Demoted tenancies
Where a social housing tenant causes nuisance through antisocial behaviour their landlord can apply to court to reduce their security of tenure for a probationary period.
What is a demoted tenancy?
When a secure or assured tenant causes nuisance through antisocial behaviour, their landlord can apply to court to demote the tenancy to a 12 month probationary tenancy.[1]
The tenant has reduced security of tenure during the probationary period. They do not lose their home and can regain their original tenancy after 12 months. In some cases the demotion period can be extended to 18 months.
A landlord can seek a demotion order in possession proceedings as an alternative claim to a possession order or make a free-standing demotion order application.
Which tenancies can be demoted
Local authorities and housing associations can apply to the court for a demotion order.[2] They can seek a demotion order against:
a secure tenant or licensee
a flexible tenant
an assured tenant
When a landlord can apply to demote a tenancy
A social landlord can apply to demote a tenancy where the tenant, or someone living with or visiting the tenant, has either:[3]
engaged or threatened to engage in antisocial behaviour, or
used or threatened to use the property for an unlawful purpose
Antisocial behaviour
To rely on this ground, the landlord must establish the behaviour:[4]
caused or is capable of causing nuisance or annoyance to any person, and
directly or indirectly relates to or affect the landlord's housing management functions
The threshold to cause nuisance or annoyance is lower than the test for possession under the antisocial behaviour grounds for secure and assured tenants. To grant possession, the court must be satisfied the behaviour is likely to cause nuisance.[5] For a demotion order, the behaviour only needs to be capable of causing nuisance.
Behaviour that relates to or affects housing management functions has been given a wide interpretation by the courts.[6]
Use of premises for unlawful purposes
To rely on this ground, the landlord must establish the behaviour involved using or threatening to use housing owned or managed by the landlord for an unlawful purpose.[7]
Reasonable to make an order
The court must be satisfied that it is reasonable to make a demotion order.[8]
The low level of antisocial behaviour required to satisfy the criteria for issuing a demotion order means that the question of whether it is reasonable to make the order provides the main opportunity for defences against demotion.
Landlord's notice to tenant
The landlord must serve a notice on the tenant of its intention to apply for a demotion order. This might be given at the same time as a notice seeking possession.
Secure or flexible tenant
The notice must be in the prescribed form and include particulars of the conduct which has caused the landlord to seek to demote the tenancy.[9]
The notice period must be at least 28 days and expire on the first or last day of a tenancy period.[10] This does not apply to flexible tenancies.[11] The notice remains valid for 12 months from the expiry date.[12]
A landlord might seek possession along with its demotion claim application. It does not need to serve two separate notices and can use the same prescribed form. Proceedings can normally begin immediately when a landlord serves a notice seeking possession on the grounds of antisocial behaviour (ground 2). If a demotion notice is served at the same time as the possession notice, the 28 day notice period applies.
Find out more about a notice of seeking possession of a secure tenancy.
Assured tenant
There is no prescribed form for assured tenants but the notice must:[13]
give details of the conduct
state that proceedings will not begin before the date specified in the notice
state that proceedings will begin no later than 12 months after the date of service
The notice period must be at least two weeks from the date on which the notice is served.[14] The notice remains valid for 12 months from service.
A landlord might seek possession along with their demotion claim application. Proceedings can normally begin immediately when a landlord serves a notice seeking possession on the grounds of nuisance (ground 14). If a demotion notice is served at the same time as the possession notice, the two week notice period applies.
Find out more about a notice of seeking possession to end an assured tenancy.
When no notice is required
The court can waive the requirement to serve notice where it is just and equitable to do so. This applies to demotion notices and notices seeking possession.[15]
Tenant's defence against demotion claim
The tenant can file a defence to the landlord's demotion order application. The tenant has 14 days from the service of the claim to file a defence.[16]
The court hearing normally takes place four to eight weeks after the issue of the claim. If the tenant does not file a defence, they can take part in the hearing but the court can take account of their failure to file a defence.
The court might find it is unreasonable to make a demotion order where:[17]
the perpetrator's behaviour has improved
there is an appropriate alternative to demotion, such as an injunction or adjournment
the conduct was not severe enough to merit a demotion order, or the tenant was not involved in or tried to prevent the conduct
It might be unreasonable if the consequences of demotion would be disproportionate to the conduct. For example, a housing association secure tenant permanently loses their secure status after an demotion order.
Discrimination
A person letting out or managing accommodation must not unlawfully discriminate against a person on the basis of a protected characteristic. For example, a disability. A tenant might have a defence if they have been discriminated against.
Find out more about discrimination in housing.
Effect of a demotion order
Where the court is satisfied the conditions are met, it can make a demotion order.
A demotion order:[18]
ends an existing secure or assured tenancy
replaces it with a new tenancy with reduced security of tenure for a fixed period
carries forward any rent arrears or credits to the new rent account
The demoted tenancy starts on the date specified in the demotion order. The rent payable and the rent payment date remain the same as the original tenancy.
