(1)A tenancy [F1which is entered into before 1st April 1990 or (where the dwelling-house had a rateable value on 31st March 1990) is entered into on or after 1st April 1990 in pursuance of a contract made before that date] is not a protected tenancy if the dwelling-house falls within one of the Classes set out in subsection (2) below.
(2)Where alternative rateable values are mentioned in this subsection, the higher applies if the dwelling-house is in Greater London and the lower applies if it is elsewhere.
Class A
The appropriate day in relation to the dwelling-house falls or fell on or after 1st April 1973 and the dwelling-house on the appropriate day has or had a rateable value exceeding £1,500 or £750.
Class B
The appropriate day in relation to the dwelling-house fell on or after 22nd March 1973, but before 1st April 1973, and the dwelling-house—
on the appropriate day had a rateable value exceeding £600 or £300, and
on 1st April 1973 had a rateable value exceeding £1,500 or £750.
Class C
The appropriate day in relation to the dwelling-house fell before 22nd March 1973 and the dwelling-house—
on the appropriate day had a rateable value exceeding £400 or £200, and
on 22nd March 1973 had a rateable value exceeding £600 or £300, and
on 1st April 1973 had a rateable value exceeding £1,500 or £750.
(3)If any question arises in any proceedings whether a dwelling-house falls within a Class in subsection (2) above, by virtue of its rateable value at any time, it shall be deemed not to fall within that Class unless the contrary is shown.
[F2(4)A tenancy is not a protected tenancy if—
(a)it is entered into on or after 1st April 1990 (otherwise than, where the dwelling-house had a rateable value on 31st March 1990, in pursuance of a contract made before 1st April 1990), and
(b)under it the rent payable for the time being is payable at a rate exceeding £25,000 a year.
(5)In subsection (4) above “rent” does not include any sum payable by the tenant as is expressed (in whatever terms) to be payable in respect of rates, [F3council tax,] services, repairs, maintenance or insurance, unless it could not have been regarded by the parties as a sum so payable.
(6)If any question arises in any proceedings whether a tenancy is precluded from being a protected tenancy by subsection (4) above, the tenancy shall be deemed to be a protected tenancy unless the contrary is shown.
(7)The Secretary of State may by order replace the amount referred to in subsection (4) above by an amount specified in the order; and such an order shall be made by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament.]
Textual Amendments
F1Words inserted by S.I. 1990/434, reg. 2, Sch. para. 15
F2S. 4(4)–(7) inserted by S.I. 1990/434, reg. 2, Sch. para. 16
F3Words in s. 4(5) inserted (1.4.1993) by S.I. 1993/651, art. 2(1), Sch. 1 para.3