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AllowedFirst-tier Tribunal (Property Chamber)·

Tribunal sets maximum fair rent for tenant

Case No.

📌 In brief

The First-tier Tribunal (Property Chamber) has decided on the maximum fair rent for a tenant's property. The rent is set at £681 per month, calculated according to the Rent Acts (Maximum Fair Rent) Order 1999.

⚖️ Legal holding

A tenant is entitled to a maximum fair rent calculated according to the Rent Acts (Maximum Fair Rent) Order 1999.

Topics

fair rent calculationretail price index

Provisions

Rent Act 1977 Schedule 11Rent Acts (Maximum Fair Rent) Order 1999

📖 Technical summary

The Tribunal calculates the maximum fair rent for a property using the Retail Price Index and relevant legislation.

📜 Headnote Official document

The First-tier Tribunal (Property Chamber) determined the maximum fair rent for a tenant's property to be £681 per calendar month, excluding water rates and council tax but including fuel charges, following the calculation method outlined in the Rent Acts (Maximum Fair Rent) Order 1999.

📚 Full judgment Official document

OUTCOME: Allowed

FR24 First-tier Tribunal – Property Chamber File Ref No. MAN/00BN/F77/2024/0622

Notice of the Tribunal Decision

Rent Act 1977 Schedule 11

Address of Premises

The Tribunal members were [ADDRESS], [POSTCODE]

J White and [APPELLANT]

Landlord [APPELLANT]

Tenant Mr [APPELLANT] C [APPELLANT]

1. The fair rent is £ 681 Per Cal. Month (excluding water rates and council tax but including any amounts in paras 3&4)

2. The effective date is 2 April 2025

3. The amount for services is £ NIL Per

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

5. The capping provisions of the Rent Acts (Maximum Fair Rent) Order 1999 apply (calculation overleaf).

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

Self-contained converted flat, basement bedroom, bathroom and store. Ground living room and kitchen. Parking space. Small flat with unusual layout, bedroom ground level windows looking onto carpark. Some staining, and minor cracking in the lounge, kitchen, above stairs. Signs of historic leak in kitchen. Signs of small areas of dampness in bathroom and by bedroom window. Dated kitchen and bathroom.

8. For information only:

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 £770 per Cal. Month.

Judge J White Date of Decision 2 April 2025

FR24 MAXIMUM FAIR RENT CALCULATION

LATEST RPI FIGURE x 394

PREVIOUS RPI FIGURE y 347.6

X 394 Minus y 347.6 = (A) 46.4

(A) 46.4 divided by y 347.6 = (B) 0.1335

First application for re-registration since 1 February 1999: NO

If yes (B) plus 1.075 = (C)

If no (B) plus 1.05 = (C) 1.1835

Last registered rent* 575 Multiplied by (C) = 680.51

*(exclusive of any variable service charge)

Rounded up to nearest 50 pence = £ 681

Variable service charge: NO

If YES add amount for services

MAXIMUM FAIR RENT = £ 681 Per Cal. 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 Committee'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.

£

📊 How courts decide similar cases

Among 12 similar decisions in this collection:

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 fair rent was capped by the Rent Acts (Maximum Fair Rent) Order 1999.
  • The previous registered rent was increased by the percentage change in the retail price index.
  • A 5% increase was added because this was not the first application for re-registration since February 1999.
  • The calculated maximum fair rent was rounded up to the nearest 50 pence.

Patterns observed in similar cases in this collection — every case is unique.

❓ Frequently asked questions

What did this decision decide?

It set the maximum fair rent for a tenant's property at £681 per month.

Who was involved?

A tenant and a landlord were involved.

How did the court decide, and why?

The court used the formula provided in the Rent Acts (Maximum Fair Rent) Order 1999 to calculate the maximum fair rent.

Which laws or rules were applied?

The Rent Act 1977 and the Rent Acts (Maximum Fair Rent) Order 1999 were applied.

What was the argument that mattered most?

The argument that mattered most was the calculation of the maximum fair rent using the Retail Price Index.

Was the decision for or against the person who brought the case?

The decision was for the tenant.

What does this mean for someone in a similar situation?

Someone in a similar situation should ensure their rent is calculated correctly according to the relevant legislation.

What evidence or documents mattered?

The condition of the property and the previous registered rent were important factors.

Can a decision like this be appealed?

Yes, decisions like this can be appealed to a higher court.

Is it worth getting a solicitor for a case like this?

It is recommended to seek legal advice from a qualified solicitor for cases involving fair rent calculations.

Official source: First-tier Tribunal (Property Chamber) headnote and full judgment reproduced from the court's public records. View on the official source ↗Summary, holding, technical summary and questions: produced by Artificial Intelligence based on the official headnote and judgment. These are VadeLab’s own material and are not the work of the Court.This decision was issued by the First-tier Tribunal (Property Chamber) and is reproduced from its published records. VadeLab is not affiliated with, and this page is not endorsed by, that court or tribunal.