Assured Shorthold Tenancy Agreements Explained

Most tenancies in the UK come under the category of Assured Shorthold Tenancy. A Tenancy Agreement is essential for the protection of both landlord and tenant, and while it can be in the form of an oral contract, a written document provides more security for all parties in the case of a dispute. This article will explain what landlords need to know about Assured Shorthold Tenancy Agreements.

What is an Assured Shorthold Tenancy (AST)?
The majority of new tenancies are automatically classed as Assured Shorthold Tenancies (ASTs). If you are a private landlord or housing association and not resident in the property, the tenancy started after 27 February 1997, and the property is the tenant’s main residence, then the tenancy type is almost definitely an AST. There are some exclusions from this, for instance if the yearly rent is less than £250 (£1000 in London) or more than £100,000, but in all likelihood, if you’re a private landlord then your tenants will be renting under an AST.
Tenancies that began between 15 January 1989 and 27 February 1997 can either be ASTs or Assured Tenancies. Any tenancy which started before 15 January 1989 cannot be an AST.

What should an Assured Shorthold Tenancy Agreement include?
An Assured Shorthold Tenancy Agreement should give details of the following:
The names of all parties involved, and the address of the property to be tenanted;
The amount of the deposit, how the deposit will be protected and under what circumstances the deposit can be partly or fully withheld (usually in the instance of repairs needed due to damage by the tenant);
The rental price, how and when it is to be paid and, if applicable, how and when the rent can be reviewed;
The start and end date of the tenancy, and, if applicable, how the tenancy can be ended early;
Any tenant or landlord obligations, including who is responsible for minor repairs where the landlord is not legally responsible, and
Which bills tenants are responsible for.

What do I need for Assured Shorthold Tenancies (ASTs) starting on or after 1st October 2015?

Importantly, remember that for Assured Shorthold Tenancy that begin on or after 1st October 2015, you must provide the following documents to tenants at the start of each fixed term tenancy:

i) Gas safety certificate / report

ii) Energy performance certificate (EPC)

iii) The government’s document called ‘How to rent: The checklist for renting in England’ – you can download a copy from the link below.

https://www.gov.uk/government/publications

Read our articles In relation to serving section 21 notices and carbon monoxide and smoke alarm regulations.

Can I change a Tenancy Agreement?
If you wish to make changes to your agreement before the tenancy expires, you must gain the agreement of the tenants. You must also ensure that your agreement does not discriminate against tenants on the basis of age, gender (including if the tenant is transgender), sexual orientation, disability, religion, race, or if your tenant becomes pregnant or has a baby.
If you wish to end the tenancy before the agreed end date then you must have a valid reason under the Housing Act 1988, for instance if the tenants are in arrears or you wish to move back into the property.

How can I get an Assured Shorthold Tenancy Agreement written up?
You can create the agreement yourself, and there are several templates available online to do so. The government has provided a model Tenancy Agreement on the Gov.uk website, or you can find alternative templates on a number of legal and landlord associations’ websites.
For more information on Assured Shorthold Tenancy Agreements, you can visit this useful guide for landlords on the Gov.uk website.