What are the proposed reforms to the Decent Homes Standard?

In an attempt to radically transform the residential rental property landscape, the Government has introduced a series of measures packaged up into the Renters’ Rights Bill; the latest of which is a consultation on proposed reforms to the Decent Homes Standard (the DHS).  This consultation is ongoing and will end on 10 September 2025.

The DHS was first implemented in 2001, and last updated in 2006.  The Government acknowledges that it needs updating, noting that the current version includes out of date information such as specifications for insulation are not in line with current requirements.

The Ministry of Housing, Communities and Local Government plan to amend the DHS in two different ways – firstly, by extending the application of the DHS to the private rental sector (PRS), and secondly, by updating the requirements of the DHS to provide greater protection to tenants.

What is the DHS?

The DHS sets minimum standards that a property must meet to be legally let. In order to be classed as “decent” under the DHS, a property must:

1. Be free from the most dangerous, level 1 health and safety hazards under the Housing and Safety Rating System
2. Be in a reasonable state of repair
3. Have reasonably modern facilities and services
4. Provide a reasonable degree of thermal comfort.

Currently, the DHS only applies to social housing and has done since its introduction in 2001, meaning only social housing must meet the standards listed above.

In contrast, the PRS only requires landlords to ensure their property is fit for human habitation. The lack of mandatory minimum standards in the PRS coupled with the continued housing shortage has meant that many private rental properties are let in a substandard condition.  The consultation stated that in 2023, 21% of homes in the PRS were found to be “non-decent”. In response to such high levels of poor-quality housing, the Government aims to set clear minimum housing standards by 2035 or 2037 through reforms to the DHS.

 What are the proposed reforms to the DHS?

As listed above, there are currently four requirements under the DHS. The Government has proposed amendments to all but the first requirement and have suggested introducing a fifth requirement to address damp and mould problems.

Requirement 2 – reasonable state of repair

The Government’s proposed approach is to focus on the condition of the property rather than its age. Requirement 2 currently requires components in the property to be both old and in disrepair to fail to meet the reasonable standard of repair requirement. This puts tenants in an unfavourable position where the second DHS requirement is technically met where a component is broken/in disrepair but is not ‘old’.  The Government intends to address this by removing the requirement for the component to be old as well as in disrepair. As long as the component is not functional, the landlord will be required to repair it in order to comply with the DHS. Tenants will also benefit from an updated and expanded list of building components which are required to be in a reasonable state of repair.

Requirement 3 – reasonably modern facilities and services

Government’s suggested amendment to requirement 3 closely aligns with the reasoning behind the changes to requirement 2 and shows how focusing on functionality rather than age can also benefit landlords. Currently, the definition of reasonably modern facilities requires kitchens and bathrooms to be below a maximum age of 20 and 30 years old, respectively, to meet the requirement.

Under the proposed DHS requirements, the age of the facility is irrelevant if it is in good repair, and landlords will only have to ensure the property provides at least three specified core facilities – a kitchen, a bathroom and WC, external noise insulation and common entrance areas for blocks of flats – that meet the requirements, to be classed as “decent” under requirement 3.

Child resistant window restrictors have also been added to the list of essential facilities.

In addition, the Government is consulting on whether landlords must provide secure doors and “suitable” floor coverings in all rooms at the start of every tenancy as part of requirement 3.

Requirement 4 – a reasonable degree of thermal comfort

Requirement 4 requires the property to provide tenants with a “reasonable degree of thermal comfort”. This currently requires the property to meet an energy efficiency standard equivalent to an ‘F’ rating and does not necessarily mean the property will be efficient or comfortable for tenants.

The updated DHS will require dwellings to have efficient heating and effective insulation in order meet the fourth requirement. This standard will partly be satisfied by the property meeting the minimum energy efficiency standards (MEES) requirement, which is currently set at an energy performance rating of ‘E’. There are proposals to update this to an energy performance rating of ‘C’ by 2030. You can read further about the MEES proposals more generally in our previous article, which can be found here. The property should also have programmable heating i.e. where the timing and the temperature of the heating can be controlled by the occupants

*New* requirement 5 – no damp or mould

As part of the package of housing reforms, the Government is introducing Awaab’s Law following the tragic death of two-year old Awaab Ishak from prolonged exposure to mould in his rented home. Awaab’s Law will require landlords to comply with statutory timescales to respond to and repair serious hazards. In line with this, the Government has proposed introducing a fifth requirement to the DHS which would require residential rental properties to be free from damp and mould.

Implementation timeframes for DHS

The DHS is one of several new measures that will apply to rental properties in the near future. Awaab’s Law (mentioned above) will apply to the social rented sector in phases from October 2025 but the Government has confirmed that it also intends to consult on extending its application to the private rented sector, and that it is consulting on requiring all rented properties to meet EPC “C” rating by 2030.

In recognition of the “significant new obligations” that will be imposed on landlords, the Government is proposing that the updated DHS is brought into force in each tenure in either 2035 or 2037 but has confirmed that its expectation is that landlords should commence works earlier wherever feasible.

The proposed reforms significantly increase the level of protection afforded to tenants living in both the PRS and in social housing. Tenants will be able to demand a higher standard of safe and comfortable housing than has been provided to them in the nearly 25 years since the DHS was introduced. However, many private residential landlords will now need to bring their properties up to scratch in line with the proposed reforms. Given the scope of the DHS reforms, this may force landlords to incur significant expenditure in order for the property to be lettable according to the DHS requirements. To ensure landlords act in accordance with the DHS, the proposals also include stronger enforcement action powers for local housing authorities to issue penalties and fines for non-compliance (including immediate fines of up to £7,000).

Lenders and mortgagees of properties currently subject to the DHS, or which could be bought into the scope of the DHS, must also be aware of the potential changes and scope of standards that could be required.  This is in order to ensure their landlord-borrowers and any properties subject to their security are compliant.  A failure to meet the required standards could adversely impact values and marketability of rented properties and therefore the lenders’/ mortgagees’ security.

The DHS consultation is not an isolated development – it is part of a host of measures which are being rolled out by the Government through the introduction of the Renters’ Rights Bill. Proposed amendments include: the abolition of “no fault” evictions, rent review clauses and fixed term assured shorthold tenancies; the creation of a PRS Ombudsman to deal with tenant complaints; and the creation of a PRS database of landlords and properties.

The central aim of the proposed reforms is to give tenants of residential properties greater power and protection against landlords, particularly those who fail to meet their obligations, and we expect that all of these measures will in turn impact landlords and lenders and mortgagees of residential properties.

If you have any questions, our Real Estate team would be happy to help.