RENTERS' RIGHTS ACT: WHAT YOU NEED TO KNOW

Renters' Rights Act: What You Need to Know

We know the new Renters' Rights Act brings significant changes, and we want to help you understand what it means for you. Here's everything broken down in plain English.

When Does This All Start?

The Act rolls out in stages, with the first changes taking effect from 1 May 2026. From that date:

Fixed-term Assured Shorthold Tenancies are being replaced with Assured Periodic (open-ended) tenancies

Rent increases are limited to once per year, using a Section 13 notice

Section 21 notices can no longer be served

For new tenancies, you cannot accept rent before signing the agreement, and afterwards can only request up to one month's rent at a time

Rental bidding wars are banned—you must advertise a set rental price and cannot accept or encourage offers above it

New protections prevent discrimination against tenants with children or those receiving benefit

Later in 2026, phase 2 begins. Landlords will need to register with the Private Landlord Ombudsman and the Private Rented Sector Database. We'll keep you updated as more details emerge.

After phase 2, new property standards and timelines for addressing hazards will be introduced, including updates to the Housing Health and Safety Rating System and extending Awaab's Law and the Decent Homes Standard to private rentals.

Does This Affect All Tenancies?

The Act primarily concerns assured tenancies and assured shorthold tenancies (ASTs).

Other types, such as non-Housing Act 1988 tenancies or common law tenancies won't be affected by most of these changes.

Do I Need to Issue New Tenancy Agreements?

From 1 May 2026, you must provide an accurate written statement of the tenancy agreement before it's agreed. The exact requirements are still being finalised.

For existing tenancies (agreed before 1 May 2026) that are already in writing, you'll only need to provide some additional information in writing within one month—not a completely new agreement. The Government will provide a leaflet or brochure for you to give tenants.

If you agreed a tenancy before 1 May 2026 but it's not in writing, you'll need to provide a written statement setting out the terms by 31 May 2026.

Are Fixed-Term Tenancies Being Abolished?

Yes. Fixed-term assured and assured shorthold tenancies will be abolished when the Act comes into force. Almost all tenancies in England will become periodic (open-ended) assured tenancies, continuing until either party gives notice.

Can I Still Serve a Section 21 Notice?

From 1 May 2026, Section 21 notices are no longer available. You'll need to use the grounds-based route (Section 8) instead.

However, you can continue to serve Section 21 notices until the Act comes into force. You'll have until 31 July 2026 to apply to court for possession following service of a Section 21 notice. If you don't apply during this window, the notice expires and you'll need to re-serve under Section 8.

How Do I Gain Possession Without Section 21?

From 1 May 2026, you'll need to use Section 8, which is ground-based, meaning you'll need to provide a reason for seeking possession.

It will also become an offence to try ending a tenancy orally or via notice to quit rather than a Section 8 notice.

What If My Tenant Is in Arrears?

You can still use Section 8 to seek possession for arrears, but there are changes:

Currently, you can use the mandatory rent arrears ground (Ground 8) if the tenant is two months or more in arrears

From 1 May 2026, this increases to three months or more in arrears

Required notice increases from two weeks to four weeks

Arrears due to delayed Universal Credit payments are excluded from the arrears threshold, so Ground 8 won't be available if arrears arise from non-payment of UC

Keep good records and support tenants with their benefit applications wherever possible.

What's the Restricted Period for Reletting Under Grounds 1 and 1A?

Under Grounds 1 and 1A, you cannot re-let or advertise the property during the "restricted period." This starts on the date notice is served and runs to the latter of:

12 months after the expiry date in the notice, or

The date a possession claim is filed with the court

It's an offence to let or market the property during this period.

Shared Owners Exception

Shared owners who part-own and part-rent through a housing association can let their property immediately if they can prove they've genuinely tried to sell it, provided:

Tenants are told in writing at the start that their landlord is a shared owner

The landlord owns less than 100% of the property

The landlord notifies the housing provider before issuing a Ground 1A notice that they plan to sell their share

What Notice Do Tenants Need to Give?

Tenants can end a tenancy by serving two months' notice in any written format, including text or WhatsApp. This can be served from day one of the tenancy.

You may agree to shorten this period but cannot extend it beyond two months.

Unless stated otherwise, the tenant's notice must end on the first or last day of a rental period.

In joint tenancies, if one tenant serves valid notice, it ends the tenancy for all tenants

How Can I Increase the Rent?

From 1 May 2026, you can only propose a new rent via a Section 13 notice, which can be served once a year with a minimum of two months' notice.

Tenants can refer any rent increase to the First-tier Tribunal for free. The Tribunal will determine the rent, which cannot be higher than your proposed amount. The increase cannot take effect before the Tribunal decides.

How Does the Ban on Rental Bidding Work?

When listing a property, you must advertise a specific asking rent and cannot encourage or accept offers above it.

Breaching this ban can result in a civil penalty of up to £7,000 from the Local Authority.

Can I Take Rent in Advance?

You cannot accept any rent before entering into an assured tenancy agreement. Once signed, you can request up to one month's rent in advance.

After this initial payment, you can only require rent for each rental period, limited to one month.

This doesn't apply to existing tenancies entered into before 1 May 2026—if you agreed advance rent payments, you may continue at the same frequency until the tenancy ends.

Do I Have to Accept Pets?

Tenants have the right to request a pet, including in HMOs. You cannot unreasonably refuse, but you can refuse where there's a valid reason—for example, if a superior landlord prohibits pets.

You must respond to pet requests within 28 days in writing.

You cannot require pet liability insurance or charge a higher deposit for accepting a pet.

What About Awaab's Law in the Private Rented Sector?

The Government hasn't yet set out when Awaab's Law will apply to the PRS, and further regulations are needed. We'll update you when these are published.

Under Awaab's Law, landlords must address damp and mould issues in a timely manner and show work is being done. Keep records of when issues are reported, when contractors are called, when work begins, and all relevant communications.

What Does the Act Say About Tenants Receiving Benefits?

It's now unlawful to discriminate against prospective tenants receiving benefits or those with children. You cannot deter these households from enquiring, viewing, accessing information, or entering into a tenancy.

The exception is where you can demonstrate discrimination is reasonable for instance, if an HMO room is unsuitable for a family.

Can I Still Consider An Applicants Income?

Yes, you're free to take an applicant's income into consideration when choosing tenants.

Can I Still Require a Guarantor?

Yes, but if a tenant dies during the tenancy, the guarantor won't be liable for rent after their death.

If you have questions we haven't covered here, please don't hesitate to get in touch. We're here to help you navigate these changes.

David

 

 

 

 

 

 

 

 

 

 

 

 



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