Landlords across England are preparing for the biggest changes to the private rented sector in decades, as the Renters’ Rights Act comes into force, starting in May 2026.  With several major changes arriving in 3 phases, landlords now need to take steps to understand how the reforms will affect them.

A government issued guidance for tenants will soon be released and Landlords must give a copy of this to their tenants.

The first changes arrive in Phase 1 on 1st May. The most significant reform is the abolition of Section 21 “no-fault” evictions. This means landlords won’t able to end a tenancy without providing a specific legal reason. Landlords will need to rely on Section 8 possession grounds, which include significant rent arrears, anti-social behaviour, selling the property or moving themselves or a family member into it.

Tenants will be able to leave by giving two months’ written notice (which can be given on the first day of the tenancy!) but landlords will only be able to regain possession by using one of the new legal grounds with varying notice periods. Time limits apply in some cases before these can be used.

Fixed-term assured shorthold tenancies will come to an end. Tenancies will become periodic (rolling) agreements, typically continuing on a month to month basis. Existing fixed-term tenancies will convert to the new system automatically on May 1^st.

The Act also introduces changes to rent increases. Rent review clauses will be banned and Landlords will only be able to increase rents once per year, using the formal Section 13 notice procedure, with at least two months’ notice. Tenants will be able to challenge through the First-Tier Tribunal if increases are unfair.

Other changes include a ban on rental bidding wars, landlords will not be able to accept offers above the advertised rent. Advance rent payments will also be restricted.

It will become illegal to discriminate against applicants who receive benefits or have children, and tenants will gain the legal right to request a pet, with landlords only able to refuse with a valid reason such as a superior lease restricting pets.

Local councils will receive stronger enforcement powers, with civil penalties of up to £7,000 for initial breaches and up to £40,000 for serious or repeated non-compliance. Rent repayment orders may require landlords to repay rent if failing to comply with regulations.

Phase 2 of the legislation will introduce a national private rented sector database and a mandatory Landlord Ombudsman.  Phase 3 expects to introduce The Decent Homes Standard and Awaabs Law, with new minimum property standards and timeframes for dealing with hazards such as mould and damp.

Many landlords are concerned about the potential for increased tenant turnover and longer possession processes. Therefore, protection against lost rental income and legal costs are becoming increasingly important.

We advise landlords to consider rent guarantee insurance, which can provide protection against rent arrears and legal costs.

We encourage landlords to familiarise themselves with the new rules ahead of May 1st.  A detailed Renters’ Rights Act guide outlining all of the upcoming changes is available as a free download at www.squire-property.co.uk/resources/

For landlords concerned about the burden of the new regulations, professional management services provide peace of mind and help reduce costs. Squire Property Management do not charge landlords for tenant referencing, property inventories, or setting up new tenancies, which can significantly reduce expenses if tenant turnover increases under the new system.

Preparation is essential for landlords who want to remain compliant and protect their investment.  We would be happy to discuss any aspect of the Renters Rights Act with Landlords, please call 01480 731750.

A free guide to the Renters Rights Act is available in our resources tab.