Sarah O'Sullivan, Author at Tees Law

Landlord rights: How to deal with difficult tenants

Posted on 4 November 202426 May 2025 by Sarah O'Sullivan

Dealing with problem tenants can feel like a nightmare for landlords. When problems occur during a tenancy, there are steps landlords can take to protect their rights. Here, our property dispute specialists give their top tips to avoid problems.

Preventing disputes with tenants

Of course, we’d all rather prevent disputes from happening in the first place. Dealing with difficult tenants can be very difficult for landlords – and for many, it’s unfamiliar and potentially risky territory. After all, navigating the complex rules relating to tenants’ rights and exactly what landlords can and cannot do can feel like a minefield.

Here are some steps you can take to avoid problems with your tenants:

Run a background check on your tenant(s)

Make sure you run appropriate background checks on your tenants before they move in. This includes checking the ‘Right to Rent’ status of all adults living in the property, obtaining a reference from their previous landlord or agency and a credit check. This is often the first step in the process, and one of the most important – any red flags at this stage should help you avoid potentially problematic tenants altogether.

Maintain an up to date inventory

Draw up a thorough inventory of the property, and its contents. If you are letting the property furnished, ensure that all furnishings and appliances are accounted for and checked prior to check in. An up to date, comprehensive inventory is invaluable if your tenants cause damage to the property.

It’s important to take out the right type of insurance when renting out your property. Insurance designed for owner-occupied properties isn’t suitable for rental properties. Landlord Insurance is specifically designed for the needs of landlords. It covers damage to the property itself, as well as any content supplied by the landlord (such as furnishings or appliances). Additionally, it offers insurance against other risks such as the loss of rental income if your tenants are unable to pay.

Check your tenancy agreement

Before the tenancy commences, have the tenancy agreement checked by a solicitor who specialises in property law. The solicitor will help you ensure your rights as a landlord are fully protected, and that you’re in the best possible position if any problems were to come up during the tenancy.

Your tenancy agreement forms the foundation of your relationship with your tenants. You may need to rely on the tenancy agreement later, particularly if there are any problems. Taking the time to ensure it’s legally sound and compliant can help you avoid a lot of trouble, and expense, in the long run.

The Tenancy Deposit Protection scheme

Under Tenancy Deposit Protection legislation, landlords and agents are required to protect deposits in one of three government-approved schemes. If your tenants honour the terms of the tenancy agreement, then the deposit is returned to them in full at the end of their tenancy. If they don’t, then the landlord is entitled to make deductions from the deposit to cover things like breakages or damage. Carrying out regular inspections of your property, giving your tenants reasonable notice (at least 24 hours) in writing, can help ensure any problems are identified at an early stage.

Problems during and after a tenancy

Sometimes, problems with tenants arise – even if you’ve done everything you can to protect against it. Common problems with tenants include:

Damage to your property and/or furnishings
Noise complaints and problems with neighbours
Rent arrears
Refusal to vacate the property once the tenancy has ended

If your tenants are causing damage or being a nuisance, start by communicating clearly, politely and firmly with them, explaining why their behaviour isn’t acceptable. If your tenancy agreement contains clauses regarding unacceptable behaviour, remind them of their responsibilities. It’s worth pointing out to them as professionally and calmly as possible that if the problems can’t be adequately dealt with and you are forced to seek possession of the property through the courts, you will not be able to provide them with a satisfactory reference and this will severely restrict their ability to take a tenancy with a different landlord.

If the tenants are in arrears with their rent, then start by issuing a polite reminder that the money is due. Keeping in touch with them and documenting all the steps you take to recover the rent is extremely important if you find yourself needing to take legal proceedings against them at any point.

Evicting a tenant

If all other steps have failed, then you may need to consider evicting a tenant.

It is very important to do this is in the right way, and follow the correct procedures and guidance. Failing to do so could cause delays, and incur extra expense or loss of income. In particular, following the correct procedures helps protect landlords from being accused of harassing or illegally evicting tenants. At Tees, we offer advice and guidance to protect your position and ensure the eviction process proceeds smoothly.

If your tenant is renting under an assured shorthold tenancy agreement and hasn’t paid the rent for more than 8 weeks, has damaged the property, or is causing a nuisance to neighbours, or breaching any other terms of their rental agreement, we can explain how to use a Section 8 notice to regain possession of your property. You will need to give them between 2 weeks’ and 2 months’ notice to leave, depending on which terms they have broken. If they don’t leave by the specified date, we can help you apply to the court for a possession order.

Alternatively, we can explain how to use a Section 21 notice, which is often referred to as the ‘no fault’ route, as here the landlord doesn’t need to prove that the tenant has done anything wrong. This gives the tenant at least 2 months to leave. When using this form of eviction, it’s vitally important to ensure that you comply with all the requirements, as failure to do so will render the notice invalid, and you would have to wait for a new notice period to expire before issuing a fresh Section 21 notice.

Your property dispute specialists

Darren Perks, Partner at Tees, is a specialist in property disputes and regularly deals with complex cases for a wide variety of clients. Darren’s work includes disputes relating to commercial, agricultural and residential leases, adverse possession, easements and covenants, boundaries, overage, transactions, construction and statutory compensation.
Darren has successfully resolved many claims for landlords involving both residential and commercial properties, and with more than 10 years’ experience in this area of the law has the practical experience to help you find a solution. To contact Darren directly, please telephone 01279 710619 or email darren.perks@teeslaw.com.

Boundaries: The hedge and ditch rule

Posted on 4 November 202426 May 2025 by Sarah O'Sullivan

Do you know about the hedge and ditch principle? It’s an ancient rule that can be a shaft of sunlight through the fog of a rural boundary dispute.

