Recovering possession of school accommodation - what schools need to know
The Renters' Rights Act 2025 (the Act) came into force on 1 May 2026 and will change the way in which schools manage their residential property portfolio which is let on a tenancy.
With the abolition of section 21 "no fault" notices, unless the tenant is happy to vacate voluntarily, schools will only be able to terminate a tenancy through service of a Section 8 Notice in reliance on one of the possession grounds set out in Schedule 2 of the Housing Act 1988. These grounds cover a range of scenarios including non-payment of rent and illegal activity by the tenant at the property.
For many schools, ground 5C will be one of the most important tools available. We will comment on this further below in order to help schools put themselves in the best position to obtain possession when required.
What is Ground 5C?
Ground 5C is a mandatory ground for possession introduced by the Act, applying where:
- A property was let to a tenant in connection with their employment and their employment has ceased; or
- The tenancy was granted for the purpose of providing the tenant with accommodation during the early period of their employment and the landlord now reasonably requires the property for a new or incoming member of staff.
This is particularly relevant where schools provide tied or linked accommodation as part of an employment package, e.g. housing provided to a resident housemaster, caretaker, or grounds manager and need flexibility with its housing stock.
A school is deemed to be an "employer" under this ground if it is the direct landlord of the tenant. If the school is not the direct landlord, there must be an agreement in place between the school and the landlord regarding housing employees in order to rely on this ground.
Notice requirements
To rely on Ground 5C, schools must serve a prescribed notice specifying the ground and giving the tenant at least two months' notice.
If a tenant does not vacate by the end of the notice period, the school will need to apply to court for a possession order.
Unlike some discretionary grounds, where the court must consider whether it is reasonable to grant possession, Ground 5C is mandatory. This means that if the school can establish the ground, the court must make a possession order.
Practical tips for schools
Schools should review their template tenancy documentation now. The Act requires new assured periodic tenancy agreements granted after 1 May 2026 must contain certain prescribed terms. In most cases therefore, schools will need to use new templates to ensure they comply. Schools should ensure these agreements clearly state that the accommodation is provided in connection with employment and that Ground 5C may be relied upon.
For further assistance with managing your School's property portfolio, please contact Sarah Outram.
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