Dec 2025
Dec 2025
The Renters’ Rights Act 2025 has now received Royal Assent, bringing major changes to the private rented sector. The Act has been described as one of the most significant reforms to the private rented sector for a generation and will introduce a more regulated and tenant-focused system, which will affect how landlords manage tenancies, plan disposals or redevelopment and meet compliance obligations. Crucially, the government has now confirmed a three-phase implementation timetable, with Phase 1 beginning in May 2026, which will have immediate practical implications for all landlords.
Partner
Based in:
Godalming
Tel: 01483 411505
Email: Walter Kramer
Although many elements still await formal commencement dates, it is important to start preparing now – so here are a few tips from us on where to start.
What landlords need to know
The new legislation introduces a shift in the balance of rights and responsibilities. For landlords and investors, it will lead to more complex possession routes, stricter rent control measures and increased compliance requirements. Developers and residential operators will also need to factor in potential delays and limitations when planning schemes that rely on vacant possession. Greater regulation, supported by strengthened enforcement powers for local authorities, means that a more proactive and structured approach to tenancy management will become essential.
Ending no-fault evictions
One of the most significant reforms is the abolition of assured shorthold tenancies (ASTs). Instead, all new residential tenancies will be periodic assured tenancies, usually operating on a monthly basis. Existing ASTs will convert automatically when the relevant provisions come into force, and some landlords may need to issue transitional notices to protect their ability to rely on certain future possession grounds.
This change is closely linked to the abolition of Section 21 “no-fault” evictions. Landlords will no longer be able to end a tenancy without relying on one of the statutory Section 8 grounds. These grounds have themselves been restructured, including the introduction of a new ground where a landlord intends to sell the property and a higher threshold for mandatory possession due to rent arrears, which will rise from two to three months’ arrears. As a result, early engagement with arrears and thorough tenancy management will become even more important.
New rent increase rules and tenant rights under the Renters’ Rights Act
The Act also places new limits on how and when rents can be increased. Contractual rent review clauses will no longer apply, meaning any increase must follow a statutory procedure and cannot take effect during the first year of the tenancy. Tenants will also have the right to challenge the proposed increase.
Rental bidding will be prohibited, and restrictions on taking rent in advance will reduce the scope for negotiation above the advertised rent.
Additional protections will prevent landlords from refusing applicants because they have children or receive benefits. Requests for pets will also need to be considered reasonably. These measures represent a significant cultural shift in tenant selection and property management practices.
Landlord compliance obligations
Private landlords will need to meet the Decent Homes Standard and comply with strict timeframes for addressing hazards such as damp and mould. A national landlord database will require landlords to register themselves and the properties they let, with penalties for failing to keep the information up to date. Membership of an approved landlord redress scheme will also become mandatory. In addition, landlords must provide tenants with a standardised written statement of terms at the start of each tenancy. Local authorities will have broader enforcement powers, including the ability to issue significant civil penalties for breaches.
Implementation timescales – key dates to prepare for
Phase 1 will take effect from 1st May 2026, seeing major tenancy reforms including the abolition of Section 21 “no-fault” evictions and the introduction of assured periodic tenancies, putting an end to fixed-term ASTs, reformed possession grounds and a limit of one rent increase per year.
There will also be a ban on rental bidding and restrictions on rent in advance as well as protections against discrimination – for example families with children or benefit recipients – and a statutory right to request pets.
New investigatory powers for councils will come into effect from 27th December 2025 and will add to strengthened local authority enforcement powers coming into effect next year.
Phase 2 will come into effect from late 2026 onwards and is thought to introduce a new National PRS Database, making landlord and property registration mandatory, as well as a PRS Landlord Ombudsman which is expected to go live 12–18 months after an administrator is selected.
Finally, Phase 3 will form a post-consultation, where the Decent Homes Standard is expected to be extended to the private rented sector, minimum energy efficiency requirements will be introduced and an overall review and reform of the Housing Health and Safety Rating System.
These staged changes mean that landlords will need to monitor regulatory updates throughout the next decade, particularly as secondary legislation is expected to arrive in multiple sets and may significantly expand the operational detail.
If you would like to know more about how the new Renters Rights Bill might affect you, contact Downs Solicitors to see how we can help.
Contact Walter Kramer