The hedge and ditch rule

In a case in 1810, a few years before the Battle of Waterloo, Mr Justice Laurence said: “The rule about ditching is this. No man, making a ditch, can cut into his neighbour’s soil, but usually he cuts it to the very extremity of his own land: he is of course bound to throw the soil which he digs out, upon his own land; and often, if he likes it, he plants a hedge on top of it.”

It seems at first almost a comical idea – the judge cannot have known what any particular farmer did in the past – he was making it up – but as it turns out, it has been very useful ever since.

The hedge and ditch rule is a rebuttable legal presumption that where there is a hedge and ditch running along the boundary of a parcel of land, then the boundary lays along the farthest edge of the ditch from the hedge. The presumption is that the owner of the land dug the ditch along the edge of their boundary and then piled up the soil along their land, after which a hedge was planted.

The hedge and ditch principle is simple and easy to apply

In establishing the true location of a boundary, the court will typically weigh up a number of factors, including the topography and other physical attributes. The hedge and ditch principle brings some certainty to boundary questions in the country.

Can the hedge and ditch rule be rebutted?

Yes. The rule may only be a starting point depending on the precise circumstances. Examples of where is doesn’t apply include:

if the boundary was fixed after the ditch was dug
if the ditch can be shown to have been dug whilst the land was in common ownership
it can also be overruled by what the title deeds say.

Another example of rebuttal was seen in the case of Steward v Gallop [2010] EWCA Civ 823 where the hedge ran only along part of the relevant boundary and the hedge predated the ditch.

The Parmar v Upton case

In the Parmar v Upton case [2015] EWCA Civ 795, although the rule ultimately proved decisive, this was only after significant time and costs had been spent by the parties. The Court of Appeal re-affirmed that the long-standing hedge and ditch rule is still good. In this case, the appellant could not, despite some fresh evidence, overturn the presumption that the hedge and ditch rule applied and consequently the appeal was dismissed.

Using Land Registry title plans in boundary disputes

The precise location of a boundary is a common dispute between neighbouring landowners. Often, neighbours will look to the Land Registry’s title plan as proof of the boundary’s location.

Sadly, Land Registry title plans are based on Ordnance Survey maps which are not definitive as to the legal extent of the boundaries around the property. Land Registry title plans are typically for identification purposes only and boundary disputes rarely turn on the title plans themselves.

Emotions running high

Often, the problem is not about boundaries – it is about the relationship between individuals. In a boundary dispute the emotions often run hight, neighbours fall out, they stop talking to each other, and then when there is an issue, the dispute escalates rapidly.

The skill of the solicitor in a boundary dispute can be a subtle one. Court proceedings may sometimes be necessary but approaching the situation firmly but diplomatically can often achieve a better result for the client.

Tees is here to help

We have many specialist lawyers who are based in:

Cambridgeshire: Cambridge
Essex: Brentwood, Chelmsford, and Saffron Walden
Hertfordshire: Bishop’s Stortford and Royston

But we can help you wherever you are in England and Wales.

Navigating settlement agreements this festive season

Posted on 2 November 202426 May 2025 by Sarah O'Sullivan

Every year as the festive season rolls in, so do the enquires about settlement agreements. Financial pressures, year-end reorganisations, and planning for the new year often lead to what can be challenging conversations in the workplace. Whether you are an employer looking to resolve a workplace issue or an employee faced with an unexpected offer, understanding how to approach settlement agreements is key to achieving a fair and smooth resolution.

Handled well, settlement agreements can benefit both parties. Mishandled, they can lead to misunderstandings, delays, or even legal disputes.

At Tees Law, my colleagues and I in the employment team, advise both employers and employees, helping them navigate the process with confidence. We have set out some key hints and tips below for how both sides can approach settlement agreements effectively and try to avoid unnecessary stress during this bustling time of year.

Why settlement agreements spike in winter

For many employees, being presented with a settlement agreement just before the holidays can feel overwhelming. For employers, it can be a practical way to resolve disputes, end employment relationships amicably, and avoid the uncertainty of future claims. However, the key to success lies in handling these agreements thoughtfully and strategically.

Tips for employers: getting it right

If you are offering a settlement agreement to an employee, consider the following tips to set the process on the right track:

Give them time: Employees are entitled to take time to consider the agreement. While there is no hard-and-fast legal rule, ACAS guidance suggests giving them at least 10 calendar days. A rushed process can feel heavy-handed and is unlikely to foster cooperation and if approached in the wrong way could mean that otherwise protected conversations may be admissible in contested proceedings.
Recommend trusted advisors: Many employees will not know where to start when seeking legal advice. While they have the right to choose their own solicitor, offering a list of reputable employment lawyers, like Tees, can save them time and stress. Many of the employees we assist have spent days calling around before finding the right support.
Offer a reasonable contribution to legal fees: Covering legal fees is not mandatory, but a contribution shows goodwill and makes it easier for employees to seek advice. Without it, employees may hesitate to proceed, delaying resolution.
Show empathy: Imagine being handed a settlement agreement in the run-up to Christmas. It is a challenging time, and empathy can go a long way. Consider flexible arrangements, like offering garden leave or discussing whether they would prefer to work (or not) while deciding. Demonstrate understanding—it will make a significant difference in tone and outcomes.
Be clear and fair: If your offer is non-negotiable, set this out plainly. Make it reasonable, explain how it is calculated, and detail the benefits in specific monetary terms. Employees are more likely to agree when they—and their solicitor—see that the offer is thoughtful and fair and understand the employer’s perspective.
Draft with precision: Poorly drafted agreements create delays and increase costs. Ensure all terms are clear. If you are unsure, consulting an employment law solicitor early can save time, costs and effort later.
Consider flexibility on non-competes and notice periods: Non-compete clauses or decisions on payment in lieu of notice can be restrictive. Offering garden leave or taking a more flexible approach can set a cooperative tone and make the agreement more appealing. For employees on visas or those utilising benefits, garden leave can be especially valuable.
Communicate departure sensitively: Leaving a role is a significant moment, and most employees want to depart with their reputation intact. Work with them to agree on how and when the departure is communicated. This collaboration can help preserve goodwill on both sides.

