argument that mattered most?
The tenant's evidence of undue hardship if required to pay a higher rent.
Was the decision for or against the person who brought the case?
For the tenant, as it set a lower market rent.
What does this mean for someone in a similar situation?
Someone facing an unfair rent increase can seek determination by the First-tier Tribunal if they face undue hardship.
What evidence or documents mattered?
Evidence of financial difficulties and the proposed higher rent were key.
Can a decision like this be appealed?
Yes, either party may appeal to the Upper Tribunal 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.
