News
Renters Right Act Update
Further to our previous updates, and in our role as your letting agent, we wanted to inform you of the most recent developments regarding the Renters’ Rights Act. We believe it’s important to keep you fully updated on changes that may affect your properties and obligations as a landlord.
1. What is the Act
•The RRA has now received Royal Assent (27 October 2025) to become law.
•It is described as a major reform of the private rented sector, aiming to increase tenant protections while also imposing new obligations on landlords.
•The Act will change tenancy structures, eviction grounds, rent review rules, and create a landlord/property database and ombudsman.
2. Key Changes Landlords Should Know
Below are some of the most significant changes.
•Ending “no-fault” evictions (Section 21) From 1st May 2026, the use of Section 21 (“no-fault”) eviction notices in the private rented sector will be abolished. After this date landlords will no longer be able to simply serve notice under Section 21; instead they will need to rely on one of the defined grounds under Section 8 (tenant fault, landlord selling, etc). Note: If a valid Section 21 notice is served before the commencement date and possession proceedings are issued by a specified cut-off date, the old regime may still apply.
•Tenancy type changes Fixed-term Assured Shorthold Tenancies (ASTs) will be phased out and replaced by Assured Periodic Tenancies. Existing ASTs will convert. New tenancies entered from 1 May 2026 must be periodic assured tenancies.
•Rent increases and rent in advance From 1st May 2026:
•Landlords will only be able to increase rent once a year (via the statutory notice process).
•The tenant will get at least 2 months’ notice of a rent increase.
•Tenants will have the right to challenge rent increases at the property tribunal if they believe the increase is unreasonable or not market-related.
•The amount of rent in advance payable will be capped (e.g., maximum one month’s rent in advance) under the new rules.
The only change from the current Statutory Notice is that the amount of notice required is increasing from 1 month to 2 months.
•Tenant protections and other rights
•Discrimination: Tenants cannot legally be discriminated against because they have children or are claiming certain benefits.
•Pets: Tenants will be able to request permission to have a pet; landlords must seriously consider requests and cannot unreasonably refuse.
•Advertising and rent “bidding wars”: The new regime will ban practices where landlords/agents invite higher bids for rent.
•Landlord/Property Database & Ombudsman The Act mandates a national database covering landlords and properties in the private rented sector, as well as a Regulatory Ombudsman for the sector. These will be implemented in later phases (late 2026 onwards).
3. Timeline
Below is a snapshot of the timeline for full inception:
•Oct–Dec 2025 (Preparatory Phase) – Guidance and regulations published, councils’ investigatory powers extended.
•1 May 2026 (Phase 1):
•Section 21 abolition in private rented sector
•AST conversion/periodic tenancies
•New rent rules (increase frequency, notice periods)
•Ban on advance rent exceeding one month
•Late 2026 onwards (Phase 2):
•Database & Ombudsman go live
•Further reforms (court/tribunal system)
•Further out (Phase 3):
•New minimum property standards (e.g., “Decent Homes Standard”) and expanded safety/hazard rules.
4. Implications & Considerations
•The abolition of Section 21 removes the “easy” no-fault route to possession; as a result tenants will have stronger security of tenure. As landlords you will need to rely on specific grounds to secure possession.
•Given the increased protections for tenants and potential for longer tenancies (periodic rather than fixed-term), and extended arrears requirements prior to seeking possession, it is worth making consideration to Rent Protection & Legal policies (should you not already have this in place).
•With the rights strengthened, it is more important than ever to ensure properties are well-maintained and compliant, to reduce the risk of dispute, tribunal challenge or enforcement.
•The introduction of the database and ombudsman later in 2026 will mean more regulatory oversight and increased transparency.
•Although these changes bring more obligations, they also create a more stable renting environment — potentially reducing voids, turnover and disputes.
5. Summary:
•1 May 2026 is the main date
•Section 21 no-fault evictions end (in PRS) – move to grounds‐based possession.
•Fixed-term ASTs convert to assured periodic tenancies.
•Rent review rules change (once a year, 2-month notice, tribunal challenge).
•Advance rent/holding deposit caps.
•New tenant rights: pets, anti-discrimination.
•Upcoming requirements: database, ombudsman, increased enforcement.
There is still various information that will be made available during the preparation stage and we will update you further as and when this is released.
If you would like any further information on any of the information provided, please do not hesitate to contact us.
