Understanding the Renter’s Rights Act

If you let your property on an Assured Shorthold Tenancy (AST), the Renters’ Rights Act will bring important changes that you need to be aware of. Whether you are looking for new tenants or have long term residents in your property, there are certain things that will have an impact on you.

The Act received Royal Assent on 27 October 2025 and is now law. The first stage of changes came into force on the 27th December 2025, with the wider reforms following from 1st  May 2026.

Now is the time to get ahead. You should be reviewing your tenancies, processes and documentation to ensure everything is compliant before the enforcement dates arrive. The good news is that if we already manage your property, we are doing this for you!

Whether you’re new to letting or have an established portfolio, our team is here to guide you through what the changes mean in practice, clearly, calmly and proactively, so you can make informed decisions with confidence.

The Renters’ Rights Act represents the most significant reform to the private rented sector in a generation. From marketing and tenancy set-up, to rent reviews and increases, property management and tenancy termination, the changes are wide-ranging and will affect both new and existing tenancies.

Understanding what is changing and when is essential to staying compliant and protecting your investment. We’ve broken the reforms down into five key areas to help you navigate them clearly and confidently.

When do the changes take Place?

Change is being introduced in phases, giving landlords time to prepare — but the key dates matter.

Phase 1 – From 27 December 2025

Local authorities have enhanced inspection and enforcement powers.

In practical terms, compliance standards tighten and scrutiny increases. Ensuring documentation, safety certificates and property condition are fully up to date is essential.

Phase 2 – From 1 May 2026

This is the big one for the private rented sector!

From this date:

  • Section 21 notices are abolished
  • Section 8 grounds are strengthened and expanded
  • Fixed-term tenancies convert to periodic tenancies
  • Notice periods change
  • New statutory rent increase rules apply
  • Rental bidding is banned
  • Government-prescribed tenancy wording is introduced
  • Rent in advance is restricted
  • New non-discrimination provisions take effect
  • Pet permission rules change

These reforms apply to both new and existing tenancies.

Phase 3 – Late 2026 (dates to be confirmed)

The Private Rented Sector Database will launch and the PRS Landlord Ombudsman scheme will be introduced.

Registration will become mandatory before a property can be marketed. Implementation will be staged, with exact dates still to be confirmed by government.

Phase 4 – 2035–2037

  • Longer-term reforms come into force:
  • Awaab’s Law extends fully to the private rented sector
  • The Decent Homes Standard becomes embedded within the PRS

These changes focus on property condition, safety standards and response times to serious hazards.

The key message is simple: this is not a last-minute change. The transition period is now.

We are already working with our landlords to review documentation, processes and pricing strategies so that when the enforcement dates arrive, everything is in place – calmly, compliantly and confidently.

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How does the Renters Rights Act affect ….. Marketing?

The way rental properties are marketed is changing and the details matter.

From new rules on rent bidding and tenant selection to mandatory registration requirements and updated pet provisions, the Renters’ Rights Act introduces important shifts that landlords need to understand before advertising a property.

Rent bidding

Properties must now be advertised at the rent you’re prepared to accept. Prospective tenants can offer up to the advertised figure, but neither landlords nor agents can invite, encourage or accept bids above it.

It’s also important to price correctly from the outset. If a rent is set above true market value, tenants have the right to challenge and request a reduction within the first six months of the tenancy. A well-judged, evidence-based valuation has never been more important and that’s where we come in.

Private Rental Sector Database & Landlord Ombudsman

Once implemented (see Timeline), Before a property can be marketed, landlords must be registered on the new Private Rented Sector Database and a member of the PRS Landlord Ombudsman scheme.

Landlord and property registration numbers will need to appear on adverts, and the portal will hold key compliance documents while setting out your legal responsibilities.

In short: no registration, no marketing.

We will guide our landlords through registration, ensure certificates are in place, and help you stay compliant every step of the way. We are awaiting an update on when the portal will be live.

Pets

While properties can still be advertised as “no pets”, landlords must consider any formal request once a tenancy is underway and cannot unreasonably refuse. A response must be provided within 28 days.

Service animals remain protected under the Equality Act and must always be permitted.

Where a superior lease or freeholder prohibits pets, this may be a valid reason for refusal.

As always, the key is balanced, sensible decision-making protecting your asset while remaining fair and compliant. We have created a separate guide giving landlords and tenants support on when you can accept or refuse a pet in the new world.

Non-discrimination

Blanket bans on tenants receiving benefits or families with children are no longer permitted. Decisions must be based on affordability and suitability not assumptions.

Landlords can refuse an application where the rent is not affordable based on income, or where accepting children would legally result in overcrowding. The focus is on evidence, not labels.

How does the Renters Right Act affect ……… Tenancy Set-Ups

The way tenancies are created and structured is changing significantly.

