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Renters’ Rights Act
The Renters’ Rights Act 2025, which has just become law, will overhaul the private rented sector in England. It will abolish Section 21 ‘no-fault’ evictions, make all assured tenancies periodic, and introduce new rules on rent increases, pets, and property standards. This guide explains what’s changing, when and how to prepare.
How landlords can regain possession
The Renters’ Rights Act includes major changes in terms of your ability
to get your property back:
Section 21 Abolished
A key change in the Renters’ Rights Act is the end of Section 21 evictions, which critics argue can uproot tenants from their homes with little notice and minimal justification. Under the Renters’ Rights Act, landlords can only end tenancies under specific circumstances set out in law – see below.
Periodic Tenancies
The Renters’ Rights Act will remove fixed-term assured tenancies. The government says these tenancies mean ‘renters are obliged to pay rent regardless of whether a property is up-to-standard, and they reduce flexibility to move in response to changing circumstances’, for example after relationship breakdown, to take up a new job or when buying a first home. Instead, all tenancies will be periodic, with tenants able to stay in their home until they decide to end the tenancy by giving 2 months’ notice.
Grounds for Possession
The Renters’ Rights Act sets out the grounds landlords can use to evict tenants and the notice period they must give. For example:
| Ground | Summary | Notice period |
|---|---|---|
| Landlord or family occupation | Landlord or close family intends to move in. Cannot be used in first 12 months. | 4 months |
| Sale of property | Landlord intends to sell. Cannot be used in first 12 months. | 4 months |
How will a landlord regain possession in future?
- There are other changes to be aware of under the Renters’ Rights Act. For example, new protections will be introduced for tenants who temporarily fall into rent arrears. The mandatory threshold for eviction will be increased from 2 to 3 months’ arrears and the notice period increased from 2 weeks to 4. Landlords can also continue to use the discretionary rent arrears grounds, for example if rent isrepeatedly late.
How Rent Increases Work Under Renters’ Rights Act
If you’re a landlord and you’re told your tenants’ tenancies will now be periodic rather than for a fixed period of time, your next question is likely to be if, when and how can you increase the amount of rent you charge.
Under the Renters’ Rights Act landlords can still increase the amount of rent charged to tenants but they will need to meet strict criteria:
- Landlords will be able to increase rents once per year to the market rate. This is defined by the government as ‘the price that would be achieved if the property was newly advertised to let’.
- To do this, landlords must serve a Section 13 notice, setting out the new rent and giving at least 2 months’ notice. The official Section 13 form will be published on gov.uk.
- Tenants can challenge the increase at the First-tier Tribunal (Property Chamber) if they believe it exceeds market rate. Under the current system, tenants face the risk that the Tribunal may increase rent beyond what the landlord initially proposed. However, under the Renters’ Rights Act, tenants will never pay more than what the landlord asked for.
- Backdating rent increases will also be scrapped – the new rent will apply from the date of the Tribunal determination.
Rent In Advance Banned
Landlords will no longer be able to ask for large amounts of rent in advance from tenants looking to secure a tenancy in England. Once enacted, the Renters’ Rights Act will amend the Tenant Fees Act 2019 to stop landlords or letting agents from requiring or accepting any payment of rent in advance of the tenancy being entered into.
A landlord will only be able to require up to one month’s rent once a tenancy agreement has been signed and before commencement.
Also, landlords and agents must publish an asking rent and cannot ask for or accept offers above it.
Rental Discrimination Prohibited
Landlords will not be able to discriminate against tenants who are on benefits or have children, whether this discrimination happens openly or indirectly
The Renters’ Rights Act sets out that landlords and agents will still have the final say on who to let their property out to and to carry out referencing checks to make sure tenancies are sustainable for all parties. However, it says ‘they will be able to do this based on affordability, but not on the basis the prospective tenant has children or is in receipt of benefits.’
More Rights To Rent With Pets
Another change in the Renters’ Rights Act is that landlords must not unreasonably withhold consent when a tenant requests to keep a pet and the tenant will be able to challenge unfair decisions.
The Act will allow landlords to require insurance covering pet damage to address any fears of pets damaging the property. However, the exact details of how this would work is still being worked out.
Private Rented Sector Landlord Ombudsman Introduced
A new Private Rented Sector Landlord Ombudsman Service will be introduced which all private landlords in England with assured or regulated tenancies will be required by law to join, including those who use a managing agent.
- Tenants will be able to use the service for free to complain about a landlord’s actions or behaviours.
- It will offer fair, impartial and binding resolution for tenants, and will have powers to compel landlords to issue an apology, provide information, take remedial action, and/or pay compensation.
- Landlords will be required to comply with ombudsman decisions.
- Local councils will be able to take action against landlords who fail to join, or against anyone who markets a privately rented property where the landlord is not registered. This will include fines of up to £7,000 for initial breaches and up to £40,000 or criminal prosecution for continuing or repeated breaches.
Create A Private Rented Sector Database
A new Private Rented Sector Database will be introduced under the Renters’ Rights Act. All landlords of assured and regulated tenancies will be legally required to register themselves and their properties.
Local councils will be able to take enforcement action against private landlords that fail to join the Private Rented Sector Database and if a landlord lets or advertises a property without it first being registered on the database, they can be fined up to £7,000.
For repeated breaches, or if they commit a serious offence such as providing fraudulent information to the database, they may be fined up to £40,000 or could face criminal prosecution.
When Will The Renters Rights Act Come Into Effect?
The Renters’ Rights Act will need to become law before it comes into effect. However, when it does, expect things to happen quickly.
In the Bill, the government says: “To end the scourge of section 21 evictions as quickly as possible, we will introduce the new tenancy for the private rented sector system in one stage. On this date the new tenancy system will apply to all private tenancies – existing tenancies will convert to the new system, and any new tenancies signed on or after this date will also be governed by the new rules.
Existing fixed terms will be converted to periodic tenancies, and landlords will no longer be able to serve new section 21 or old-style section 8 notices to evict their tenants. This single date will prevent a confusing 2-tier system, and give all tenants security immediately.”
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