The types of tenancy agreements in the UK
Tenancy agreements can be categorised into three main types, and each has its own requirements for termination:
1 - Assured Shorthold Tenancies (AST)
The most common type of tenancy agreement in the UK. They can be either periodic or fixed-term.
Periodic AST
A periodic AST rolls from week-to-week or month-to-month, with no fixed end date. It typically begins when a fixed-term AST expires without renewal. Tenants must give at least one month's notice if the tenancy is monthly or four weeks' notice if the tenancy is weekly. This notice should end on the last day of the rental period.
Fixed-term AST
A fixed-term AST has a specific start and end date, usually lasting between six months and three years. Tenants generally cannot end a fixed-term tenancy early unless there is a break clause in the agreement or the landlord agrees to early termination. A break clause allows either the tenant or the landlord to end an AST early, provided they follow the notice requirements specified in the clause. Tenants can also negotiate with their landlord to mutually agree on ending the AST early. This is called 'surrendering' the tenancy and usually involves the tenant finding a replacement tenant or agreeing to cover rent payments until a new tenant is found.
2 - Non-assured Shorthold Tenancies
For Non-assured Shorthold Tenancies, tenants must typically provide at least four weeks' notice if they want to exit it, unless agreed otherwise in the tenancy agreement. Meanwhile, landlords must provide at least two months' notice.
3 - Excluded Tenancies or Licences
Tenants with Excluded Tenancies or Licences must usually provide 'reasonable notice', which is typically the same as the rental payment period. Landlords must also provide 'reasonable notice,' which generally corresponds to the rental payment period.
Potential consequences of not giving proper notice
Failing to provide the required notice may result in tenants being responsible for rent payments until the notice period has elapsed or a new tenant is found. Landlords may take legal action to recover unpaid rent or seek compensation for any losses incurred due to the tenant's failure to comply with the tenancy agreement.
Not giving proper notice can damage a tenant's reputation, making it more difficult to secure rental properties in the future.
Tips for a smooth and stress-free move out
Maintaining an open and honest dialogue with your tenant can help to prevent any misunderstandings and make the move-out process more manageable. If the tenant ensures that the property is clean and in good repair can help expedite the process of organising the deposit and avoiding disputes or the necessity for tenant eviction.
Familiarise yourself with the unique terms of the tenancy agreement and make sure you comply with any requirements, as well as checking that the tenant has met their obligations.
Understanding the notice period requirements for your specific tenancy agreement is crucial to ensure a smooth and stress-free process, from the beginning of the tenancy to the end. It is essential to familiarise yourself with the different types of tenancy agreements and the relevant notice periods. By following these guidelines and maintaining open communication with your tenant, you can avoid any potential legal or financial repercussions and secure a positive rental reference for your future endeavours.
AST Assistance can help you to manage the end of a tenancy, whether it is naturally coming to an end, or whether you want to initiate break clauses.
For more information, speak to our landlord advice experts by calling us today on 01706 619954, or by filling the online contact form below, and we will call you back at a time specified by you.