Tips for employees: getting it right

If you have been offered a settlement agreement, do not panic—it is an opportunity to clarify your position and negotiate terms that work for you. Here is how I suggest you approach it:

Do not feel pressured: You are entitled to time to review the agreement and seek legal advice. If the deadline feels tight, ask for an extension—most employers will understand the need for time to consider an offer, within reason.
Seek legal advice: Settlement agreements are complex, and independent legal advice is essential. A solicitor can help you understand your rights, assess the terms, and negotiate on your behalf if needed.
Understand what is being offered: Ensure you understand all aspects of the offer, from financial compensation to restrictive clauses like non-competes. A solicitor can clarify how these might affect your future.
Consider negotiation: If the offer seems unfair, do not be afraid to negotiate though your bargaining position and whether it would be worth seeking more will depend on the circumstances. Take advice on what is viable.
Plan your next steps: Whether you agree to the terms or not, think about how the situation aligns with your career goals and objectives. Focus on end aims rather than the emotion of facing these changes. Consider discussing how your departure will be communicated to protect your reputation.

Key considerations for both parties

Clarity is crucial: Whether drafting or reviewing a settlement agreement, ensure the terms are precise and leave no room for misinterpretation.
Flexibility helps: Employers and employees who approach the process with flexibility are more likely to reach a mutually beneficial outcome.
Professional advice is essential: Settlement agreements are legal documents—not only is advice necessary to make the agreements binding, seeking expert advice can prevent costly mistakes.

The festive season may bring challenges, but with the right approach, you can ensure that everyone enters the new year on solid ground. Reach out to our employment law team today for tailored advice that works for you.

Let us help you navigate these seasonal spikes with confidence—because everyone deserves a fair resolution, no matter the time of year.

Have you agreed on Christmas holiday arrangements for your children?

Posted on 1 November 202418 May 2025 by Sarah O'Sullivan

he holiday season can be stressful for divorced parents. In this article, we will discuss how to best plan for the festive period.

Every year our family law solicitors advise parents who are facing difficult questions around the Christmas holidays following separation. For a lot of families, issues tend to centre around deciding who the children will spend Christmas day or New Year with and what happens when a parent faces spending a period of the festive season without seeing their children.

Plan ahead where possible

Most families adjust to life after separation with children spending time during the festive period with both parents. If handled sensitively, children adjust quickly and look forward to the opportunity to share their Christmas holiday celebrations with both parts of their family.

Usually, it is the parents who find adjusting to not being able to be with their child over the entire Christmas period the hardest. The key is to plan ahead, don’t leave difficult decisions to the last minute and have an open line of communication with your co-parent, if possible

Consider the bigger picture

Some parents tell us that they dread the onset of the festive period and struggle to accept the new arrangements. Long term, the aim is to be able to co-parent over the holiday periods and in such a way that your child will understand that both parents love them and want to spend positive periods of time with them. However, we understand that separation can be a bumpy road, so it’s easier for some to achieve this than others.

The welfare and best interests of your child are the most important factors to be considered and it is often difficult for parents to come to terms with not seeing their child on Christmas Day when this has been the norm previously. Focus instead on making the time that you will spend with your child during the festive period a special occasion.

If your co-parenting relationship allows it, consider whether you could facilitate a short video call with your co-parent and your child over the festive period if they are not going to be spending time with them, allowing your child to share the special occasion with both their parents.

Talk to each other

If there are no welfare issues and you are struggling to reach an agreement with your co-parent about sharing a festive period, it’s usually quicker and cheaper to try to resolve matters by agreement rather than going to court. This can include using the services of a mediator, who is a neutral third party trained to help facilitate conversations between you and your co-parent on topics where you do not agree. They will arrange a meeting with your former partner, and their solicitor (if any/appropriate) to agree how childcare over the Christmas holidays will be split. Communication is key: airing your thoughts normally pays off, allowing you to negotiate a fair, practical agreement over the festive season well in advance.

Ensuring your child can spend time with both parents and their extended family is often a consideration. Your plans don’t have to focus around the grandparents’ availability but making sure your child can see their extended family over the Christmas holidays is important to the entire family.

Don’t leave your plans to the last minute

If you think Christmas is going to be a problem, seek legal advice well in advance. This will give you time to reach an agreement that suits the needs of both parents and your children.

If you’re struggling to agree on plans this year—or any other time of year—try speaking to a neutral third party or mediator to help you plan as much as possible. Clare Pilsworth and Helen Midgeley are mediators based in our Cambridge and Bishop’s Stortford offices, respectively, and they would be happy to discuss making the most of the festive period this year with you and your co-parent.

Tees shines a light on men’s mental health

Posted on 1 November 202418 May 2025 by Sarah O'Sullivan

As Movember continues to shine a spotlight on men’s mental well-being, it’s essential to address the often-overlooked emotional and physical impacts of divorce and family breakdown. Understanding these challenges can encourage men to seek support, reduce stigma, and improve mental health outcomes.

