
The Renters’ Rights Act 2025 comes into force on 1 May
2026 and represents a significant shift in the way the private rental sector
operates. It promises to provide greater security and fairness to tenants,
whilst landlords will need to adjust to tighter laws, plan and adopt a more
professional approach to managing their properties.
But what does the Act actually mean in
practice? Let’s break it down.
Fixed-term tenancies are ending
One of the biggest structural changes under
the new law is the end of the traditional fixed-term tenancy.
From 1 May 2026, the familiar Assured
Shorthold Tenancy (AST) will disappear and be replaced by Assured Periodic
Tenancies (APTs). In simple terms, tenancies will roll from month to month from
the start rather than running for a fixed period such as six or twelve months
(with a few exceptions, such as company lets).
For tenants currently in a fixed-term
agreement, that term will simply fall away on 1 May 2026 and the tenancy will
automatically become periodic. This gives tenants greater flexibility, as they
will no longer need to wait for a fixed term to end before moving on. They
will, however, usually need to give two months’ notice rather than the current
one month.
For landlords, it means adjusting to a
system where long fixed terms are no longer the norm and managing tenancies
will require a slightly different approach.
There are also some new administrative
requirements. Landlords and agents must provide tenants with the Government’s
information leaflet by the end of May, or risk fines of up to £7,000. Verbal
tenancy agreements will no longer be acceptable either, with landlords required
to provide tenants with a written statement of the tenancy.
The end of ‘No Fault’ evictions
The headline change, and probably the one
you’ve heard about the most, is the abolition of Section 21 of the Housing Act
1988, often referred to as ‘no fault evictions’.
Previously, landlords could end a tenancy
without giving a specific reason, provided they gave at least two months’
notice. The title ‘no fault’ could be deemed unfair, many landlords usually had
a reason, but they didn’t need to disclose it. It did, however, leave tenants
with a fear that after the fixed term they could be asked to leave on two
months’ notice, for no apparent reason.
The removal of this notice has meant
significant redrafting of the grounds upon which a landlord can ask a tenant to
leave. The landlord will now need to serve a Section 8 notice, citing rent
arrears, antisocial behaviour, or needing to sell the property or move into it
themselves.
In short: landlords can still regain
possession of their property, but they’ll need a clear and valid reason, and
the process will take a little longer.
Pets, discrimination and fairness
One of the changes attempts to address some
long-standing tenant frustrations around pets in rental properties. The Act
also includes measures designed to ensure tenants are not discriminated against
because they have pets, children or receive benefits, and aims to reduce
bidding wars for rental properties.
Landlords can still refuse pets, but any
refusal will need to be reasonable, which may be more limited than previously
expected.
Rent increases
Rent increases are also being tightened up.
Under the new framework, rent can generally
only be increased once per year, increases must reflect market levels and
tenants will have the right to challenge excessive increases through a
tribunal.
This is intended to prevent so-called
“backdoor evictions”, where rents are raised dramatically to push tenants out.
It’s worth noting that the aim isn’t to
freeze rents entirely, but to ensure increases are fair and transparent.
New standards for rental properties
Reassuringly, the Act introduces stronger
expectations for property standards. The introduction of Awaab’s Law, already
in the social housing sector, will also be adopted in the private rented
sector. While this provision does not come in immediately (currently expected
around 2027), landlords will be expected to deal with issues such as damp and
mould more quickly and ensure properties are safe, free from serious hazards
and properly maintained.
Most responsible landlords already meet
these standards, but the legislation ensures there is clearer enforcement where
they do not.
A landlord database and ombudsman
Another feature expected to be introduced
in 2027 is the creation of a private rented sector landlord database and a
mandatory ombudsman scheme.
These measures are designed to improve
accountability and resolve disputes more quickly. For tenants, it offers a
clearer route to raise concerns. For landlords, it provides structured dispute
resolution without immediately resorting to court.
Landlords and their properties will need to
be registered on the database and failure to do so could result in fines or
restrictions on relying on possession grounds.
What this all means for landlords and agents
The reality is that landlords who maintain
their properties, communicate well with tenants and follow existing regulations,
are unlikely to find these changes revolutionary.
However, the administrative side of being a
landlord or agent will become more structured and professional advice will be
more valuable than ever. Landlords should review their tenancy agreements, rent
review processes, compliance procedures and property standards.
The days of ‘set it and forget it’ property
letting are largely behind us.
Why professional advice matters
With rental legislation rapidly evolving,
many landlords are realising the importance of having experienced professionals
on their side.
I am Sarah Westwood and I am delighted to have recently
joined Pardoes. I have over 20 years’ experience in landlord and tenant law and
work closely with letting agents and landlords, helping them stay compliant
with the latest regulations and, where necessary, guiding them through
possession proceedings.
I advise on tenancy law, regulatory
compliance, property management best practice and dispute resolution. Sarah
Westwood, Landlord and Tenant Executive
For more information, contact me at
enquiries@pardoes.co.uk or call 0800 862 0442.
The Renters’ Rights Act 2025 comes into force on 1 May 2026 and represents a significant shift in the way the priva...
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