Renters Rights Act

Renters Rights Act

On 1st May 2026 the first parts of the act come into force.

We have been inundated with questions regarding this new law.  We offer below answers to the most common questions regarding the changes.

 

Will I still be able to grant fixed term tenancies?

All tenancies will become periodic from 1st May 2026.

The new legislation will mean that landlords and tenants will no longer agree fixed tenancy periods.

Instead, tenancies will run from month to month until either the tenant serves notice (two months)  or the landlord meets one of the grounds for regaining possession of the property.

 

What about no fault evictions and notice periods?

During the first 12 months of any new tenancy, landlords will not be allowed to move back into their property or attempt to sell it unless they sell to another landlord who will take over the tenancy. This means tenants will have a 12-month protected period; however a tenant can serve notice to terminate during this period. Tenants will be required to give two months’ notice to leave and this must be in line with the rent payment date.

 

Under the new legislation, how will I regain possession of my property?

Landlords must use a section 8 notice, citing one of the specific grounds for possession. These include if the landlord (or their family) wants to move into the property, or they want to sell it, among other reasons such as rental arrears and antisocial behaviour.  Landlords must serve 4 months notice if they are looking to sell the property (subject to the minimum 12 months of the tenancy length).

“You will still be able to serve notice if you wish to sell the property or the tenant is in breach of rent arrears or other fundamental terms of the tenancy agreement.”

 

Can I still refuse for a tenant to have a pet?

Under the new law you will not be able to refuse a tenant permission to have a pet at the property unless there is  a justifiable reason why (ie large dog in a small apartment or multiple dogs in a small garden).

 

As a landlord, will I be able to increase rents? 

Yes, an annual rent increase can be proposed by landlords. Any proposed increase must be in line with local market rents and evidence provided if required.

If a tenant believes the rent increase is above the market rate they can dispute it by applying to the First Tier Tribunal. However, they must do this before the start date of the proposed new rent.

 

Will the new legislation come into force for new and existing tenancies at the same time?

It is understood that there will be an adjustment period before the legislation is enforced to allow landlords and agents time to prepare for the new tenancy rules.

 

What happens if landlords or their agents breach the new legislation?

Non-compliance will be met with fines. These fines are being increased and local authority enforcement powers will be strengthened. Fines can be up to £7,000 for minor or initial non-compliance and up to £40,000 for repeat offences.

 

Implementation Timeline

Phase 1 – From 1 May 2026

Key changes include:

  • Periodic Tenancies Only
    No more fixed-term agreements.
  • Abolition of Section 21
    All possession matters will be handled via Section 8, which now covers all relevant grounds.
  • Rent in Advance Cap
    Highlights the importance of our thorough referencing process and Rent Guarantee service.
  • Rental Bidding Ban
    Properties must be marketed at an appropriate price from the outset.
  • Anti-Discrimination Measures
    Additional protections for families with children and those on benefits. We can still carry out our standard referencing process.
  • Annual Rent Increases via Section 13
    Rent can be increased to market level through this mechanism.
  • Tenant’s Right to Request a Pet
    Landlords may refuse only on reasonable grounds.

 

Phase 2 – Expected Late 2026

  • Introduction of the new PRS Database
    We will be able to facilitate much of this process for you.
  • Establishment of the Landlord Ombudsman

 

Phase 3 – Date TBC

  • Decent Homes Standard
  • Awaab’s Law

 

Fines & Enforcement under the Renters’ Rights Act

The Act significantly strengthens enforcement powers and attaches real financial risks for non-compliance.

  • For minor or first-time breaches (e.g. issuing fixed-term tenancies instead of periodic, or ending tenancies verbally) — up to £7,000 in civil penalties. (GOV.UK)
  • For serious, persistent or repeat offences (e.g. re-letting a property too soon after possession, misusing possession grounds, or other serious breaches) — up to £40,000.
  • In some case, instead of a civil penalty, authorities may opt for criminal prosecution, carrying the possibility of unlimited fines.
  • The Act also strengthens the use of Rent Repayment Orders (RROs) — tenants (or authorities) may be able to claim back up to 24 months’ rent if the landlord is found in breach.

 

What kinds of breaches can trigger fines:

  • Failing to register on the new Private Rented Sector Database/with the Ombudsman.
  • Encouraging or allowing rental bidding above the advertised price. (GOV.UK)
  • Discrimination — e.g. refusing tenants because they receive benefits or have children. (GOV.UK)
  • Illegal eviction or harassment of occupiers. (GOV.UK)
  • Failing to meet new required property standards (e.g. hazards, decent homes requirements) once relevant regulations apply.
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