Landlords guide to the new Renters' Rights Act
Legislation of the private rental sector continues to get tougher, and rightly so as tenants have the right to a safe, comfortable home. The introduction of the Renters’ Rights Act in October 2025 will see the biggest change to our industry in over 30 years. The Government have announced that implementation will start from 1st May 2026.
How will the Act affect landlords?
The major changes are summarised below but the full governement guidance is available here, and the government's roadmap for implementation is available here:
Phase 1 - From 1st May 2026:
Abolishment of Section 21 notices
Landlords must instead use a Section 8 ground for possession – these are specific circumstances in which a landlord can regain possession. These will include provisions for being able to sell the property or to move back in. Notices must be served correctly to be deemed valid. As in the current system, landlords will need to apply to the courts if a tenant does not leave and provide evidence that the ground applies.
No more fixed term tenancies
All tenancies, including any fixed term already in place, will become periodic and can no longer have fixed terms i.e. if the rent is due monthly then the tenancy is a rolling monthly periodic. Tenants will be able to end a tenancy by giving two months’ notice in writing but the landlord will not be able to serve notice on the tenant within the first twelve months unless the tenant has breached the tenancy. The end date of the tenancy will need to align with the end of a rent period.
Rent increase limits
Issuing a prescribed notice will be the only way to increase the rent and at least two months notice must be given to the tenant. Only one notice will be allowed per calendar year. If the tenant believes it is above market rate, they will be able to challenge the notice free of charge at the First-tier Tribunal (FTT), which will have the power to reduce the rent if the rent is above the market value. Tenants will also have the ability to challenge the amount of rent as being above market rent within the first six months of signing the new tenancy agreement.
Renting with pets
Landlords can no longer “unreasonably” refuse permission for the tenant to keep a pet. Landlords will have an initial 28 days to consider their tenant’s request, and they will have to provide valid reasons if they refuse it. Landlords with leasehold properties are advised to review their lease to determine if pets are permitted within their property.
Prohibit discrimination
Landlords will also no longer be able to ban or restrict letting to tenants with children or tenants who claim benefits.
Ban rental bidding wars
Landlords and letting agents will not be able to ask for, encourage, or accept an offer that is higher than the advertised rent.
Ban on rent in advance
Landlords and letting agents will no longer be allowed to demand more than one month's rent in advance.
Phase 2 - From late 2026:
A new Private Rented Sector (PRS) database
All landlords will be legally required to register themselves and their properties on the database and could be subject to penalties if they market or let out a property without registering it and providing the required information.
The database will provide a ‘one stop shop’ for landlords allowing them to access relevant guidance through a single ‘front door’. This will provide the basis for an effective service, helping landlords understand their obligations and demonstrate compliance. The database will also be used for communicating changes to requirements – ensuring landlords have access to simple up-to-date information about their responsibilities.
For tenants, the database will increase transparency and the information available before they decide to rent a property and throughout their renting journey. This will allow them to take effective action to enforce their rights and be aware when they can escalate issues with their property to their local council or the Private Rented Sector Ombudsman.
A new landlord Ombudsman scheme
The Ombudsman will provide quick, fair, impartial and binding resolution for tenants’ complaints about their landlord. It will also support landlords with tools, guidance and training on handling complaints from tenants early. The Ombudsman scheme will be mandatory for PRS landlords in the same way it already is for letting agents. Landlords will be required to fund the service through a fair and proportionate charging model, confirmed closer to launch.
Phase 3 - Timings still to be confirmed (consultations expected 2035-2037):
The Decent Homes Standard
All rental properties must meet minimum quality standards. For landlords who fail to take reasonably practicable steps to keep their properties free of serious hazards, local councils will also have a new power to issue civil penalties of up to £7,000.
Awaab's Law
The Renters’ Rights Act will now extend Awaab’s Law to privately rented homes. This will ensure that all renters in England are empowered to challenge dangerous conditions and that all landlords must take swift action to make sure homes are safe. The measures in the bill will allow new requirements to be set requiring private rented sector landlords to address hazards, such as damp and mould, within a specified time period. If landlords do not comply, tenants will be able to bring enforcement action against them through the courts.
How can we help?
The new Renters’ Rights Act sounds daunting enough but landlords already have plenty of legal obligations to meet such as annual gas safety checks, electrical installation safety certificates and ensuring properties have working smoke and carbon monoxide alarms. This, along with the various legal documents that must be served on a tenant before they even move in, is creating confusion among landlords as to whether they are fully compliant. If any document has not been served correctly and at the right time, the landlord could lose their right to evict a tenant, face a fine or even a banning order in the worst circumstances.
Backed by our 25+ years of letting and property management experience, we can ensure landlords that they are fully compliant from day one to ensure a smooth and stress-free service. If you have any compliance questions, please do not hesitate to contact one of our experienced team.