Demoted tenancies are periodic and last for 12 months. If the original tenancy was fixed term the demoted tenancy will be a weekly periodic tenancy.[19]
The landlord might specify terms from the original tenancy that apply to the demoted tenancy. The implied landlord repairing obligations apply to demoted tenants. Find out more about repairs under section 11.
Effect of demotion on a local authority tenant
A secure or flexible tenant of a local authority has their tenancy replaced with a demoted tenancy.[20] The tenancy is similar to an introductory tenancy.
The demoted tenant loses a number of secure tenancy rights. For example, a demoted tenancy cannot be assigned unless it is part of family law proceedings.[21]
A demoted tenant does not have the right to buy their property during the demoted period. Time spent as a demoted tenant does not count towards the qualifying period for the right to buy. Find out more about the right to buy.
Effect of demotion on a housing association tenant
A secure or assured tenant of a housing association has their tenancy replaced with a demoted assured shorthold tenancy.[22]
A demoted assured shorthold tenancy is similar to an assured shorthold tenancy. The main difference is that a landlord can seek possession using a section 21 notice during the first six months of a demoted assured shorthold tenancy.
Find out more about assured shorthold tenancies.
Some housing association secure tenants have a preserved right to buy. When the tenancy is demoted, this right is lost.[23] Find out more about the preserved right to buy.
Information for tenants
Local authority landlords must publish information about:[24]
their repairing obligations
the terms of their demoted tenancies
the chapter in the Housing Act 1996 dealing with demoted tenancies
Landlords must provide demoted tenants with a copy of the published information and a written statement of any additional demoted tenancy terms.
Possession of a demoted tenancy
The landlord must served notice on a demoted tenant if they want to evict them. The court can dispense with the need for service of a notice if it is just and equitable.
Find out more about a landlord's notice to end a demoted tenancy.
The landlord must obtain a possession order from the court, but they do not usually need to prove a ground for possession or that it is reasonable to make the possession order. The reasons for seeking possession do not have to be antisocial behaviour related.
The County Court can consider whether a tenant's Article 8 rights are engaged. This includes the proportionality of making a possession order in each case, and might decide that evicting a demoted tenant is not a proportionate means of achieving a legitimate aim.[25] Where the court does not consider it is proportionate to make an outright order, it could postpone, suspend, or refuse possession.[26]
Find out more about the possession of a demoted tenancy.
Succession rights after a demoted tenant dies
Succession is the transfer of occupancy rights to a family member when the occupier dies.
If a demoted tenant dies, a member of their family might be eligible to succeed.
Local authority tenant
A demoted tenant's spouse or civil partner can succeed if, at the time of the tenant's death they:
occupy the property as their only or main home
have lived with the tenant for the 12 months before death
Where there is no spouse or civil partner other family members can succeed if they meet the same criteria.
The successor inherits the demoted tenancy. There can only be one succession.
Housing association tenant
A housing association demoted tenant's rights are the same as the rights of assured shorthold tenants. The tenancy passes to the tenant's spouse, civil partner or cohabitee, if they occupy the property as their only or principal home at the time of the tenant's death.
Where there is no spouse, civil partner, or cohabitee, the tenancy agreement might allow another person to succeed.
The successor inherits the demoted assured shorthold tenancy. There can be one succession.
Find out more about succession to an assured shorthold tenancy.
What happens at the end of the demotion period
Demoted tenancies last for 12 months from the date the court specifies in the demotion order. What happens after 12 months depends on whether the landlord has served a possession notice and the type of tenancy.
Landlord has served a possession notice
Where a landlord serves a notice of proceedings for possession on a demoted or demoted assured shorthold tenant, the tenancy continues past 12 months until:[27]
the notice is withdrawn by the landlord
the proceedings are decided in favour of the tenant or landlord
it has been six months since the notice was served and no proceedings have been brought
This effectively extends the demoted period by six months.
Local authority landlord has not served a possession notice
When the original tenancy was a periodic secure tenancy, the tenancy ceases to be demoted after 12 months and becomes secure again.[28]
Where the original tenancy was a flexible secure tenancy, the tenancy ceases to be demoted after 12 months and becomes flexible again. The landlord must have has served a notice before the end of the demoted tenancy that:[29]
sets out the express terms of the flexible tenancy
states that the demoted tenancy will become a flexible tenancy for a fixed term of at least two years
Find out more about secure and flexible tenancies.
Housing association landlord has not served a possession notice
A demoted assured shorthold tenancy ceases to be demoted after 12 months and becomes an assured tenancy.[30]
Where the original tenancy was an assured shorthold tenancy with a fixed term of two years or more, the landlord must have served a notice before the end of the demoted period that:[31]
sets out the express terms of the tenancy
states that the demoted assured shorthold tenancy will become an assured shorthold tenancy for a fixed term of at least two years
Where the original tenancy was secure, this cannot be regained after the demotion period. A former secure tenant becomes an assured tenant.
Find out more about assured tenancies.
Last updated: 13 October 2023