New Scottish Tenancy Option Opens This Week

NFU Scotland is reminding its tenant and landlord members that the new Modern Limited Duration Tenancy (MLDT) comes into force from 30 November 2017.

The new type of tenancy was included in the Land Reform (Scotland) Act 2016, and replaces the Limited Duration Tenancy (LDT) option, which has been available since 2003.


Photo © Pauline E (cc-by-sa/2.0)

The new MLDT has a minimum term of 10 years duration. However, tenants and landlords looking for a shorter term let will be able to continue using the Short-Limited Duration Tenancy (SLDT) option.

Existing LDTs will continue unaffected until their term date.

The new MLDT has some new features, including a five year ‘break clause’ for new entrants, and if an MLDT is not terminated on expiry, it will roll on for a further seven-year term. It also requires provision of a schedule of fixed equipment, which must be completed within 90 days of commencement of the tenancy.

NFU Scotland Policy Manger Gemma Cooper said:
“In recent weeks, NFUS has taken a higher volume of calls regarding tenancy options. Parties are increasingly looking at their choices, and wishing to clarify and discuss the legislation and policy around these.

“It is important that our tenants and landlords ensure that they are aware of the new style of tenancy, and the terms of it. Some may wish to discuss or review their current letting arrangements, or considering moving to the MLDT, and we urge parties to do this in a positive and constructive manner and to seek professional advice where appropriate.”

Commenting on the availability of land to rent, she added:
“It is very encouraging that there does appear to be some movement in the letting market, as this follows a period of inertia after the passing of the 2016 Act.

“NFUS continues to have open dialogue with both Scottish Government and the Tenant Farming Commissioner, and is very encouraged by progress to date on some of the major issues which were previously identified.

“NFUS will continue to work with members and Scottish Government on tenancy items left to regulation by the 2016 Act.”


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