This answer is written by AI. The information provided in this response is intended for general informational purposes only and should not be considered as legal advice. Do not rely solely on the information provided in this response for any legal decisions. Consult with a qualified legal professional before making any decisions.

Does a Rent Increase and New Contract Affect Guarantor Obligations?

Question from Jeffrey, Does a Rent Increase and New Contract Affect Guarantor Obligations?

Answer from AI:

When you sign on as a guarantor for a tenancy agreement, you’re essentially agreeing to cover the rent or any damages if the tenant fails to pay. This is a common practice in the UK, especially in situations where the tenant might not have a strong rental history or steady income. However, what happens when the terms of the original agreement you signed up for change significantly, such as with a rent increase or the signing of a new contract? Understanding your obligations and rights in such scenarios is crucial.

Understanding Guarantor Obligations

First, it’s important to understand the basic premise of your obligations as a guarantor. Typically, these obligations are outlined in the guarantor agreement you signed. This document should detail what you are guaranteeing, the duration of your obligation, and under what circumstances your obligations might change or end.

Impact of Rent Increases

Rent increases themselves are not uncommon in tenancy agreements, especially in longer tenancies. However, whether a rent increase affects your obligations as a guarantor depends on several factors:

  1. The wording of your original guarantor agreement: Some agreements may specify that your obligations cover rent increases, while others may not.
  2. Notification and consent: Whether you were notified of the rent increase and if your consent was required for such changes under the terms of your original agreement.

Signing of a New Contract

The signing of a new contract is a more significant change. Generally, if a new tenancy agreement is signed (rather than a simple renewal or extension of the existing agreement), it could be considered a new contract, potentially releasing the original guarantor from their obligations. This depends on:

  1. The terms of the original guarantor agreement: Some agreements may include provisions for continuation of guarantor obligations under new contracts, but this is less common.
  2. Explicit consent: Whether you were asked and agreed to be a guarantor under the new contract.

What to Do If You’re Unsure

If you’re unsure about your obligations under these new circumstances, consider the following steps:

  • Review your original guarantor agreement: Look for any clauses that discuss rent increases or the signing of new contracts.
  • Seek legal advice: A legal professional can provide guidance based on the specifics of your situation. They can help interpret the terms of your agreement and advise on potential next steps.
  • Contact the letting agency or landlord: Discuss your concerns and seek clarification on your obligations under the new circumstances.


While rent increases and the signing of new contracts can potentially affect your obligations as a guarantor, much depends on the specifics of your original agreement and the nature of the changes. It’s important to review your agreement and seek professional advice if you’re unsure about where you stand. Remember, legal advice tailored to your specific situation is invaluable in navigating these complex issues.

For more information on tenancy agreements and guarantor obligations, you might find the UK government’s guidance on private renting and tenancy agreements helpful. Additionally, consulting with a legal professional who specializes in property law can provide clarity and direction based on your circumstances.

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