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A Court of Appeal ruling has clarified that ‘rent’ must be monetary—excluding tenants paid in labour from statutory protection. In this week's NLJ, James Naylor explains Garraway v Phillips, where a tenant worked two days a week instead of paying rent
The court accepted services have value but held that, under the Housing Act 1988, rent requires a monetary element or agreed valuation. Without it, the tenancy falls outside the assured regime, leaving occupants vulnerable to eviction.
The judgment draws on historical distinctions, rejecting arguments that ‘money’s worth’ alone suffices. As Naylor notes, while rent once included ‘peppercorns’ or services, modern law ‘insists upon arithmetic’.
The decision has significant implications for unconventional housing arrangements, confirming that informal or non-cash agreements may strip tenants of key legal protections.
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