The emotional toll of divorce on men’s mental health

Movember, a global movement raising awareness of men’s health for over 20 years, highlights critical issues such as depression, anxiety, and the alarming rates of suicide among men. Divorce can intensify these challenges, leading to overwhelming emotions like sadness, anger, guilt, and loneliness. The shift in family dynamics, financial strain, and uncertainty about the future can further exacerbate mental health concerns.

Unchecked emotional stress may also manifest physically, contributing to sleep disturbances, weakened immune systems, and unhealthy lifestyle habits. Without proper support, these challenges can have lasting consequences.

Breaking the stigma: Encouraging men to seek support

Societal expectations often discourage men from expressing their emotions. However, acknowledging and discussing mental health challenges is a crucial step toward healing. By seeking professional support, men can navigate the complexities of divorce with resilience and reduce the risk of long-term mental health issues.

Insights from Tees’ Family Law Team

Mark Chiverton, a solicitor in Tees’ Family team and a Resolution member, emphasises the importance of supporting men’s mental health during divorce. He notes:

“As a family lawyer, I strive to reduce the emotional strain of divorce by promoting a constructive approach and encouraging alternative dispute resolution methods. Movember serves as a powerful reminder that men’s mental well-being must remain a priority during this challenging time.”

He continues:

“Clients may not always express their emotional struggles, but that doesn’t mean they aren’t experiencing them. Recognising this allows me to offer more empathetic support and recommend professional mental health resources when needed.”

The importance of professional support

Seeking support from mental health professionals can provide men with coping strategies to manage stress and process emotions in a healthy manner. Psychotherapist Sarah Fahy advises:

“It’s okay to ask for help. Taking time to heal and rebuild is essential. Prioritising mental health through counselling, maintaining a balanced diet, exercising regularly, and getting adequate sleep can significantly improve well-being.”

For those looking for mental health support, directories such as the British Association of Counsellors and Psychotherapists (BACP) and the UK Council for Psychotherapy (UKCP) can help connect individuals with qualified professionals.

Moving forward: A path to resilience

Navigating divorce can be one of life’s most challenging experiences. However, with the right support network and self-care strategies, it’s possible to emerge stronger and more resilient. Prioritising mental health, acknowledging emotions, and seeking assistance when needed can help men rebuild their lives with confidence.

At Tees, we are committed to supporting our clients through every step of their journey. By fostering empathy and advocating for mental well-being, we contribute to a healthier future for all.

For further advice and assistance, reach out to our Family Law team at Tees. We’re here to help.

Stansted Airport expansion: Balancing growth with employment law compliance

Posted on 22 October 202426 May 2025 by Sarah O'Sullivan

Stansted Airport’s reported £1.1 billion expansion is poised to create over 5,000 jobs, promising a major economic boost. However, behind the headlines lies a complex employment law landscape that should be considered.

Employment law challenges

While new jobs and growth are to be welcomed, large projects like this can present human and employment law challenges that must be carefully managed.

Sector-specific regulations

The aviation and construction sectors are governed by stringent regulations—health and safety standards, collective bargaining with unions (where applicable), and recruitment and onboarding compliance that are just a few areas that will need to be considered alongside the usual and considerable employment law obligations.

Opportunities and risks

Managed well, this will prove an opportunity for employers to showcase best practices in recruitment, worker safety, and union engagement to promote growth with an engaged and productive workforce. Managed badly and employers will face claims and complaints and recruitment and retention issues.

Striking the right balance

With careful planning, Stansted could set a benchmark for balancing rapid growth with strong legal compliance, fostering not just jobs but quality employment. The key challenge? Balancing rapid recruitment with safeguarding worker rights. As temporary and agency workers inevitably make up part of the workforce, employers must avoid the pitfalls of misclassification and unequal treatment. Temporary work may suit the short-term nature of construction, but employees in aviation roles will expect job security and fair conditions under the collective agreements often in place at airports.

Union engagement and industrial relations

Moreover, union involvement will likely intensify, with employees and unions demanding assurances on pay, working hours, and conditions. Industrial relations could become a sticking point if employers don’t engage early and often, as past experiences with the aviation sector have shown.

The path forward

For many, this expansion represents hope: an optimistic vision of the future where economic progress is intertwined with social responsibility. Thoughtful attention to employment law could transform this development into a model for how infrastructure projects should unfold, creating not only work but also a fair, inclusive workforce.

Best practices for employers

By emphasising training, fair pay and treatment, and, where applicable, collaboration with unions, Stansted’s growth can prove that scaling up responsibly is not only possible but profitable. This could be a blueprint for the aviation industry and beyond as more projects emerge, requiring rapid, responsible hiring.

In short, Stansted’s expansion represents more than physical growth; it’s a chance to align progress with ethical employment practices, offering a win-win for workers and the economy. Employers who navigate these waters well will benefit from a successful and compliant recruitment drive. Those who don’t may find themselves tangled in costly disputes that could derail the project.

Lessons for UK employers from Amazon’s return-to-office mandate

Posted on 16 October 202426 May 2025 by Sarah O'Sullivan

Navigating the new norm

Amazon’s bold decision to compel all employees back to the office five days a week starting next year has stirred considerable debate. While the move signals a return to pre-pandemic norms, it also represents a broader philosophical and operational shift for companies worldwide. For UK businesses, this development prompts contemplation on balancing operational efficiency, legal obligations, and employee well-being.