From the end of fixed-term agreements to new rules around rent increases, prescribed tenancy wording and rent collection, the Renters’ Rights Act introduces a new framework for how tenancies will operate moving forward.

Understanding these changes now will help you stay compliant and avoid disruption later.

Tenancy terms

Landlords will be required to provide tenants with a written statement of the tenancy terms in the government-prescribed format. This applies to all tenancies, If you self manage your property you will be responsible for this.

When the Act is implemented, existing tenants must receive a government-issued summary outlining what is changing within one month. There is no requirement to replace current tenancy agreements but communication and record keeping will be key.

The End of Rent in Advance

Previously where tenants have Savings, but were unable to pass the income referencing criteria, they were able to pay a lump sum rent in advance. This is no longer permitted as you can take no more than a single rent payment at a time.

Rent also cannot be taken before the tenancy agreement has been signed and executed. A deposit, however, can still be collected in advance.

The end of fixed term tenancies

From 1 May 2026, Assured Shorthold Tenancies (ASTs) will be abolished. All new and existing tenancies will become assured periodic tenancies from the outset.

In practical terms, there will no longer be fixed terms as we know them. Tenancies will continue indefinitely unless ended by the tenant, or by the landlord relying on a valid statutory ground for possession.

This marks a significant structural shift in how tenancies operate.

Rent increases

Rent may only be increased once per year using a statutory Section 13 notice, giving two months’ notice and reflecting the true market rate.

In-tenancy rent review clauses and informal agreements to increase rent will no longer be permitted. Tenants will have the right to challenge any increase via the First-Tier Tribunal, which will assess the rent against comparable local evidence.

Rent periods must be monthly (or shorter).

Accurate pricing at the outset will be more important than ever ensuring your property is competitive, compliant and positioned correctly from day one. We will also be able to provide evidence of reasonable market rents, should this be required for a Tribunal appeal.

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How does the Renters Rights Act affect ….. Property Management?

Property management responsibilities are becoming more clearly defined and more strictly enforced.

With the Decent Homes Standard extending to the private rented sector and Awaab’s Law introducing firm response times for serious hazards, landlords will need to take a more proactive approach to maintenance and compliance.

Understanding what’s changing will help you protect your investment and stay ahead of enforcement.

Decent Homes Standard

The Decent Homes Standard will now extend to the private rented sector, forming part of the Housing Health and Safety Rating System (HHSRS).

In simple terms, rental properties must be free from serious hazards and meet defined minimum safety standards. Local authorities will have stronger enforcement powers, including the ability to issue immediate fines where significant failings are identified.

Proactive maintenance and regular inspections will be more important than ever to protect both tenants and your investment.

Awaab’s Law

Awaab’s Law, which already applies to social housing, will now extend to private landlords – date to be confirmed.

This introduces strict timescales for investigating and resolving serious health hazards such as damp and mould. If landlords fail to act within the required timeframe, tenants may pursue compensation in addition to standard disrepair claims.

Clear reporting systems, prompt action and thorough documentation will be essential. Our regular property visits for managed properties will identify any issues that require investigation and ensure that you stay on top of the timescales involved.

Our role is to ensure issues are identified early, managed properly and resolved efficiently keeping your property compliant and your position protected.

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How does The Renters Rights Act affect ….. Tenancy Termination?

The way landlords regain possession of their property is changing significantly.

With the abolition of Section 21 and revised Section 8 grounds becoming the only route to possession, notice periods, timelines and permitted reasons will all operate under a new framework.

Understanding these changes now is essential to protect your position and plan ahead with confidence.

Notices:

Landlords will no longer be able to serve a Section 21 (No Fault Eviction) notice to gain possession of their property from tenants. Instead, landlords will only terminate the tenancy by serving a Section 8 notice, specifying one or more appropriate grounds for possession and providing four months’ notice. Different grounds have different notice periods.

This will apply to both new and existing tenancies from 1st May 2026, providing immediate protection to private tenants.

The grounds for possession include:

the landlord wishing to sell the property

the landlord wishing to occupy the property themselves

or the landlord wishing for their family to occupy the property

A tenant may terminate the tenancy at any point by serving a two-month notice in writing on the landlord. The notice must expire the day before the rent is due.

If there are joint tenants, then notice by one will be effective for all tenants.

Section 8 notices: Grounds will be introduced and amended. These notices must include a reason, such as when landlords are selling or moving in family. These include:

New ground 1A: For landlords selling their property. Requires four months’ notice and cannot expire within the first 12 months. Landlords cannot remarket for let (short or long term) for 12 months.

Amended ground 1: For landlords or family moving in. Notice periods mirror ground 1A. Landlords cannot re-let the property for 12 months.

Amended ground 8: For serious rent arrears. Tenants must have at least three months of arrears (previously two), and the notice period increases from two weeks to four weeks.

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