Since our previous update on the Renters’ Rights Bill, the legislation has now passed through Parliament and received Royal Assent. It is officially the Renters’ Rights Act 2025, and the Government has confirmed that the changes will be introduced in phases rather than all at once.
The most significant tenancy reforms are expected to take effect from May 2026, giving landlords time to prepare.
Section 21 Is Ending
One of the most important changes is the abolition of Section 21 no fault evictions.
Once this comes into force, landlords will no longer be able to regain possession without a lawful reason. All possession claims will need to rely on Section 8 grounds, such as selling the property, moving in, or serious rent arrears. There will be a short transition period for notices served before the ban, after which Section 21 will no longer be available.
All Tenancies Become Periodic
Fixed term assured shorthold tenancies will end and all tenancies will become periodic by default.
Tenants will be able to leave with two months’ notice at any time. Landlords will only be able to end a tenancy by using a valid Section 8 ground, removing fixed end dates from the process.
Rent and Advertising Changes
Rent increases will be limited to once per year and must follow the formal Section 13 process. Rent review clauses allowing multiple increases will no longer be permitted.
Landlords and agents will also be banned from encouraging or accepting rental bidding wars. Properties must be advertised at a single asking rent and that price must be honoured.
Upfront rent will be capped at one month, preventing requests for large advance payments.
Stronger Tenant Protections
New anti-discrimination rules will make it unlawful to refuse tenants based on receipt of benefits or having children.
Tenants will also gain the right to request a pet. Landlords must not refuse without a valid reason, although pet insurance may be required where appropriate.
Enforcement, Penalties and New Systems
Local authorities will receive stronger enforcement powers, with civil penalties increasing to up to £40,000 for serious breaches.
A national landlord database and a mandatory private rented sector ombudsman will be introduced. Landlords will be required to register properties and join the redress scheme, with phased implementation expected from late 2026 onwards.
Preparing for the Changes
Although these reforms do not come into force immediately, landlords should start reviewing tenancy agreements, notices and rent procedures. The new rules bring more complexity and managing them alone can be challenging.
Motis Estates can help landlords stay fully compliant, manage tenancies efficiently and navigate the Renters’ Rights Act 2025 with confidence. Contact our team for advice or to discuss our fully managed services.