The conundrum of contractual clarity

At the heart of Amazon’s mandate lies a fundamental question: How do employers transition away from the flexibility granted during the pandemic? Looking at the employment contracts are important in this context. Many employees were granted flexible working arrangements either informally or via alterations to their contracts during this time. Additionally, it isn’t just about what was written, but also about the implicit understandings that may have developed during a time of global crisis. Employers must tread cautiously, ensuring any shift respects both legal and moral bindings. It invites a nuanced approach—one that balances legal compliance with the expectations of a workforce that has tasted flexibility and may feel aggrieved or even discriminated against if they are asked to do something that has not been the norm for a period.

The necessity of dialogue: Listening as an operational strategy

Open communication with employees is something to be encouraged—a critical yet sometimes overlooked cornerstone of organisational change. Consulting employees about such substantial shifts isn’t just a legal formality; it’s an opportunity to forge a deeper connection.

Meaningful dialogue can unearth insights, prompt innovation, and even identify potential pitfalls early. It shifts the narrative from mere compliance to collaboration, transforming the potential friction of policy changes into a symbiotic evolution.

Health and safety redefined

Amazon’s move triggers fresh assessments of the workplace environment. The pandemic has indelibly altered the benchmarks for what constitutes a ‘safe’ workplace. Health and Safety, now more than ever, must encompass mental as well as physical well-being. This necessitates not just risk assessments but also a rededicated focus on mental health resources and a culture that fosters psychological safety. As employers, the challenge lies in evolving health and safety policies from checklists to cultural cornerstones.

The flexible working paradigm

Amazon’s announcement also brings into sharp focus the delicate dance around flexible working requests. The law permits employees from the first day in their roles the statutory right to request flexible working, yet this needs thoughtful navigation.

The discourse should lean towards the art of the possible—how can flexible working be shaped to benefit both the employee and the organisation? This isn’t just about managing refusals; it’s about genuine engagement and innovative problem-solving to harmonise operational needs with employee aspirations. The fact is that a return to a static, office-bound work model introduces significant practical challenges, from commuting logistics to work-life balance disruptions.

Employers might consider hybrid models or phased returns. Rather than this being perceived as a sign of indecision, an alternative view would be to judge this as a compromise of flexibility and a strategic virtue. By giving employees time to adjust, employers can ease potential frictions and cultivate a more resilient workforce for a sustainable future.

Regulatory reflection

Finally, any return to office mandates must align with evolving regulatory landscapes. The dynamic nature of Government guidelines necessitates ongoing vigilance and adaptability. In the event of future public health crises, businesses should be prepared to rapidly adapt its working policies to align with legal requirements and public health recommendations.

Knowledge is power. Employers need to stay abreast of changes, adapting policies proactively rather than reactively. This proactive stance isn’t just about avoiding legal pitfalls but about embodying a forward-thinking, employee-centric ethos.

Beyond the mandate

Amazon’s decision serves as a significant impetus for reflection. It challenges UK employers to look beyond mere mandates and towards a broader re-imagining of work. How can organisations blend operational exigencies with the evolved expectations and needs of their workforce? From contractual modifications and health and safety obligations to handling flexible working requests, businesses will need to navigate a range of legal and practical considerations. Successfully managing this transition requires careful planning, robust consultation, and a commitment to employee welfare.

By advocating for a thoughtful, compassionate, and strategic approach, employers can transform potential unrest into a unifying journey towards a reinvigorated workplace. The goal is not to return to the old normal but to craft a new one—a workplace that respects the lessons of the pandemic, embraces flexibility as strength, and champions a culture where both business and employees thrive in tandem.

UK commercial real estate shows strong performance, says BNP Paribas

Posted on 16 October 202422 May 2025 by Sarah O'Sullivan

Investor sentiment has improved, with sterling continuing to strengthen, reaching its highest level against the dollar and the euro in over two years. This helps to attract overseas investors and boost UK weightings in global real estate allocations.

Performance is recovering too and total returns were positive across all main sectors over the last three months – the first time this has been the case in over two years. It is important to note, however, that this recovery is expected to be gradual as investors and the market continue to find their feet.

Etienne Prongué, CEO of BNP Paribas Real Estate commented, “UK real estate data continues to be reassuring. The trajectory for capital value is now positive across all property types and confirms the UK market is further along in its recovery than the rest of Europe. With the development pipeline remaining constrained and business surveys continuing to point to expansion, our forecast for prime office returns point to continuing UK outperformance over the next five years.”

Modest recovery for retail

The latest data from Colliers indicates that the retail market is showing signs of modest recovery.

In capital markets, retail investment volumes increased to £200m in August. Although this is above the £150m reported in July, it is still significantly lower than the five-year monthly average for August, which stands at £660m. The largest single-asset transaction in August came from JP Morgan, who bought 291 Oxford Street for £70m at a 5.8% yield.

In occupier markets, retails sales volumes increased by 2.5% annually in August but are still below pre-pandemic levels. Meanwhile, annual retail price inflation was at 3.5% in August, having lowered to 2.9% in June. Also, retails rents have risen for 22 consecutive months.

Positive sentiment from Savills

According to Savills, there seems to be a more positive sentiment in the UK commercial market.

All sectors saw yields trend downwards or stay the same in August. Investment research firm MSCI reported that total returns were positive across the whole UK commercial market. The only sector displaying a yearly negative return was offices; however, Savills expects this sector to pick up and return to positive territory in Q1 2025. Future supply is very limited, which will cause prime rents to keep increasing.

The UK dominated European activity in H1 of this year, with a 29% share of investment volumes – 24% above the five-year average. There has been a notable increase in activity from French SCPI (Société Civile de Placement Immobilier) collective funds, who are investing in UK regional markets.

It is important to take professional advice before making any decision relating to your personal finances. Information within this document is based on our current understanding and can be subject to change without notice and the accuracy and completeness of the information cannot be guaranteed. It does not provide individual tailored investment advice and is for guidance only. Some rules may vary in different parts of the UK. We cannot assume legal liability for any errors or omissions it might contain. Levels and bases of, and reliefs from, taxation are those currently applying or proposed and are subject to change; their value depends on the investor’s individual circumstances. No part of this document may be reproduced in any manner without prior permission.

All details are correct at the time of writing (16 October 2024)

Tees are here to help

We have many specialist lawyers who are based in:

Cambridgeshire: Cambridge
Essex: Brentwood, Chelmsford, and Saffron Walden
Hertfordshire: Bishop’s Stortford and Royston

But we can help you wherever you are in England and Wales.

Employment (Allocation of Tips) Act 2023: Key info for hospitality

Posted on 16 October 202426 May 2025 by Sarah O'Sullivan

From 1 October 2024, the UK hospitality sector was subject to the introduction of the Employment (Allocation of Tips) Act 2023. The legislation has been designed to facilitate transparency and fairness in distributing tips, gratuities, and service charges among workers. The law addresses long-standing concerns over tip management, particularly as the industry moves toward cashless transactions.

How this will impact employers and workers in the UK’s hospitality sector remains to be seen. Having conducted a first review of the Act (and the accompanying statutory Code of Practice), the key provisions include:

Obligation to pass on tips in full: Employers must pass on 100% of tips to their workers, with the only deductions allowed being those required by tax law.
Fair distribution: Employers must allocate tips fairly and transparently (my emphasis). Tips must be distributed within one month of being received.
Record keeping and written policy: Employers are required to maintain records of tip distribution for a minimum of three years. In addition, businesses where tipping occurs more than occasionally must implement and make available a written tipping policy.
Worker rights: Workers can request a copy of their tipping record to ensure compliance, and they may bring claims to the Employment Tribunal if they believe their tips are not being handled fairly.
Agency workers: The Act also benefits agency workers, with provisions ensuring that tips distributed by an employer are passed on to them.

Impact on employers

The Act introduces administrative responsibilities for employers, particularly those in hospitality businesses where tipping is a regular occurrence. Employers will now be required to keep detailed records of tip allocation. As tipping becomes more commonly effected via card or electronic transaction, businesses may need to absorb these processing fees, which could impact their bottom line.

Clear and accessible tipping policies will become obligatory to ensure all workers understand how tips are distributed. For many businesses, this will require developing and communicating new procedures.

Businesses that fail to comply with the legislation may face claims in the Employment Tribunal. Workers can request their tipping records and seek compensation if they believe they are being shortchanged, with compensation awards potentially reaching £5,000.

Impact on workers

For hospitality workers, this Act represents a significant step toward ensuring that tips are distributed fairly and transparently, addressing long-standing issues of employer tip retention. Workers will receive their tips in full, without deductions for administrative or processing costs. This is particularly important for low-wage workers who rely on tips to supplement their income.

Additionally, workers can request records showing how tips are allocated, ensuring transparency in the process. This accountability mechanism helps protect earnings and ensures that workers can challenge any perceived unfair practices. Further, in a departure from historical legislation, agency workers will now be entitled to receive tips fairly, adding a layer of protection for this often-vulnerable segment of the workforce.

Challenges and concerns

Although the legislation promises benefits for workers, both businesses and those working for them may encounter challenges. For establishments that rely heavily on tips, implementing new record-keeping systems and complying with statutory obligations will require careful planning and investment. While larger businesses may be able to absorb the costs associated with processing tips via card, smaller establishments might struggle. Some may even consider returning to a cash-only tipping policy, potentially reducing the amount of tips workers receive in the long term.

The Act mandates fairness but does not prescribe how tips should be allocated. When distributing tips, employers are encouraged to consider factors like seniority, hours worked, and performance. However, this could lead to disagreements among staff, particularly in businesses where tips are a significant part of total compensation.

Legal compliance and best practices

Businesses should consider the following steps:

Audit Current Tipping Practices: Review how tips are currently managed and make any necessary adjustments to comply with the new requirements.
Develop a Tipping Policy: Create a clear, written tipping policy that outlines how tips will be distributed. Ensure that this policy is communicated effectively to all workers, including agency staff.
Keep Detailed Records: Set up systems for recording how tips are allocated and distributed. Employers should be prepared to provide this information upon request from workers.
Consider Independent Troncs: Many businesses in the hospitality sector already use a “tronc” system to manage tip distribution. The Act allows the use of independent tronc operators, as long as they operate fairly. Using a tronc can help businesses manage the complexity of tip distribution and avoid disputes.

Looking forward

The Employment (Allocation of Tips) Act 2023 is a much-anticipated reform designed to introduce fairness and transparency to tipping practices within the UK’s hospitality sector. While imposing more responsibilities on employers, this legislation promises significant benefits for workers by ensuring they receive their earned tips without deductions.

Employers are encouraged to take proactive measures to prepare for these changes, set to take effect on 1 October 2024. By establishing clear tipping policies and practising transparency, businesses can mitigate potential disputes and promote a fairer workplace.

This legislation marks a significant victory for workers in ensuring fair treatment and protecting their income in an industry where tips form a vital part of their compensation.

Navigating collective redundancy: A look at the UK procedure through Dyson’s lens

Posted on 16 October 202421 March 2025 by Sarah O'Sullivan

Understanding Collective Redundancy in the UK

In the intricate web of corporate restructuring, the concept of collective redundancy stands out, especially in the context of UK employment law. It’s a process that isn’t just procedural but profoundly impacts the employees’ lives. For companies like Dyson, known for their innovation in household appliances, navigating through such terrain is as much about legal compliance as maintaining workforce morale and brand integrity.

Dyson’s Workforce Reduction: An Overview

Dyson is reducing its staff in the UK by approximately 1,000 positions as a component of a worldwide restructuring effort, effectively decreasing its British staff by over a quarter. On Tuesday morning, employees were informed of the job reductions, which are part of a strategy to decrease the company’s global workforce of 15,000 as part of an extensive cost-reduction initiative.

Addressing work issues across international boundaries is complex and beyond the scope of this article. Various practical challenges and differing methods are involved, and grasping these is crucial for carrying out a fair procedure that minimises the risk of potential litigation.

The UK’s Collective redundancy framework

At the heart of the UK’s approach to mass layoffs is the principle of “collective consultation.” This principle comes into play when an employer, such as Dyson, considers dismissing 20 or more employees within 90 days or less. It’s not merely a procedural step but a fundamental right—ensuring employees have a voice in the profound changes affecting their livelihoods.

Key legal precedent: The woolworths case

The European Court of Justice (ECJ) fleshed out these principles in the landmark USDAW v Ethel Austin case, known as the Woolworths case, in April 2015. The court clarified that once the threshold of 20 redundancies is crossed within a single establishment, employers are obligated to engage in collective consultations. Interestingly, this consultation privilege extends beyond those facing redundancy to any employees potentially impacted by the changes.

The procedure and timeframes

For large-scale operations like those Dyson might consider, two crucial timeframes are stipulated:

45 days of consultation for 100 or more dismissals
30 days for 20 to 99 dismissals

This advanced consultation period is not just about notifying employees; it is about engaging with them, discussing possible alternatives, and ensuring that the redundancy process is carried out as smoothly and humanely as possible.

Implementing Dyson’s redundancies

Given Dyson’s global footprint and its commitment to innovation, the company finds itself often at the crossroads of adapting its workforce to meet evolving market demands. If Dyson were to implement collective redundancies in the UK, engaging in a thorough collective consultation process would be imperative. Not only would this comply with legal requirements, but it would also reflect the company’s values by treating its workforce with respect and dignity during challenging times.

Dyson will need to openly discuss the reasons behind the potential redundancies, explore alternatives with employee representatives, and ensure that the process is transparent and fair. This could involve looking into options such as redeployment within the company, voluntary redundancy packages, or other measures to minimise the impact on its employees.

Potential pitfalls if the process goes wrong

Failure to consult correctly can have profound financial implications for a company, emphasising the importance of adhering to the specific legal requirements for collective consultation.

In a UK redundancy situation, if an employer does not meet the collective consultation requirements, employees can make a claim to an Employment Tribunal. If the claim is successful, the employer may have to pay the affected employee or employees compensation, known as a ‘protective award’. This compensation can be up to 90 days’ full pay for each affected employee.

Not only this, but improper handling of the consultation process can also lead to legal challenges. Employees might claim unfair dismissal, and the company could face financial penalties if found to be non-compliant with statutory requirements.

Impact on brand and employee morale

On a personal level, mishandling redundancies can inflict long-lasting damage on a company’s reputation. For a brand like Dyson, known for its innovation and quality, public perception can significantly impact consumer trust and loyalty.

This could also have a detrimental impact on retaining the remaining staff. Poor handling of such processes can demoralise survivors, affecting productivity and potentially leading to further employee turnover. Employees who see their former colleagues treated unfairly might start looking for more secure employment opportunities.

Furthermore, a sudden and poorly managed redundancy process can lead to gaps in operations, affecting service delivery and business performance.

Navigating the redundancy process with care

For a company like Dyson, navigating the collective redundancy process with care and consideration is crucial. Every step needs to be meticulously planned and executed. While the process is primarily about compliance, it also strongly reflects the company’s values and regard for its workforce. A transparent, fair, and well-managed consultation process not only minimises legal and financial risks but also upholds the company’s ethos, maintaining its reputation as a responsible employer.

Navigating the complexities of collective redundancy procedures in the UK presents a significant challenge, involving both a deep understanding of legal nuances and a compassionate approach towards the workforce. For businesses transiting through such a phase, the importance of following each step meticulously cannot be overstressed, given the potential financial, legal, and reputational repercussions of failing to meet the required standards.

The dialogues around collective redundancies, from consulting with employee representatives to addressing final decisions, highlight an employer’s commitment to fair and ethical business practices. While this guide serves as a primer for understanding the critical aspects of the redundancy consultation process and its importance, each situation’s unique characteristics can introduce specific complexities that deserve personalised attention and expertise.

Should you require additional insights, detail on legal obligations, or guidance on managing the collective redundancy process within your organisation, our team at Tees Law is here to provide comprehensive support. Navigating such pivotal moments requires not just legal acumen but an in-depth appreciation of the human elements involved. Contact Tees Law for further assistance and advice to ensure that your redundancy procedures are managed effectively, compassionately, and in full compliance with current UK employment law.

Residential market improves as demand and mortgage rates align

Posted on 16 October 202421 May 2025 by Sarah O'Sullivan

Improving conditions in the residential market

According to Savills, activity in the residential property market is picking up as house prices continue to show modest growth.

In August, mortgage approvals were only 3% below pre-pandemic levels. In September, sales agreed and new instructions were 8% and 9% above their respective 2017-2019 averages, highlighting that supply and demand are growing together.

The boost in market activity coincides with a fall in mortgage rates – in August 2023, the average rate for a two-year fixed mortgage with a 75% loan to value (LTV) was 6.2%. In August 2024, this lowered to 4.8%.

Although conditions are improving, house price growth is expected to be limited due to the increased cost of living over recent years. Plus, general market growth will depend on Autumn Budget announcements and any potential reductions to Bank Rate and inflation.

Rental market update

The latest report from Zoopla has highlighted that rental inflation is slowing but tenant demand remains high.

Over the last year, rents have risen by 5.4%; while this is a significant increase, it is the slowest pace of growth in three years. Rental inflation is not slowing at the same pace as household inflation and earnings because tenant demand continues to outweigh the supply of rental properties. There are currently 25% fewer rental homes available than in 2019. This is partly due to landlords deciding to sell—a trend that could continue depending on what tax changes the Labour government may have in store.

September data shows that the average rent for new UK lets was £1,245 per month, but the cost varies significantly from region to region. According to Rightmove, the cheapest UK city for renters is Carlisle, whose average rent is £791 – 41% below the national average. Following closely behind is Hull (£804), Sunderland (£807) and Stoke-on-Trent (£863).

UK Finance’s recommendations for the Autumn Budget

UK Finance has made a series of recommendations to the Labour Party ahead of the Autumn Budget.

The trade association has suggested that the government introduce a Stamp Duty rebate scheme to motivate homeowners to upgrade their homes’ energy efficiency. The body also recommended that Stamp Duty bands be raised annually to correlate with increases in the average house price.

The Stamp Duty threshold for first-time buyers is set to be reduced in March 2025, meaning the tax will be payable when purchasing a property worth £300,000 or more. But UK Finance has urged the Labour Party to keep the threshold at the current higher limit of £425,000.

Chief Executive of UK Finance, David Postings, commented, “We have called on the government to not only introduce measures to bolster growth, but also a range of ideas to help support households and businesses up and down the country.”

It is important to take professional advice before making any decision relating to your personal finances. Information within this document is based on our current understanding and can be subject to change without notice and the accuracy and completeness of the information cannot be guaranteed. It does not provide individual tailored investment advice and is for guidance only. Some rules may vary in different parts of the UK. We cannot assume legal liability for any errors or omissions it might contain. Levels and bases of, and reliefs from, taxation are those currently applying or proposed and are subject to change; their value depends on the individual circumstances of the investor. No part of this document may be reproduced in any manner without prior permission.

All details are correct at the time of writing (16 October 2024)

Employment Rights Bill 2024: Worker protections and productivity

Posted on 10 October 202426 May 2025 by Sarah O'Sullivan

Understanding the Employments Rights Bill 2024

The Employment Rights Bill 2024 (the Bill), unveiled on 10 October, introduces significant changes to the UK’s employment laws, marking the largest overhaul in decades. With 28 reforms, the Government has presented the Bill as aiming to enhance worker protections and boost productivity across the economy.

One of the standout changes is enhanced “day one” rights, including the right not to be unfairly dismissed (see also below). With this, there is a proposed introduction of a statutory probation period for new hires. This may allow employers more time to assess employee suitability notwithstanding the new day one rights being introduced.

Key Reforms: Day-one rights and probation periods

One of the most significant reforms is the removal of the existing two-year qualifying period for protection against unfair dismissal. This change ensures that an estimated nine million workers will benefit from protection from unfair dismissal as soon as they start a new role.

Additionally, the bill includes day-one rights for paternity leave, unpaid parental leave, and bereavement leave, building on the existing day-one right to maternity leave. This is a major change.

The Government will consult on a statutory probation period, with the current proposal favouring a nine-month limit. This extension, which has drawn mixed reactions from businesses and unions, is intended to provide flexibility for employers, while maintaining worker protections throughout the probation period. Full implementation of this probation reform is expected by autumn 2026, following further consultations.

End of exploitative practices and strengthened sick pay

The bill also takes aim at so called exploitative zero-hours contracts and controversial fire-and-rehire practices. These reforms are intended to provide more job security and protections, especially for workers on flexible or irregular contracts. For those on zero-hours contracts, the bill introduces the right to guaranteed working hours after a set period, ensuring greater financial stability for over a million workers.

Another key reform is the overhaul of statutory sick pay. Under the new provisions, workers will be entitled to sick pay from day one of illness, removing the previous three-day waiting period and the lower earnings limit. This change aims to provide immediate financial support for those who fall ill, especially lower-paid workers who previously did not qualify for statutory sick pay.

Flexible working and gender pay gap action plans

Recognising the changing dynamics of the modern workplace, the bill makes flexible working the default, unless employers can demonstrate that it is impractical. This reform is designed to support workers with caregiving responsibilities and improve work-life balance across various sectors.

Large employers will also be required to implement action plans to address gender pay gaps and support female employees, particularly through menopause. This measure is part of a broader push to promote inclusivity and diversity within the workforce.

Fair work agency and long-term reforms

The bill establishes a new “Fair Work Agency”, tasked with enforcing key rights such as holiday pay and sick pay. This agency will consolidate existing enforcement bodies, providing better guidance for employers while ensuring compliance with the new laws. The government has also outlined future reforms in its “Next Steps” document, including plans for a right to disconnect, mandatory reporting on ethnicity and disability pay gaps, and a move towards a simpler, two-tier worker status framework.

While the Employment Rights Bill boasts a sweeping set of reforms, many of the provisions will take time to implement, with some requiring further consultations before being fully enacted. Nevertheless, the bill represents a bold step towards improving worker protections and enhancing productivity in the UK economy.

Contact us today for more insights into how these changes may affect your business or employment. We provide legal guidance on navigating this new landscape and ensuring compliance with evolving employment laws.

For any questions, please contact us at employmentteam@teeslaw.com.