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The Renters’ Rights Act – Everything you need to know

Renters’ Rights
16 December 2025

By UKinsuranceNET In News

Discover how the Renters’ Rights Act will reshape renting in the UK, and what it means for landlords and renters.

Landmark Change in the Private Rental Sector

After years of consultation and political debate, the UK’s Renters’ Rights Act is reshaping the legal framework that underpins relationships between landlords and tenants. The Act is designed to strengthen tenant protections and raise standards in rental housing, introducing a wide range of reforms across the private rented sector.
For landlords, these changes come with clear implications. The legislation affects how you manage risk, stay compliant and safeguard your rental income, while at the same time aiming to make renting fairer and more secure for tenants.

What is the Renters’ Rights Act?

The Renters’ Rights Act is a comprehensive package of reforms aimed at rebalancing the relationship between landlords and tenants in England. It strengthens protections for renters and sets clearer expectations around property standards and day‑to‑day management. In practical terms, the Act is designed to make it easier for tenants to challenge poor conditions or unfair practices, while still recognising that landlords need confidence that both their properties and rental income are properly protected.

At its heart, the Renters’ Rights Act modernises how the private rented sector operates. It updates long‑standing rules on evictions, rent increases, tenancy structures and minimum home standards so they reflect current housing pressures. For tenants, this should mean greater security, more predictable rent rises and clearer ways to raise concerns. For landlords, it brings new compliance obligations but also more defined processes, alongside encouragement to use tools such as rent guarantee insurance to help manage risk.

Because it affects both parties, the Renters’ Rights Act is significant for the overall health of the rental market. Landlords will need to review tenancy agreements, notice procedures and property management practices, while tenants will gain a clearer picture of their rights and of the responsibilities their landlord must meet.

What will the Renters’ Rights Act cover?

The Renters’ Rights Act brings together a range of policy changes that affect almost every stage of the landlord‑tenant relationship; from how a tenancy begins, to how rent can be increased, to the circumstances in which it can be brought to an end.

Key elements include abolishing ‘no‑fault’ Section 21 evictions, tightening rules on rent rises, limiting how much rent can be paid in advance, ending rental bidding wars, moving towards periodic tenancies as standard, strengthening tenants’ rights to keep pets, and introducing new requirements around the quality and safety of rented homes.

Section 21 Eviction Notice Abolished

Previously, Section 21 of the Housing Act 1988 allowed landlords to end an assured shorthold tenancy without giving a specific reason, provided the correct notice was served and the fixed term had finished. This became known as a ‘no‑fault’ eviction, because landlords did not have to show that the tenant had breached the tenancy agreement.

Under the Renters’ Rights Act, landlords will instead only be able to seek possession by relying on specific statutory grounds, such as selling the property, moving back into it themselves, or where there are serious rent arrears or anti‑social behaviour. For some of these grounds, landlords will need to give tenants at least four months’ notice, and in certain cases they will be unable to use those grounds during the first year of a tenancy. Overall, these changes are intended to give renters greater stability and more time to plan, reducing the risk of sudden, no‑fault evictions.

This shift makes strong financial protection more important for landlords. Longer notice periods and higher thresholds for regaining possession mean that sustained non‑payment of rent can have a greater impact. Rent guarantee insurance can help cover missed rent (subject to policy terms and conditions), legal costs and the expenses associated with seeking possession, offering an additional layer of protection now that Section 21 can no longer be used to end tenancies quickly.

Rent Increases

The Renters’ Rights Act tightens the rules around rent increases to reduce the likelihood of sudden or unreasonable rent hikes. Landlords will no longer be able to rely on informal arrangements or short‑notice rises; instead, they must follow a clear legal process.

In most situations, landlords will need to use a Section 13 notice to propose a new rent for a periodic tenancy. This sets out the proposed new rent, the date it will start and must give tenants at least two months’ notice. The aim is to give renters enough time to understand the change, budget for it or, where appropriate, challenge it.

If tenants believe a proposed increase is excessive, they can ask the First‑tier Tribunal (Property Chamber) to review it. The Tribunal will look at evidence of local market rents and decide what a fair market rent should be. This independent check is designed to discourage unreasonable increases and encourage landlords to set rents in line with realistic market levels, rather than using rent as a way to encourage tenants to leave.

Rent in advance

Currently, some landlords and letting agents require tenants to pay several months’ rent in advance, which can be a significant barrier to securing a property. The Renters’ Rights Act places limits on this practice to make entering the private rented sector more affordable.

Under the Act, landlords will be restricted in how much rent they can request upfront. They will not be allowed to ask for or accept any rent before a tenancy agreement is signed. Once the agreement is in place (but before the tenancy actually starts), they will generally be limited to requesting a maximum of one month’s rent in advance – or up to 28 days’ rent where payments are made weekly. The intention is to remove the need for large lump‑sum payments simply to secure a tenancy and to lower financial barriers for renters.

For landlords, this will mean reviewing standard referencing and affordability checks, and reconsidering any existing approach that relies on multiple months’ rent in advance. Using thorough tenant referencing, appropriate deposits and, where suitable, rent guarantee insurance can help manage risk without depending on high upfront rent payments.

End to rental bidding

In busy rental markets, ‘bidding wars’ have become more common, with tenants offering more than the advertised rent to secure a property. The Renters’ Rights Act is designed to curb this practice.

The new legislation will prevent landlords and letting agents from advertising a property at one rental price and then accepting offers above that figure. This aims to improve transparency, reduce unfair competition between renters and limit situations where tenants feel pressured to overstretch themselves financially.

For landlords, the emphasis will shift to setting a fair, sustainable rent from the outset, based on local market evidence. Clear, upfront pricing can help to build trust with potential tenants and reduce disagreements about what was originally agreed.

Periodic Tenancies

One of the major structural changes introduced by the Renters’ Rights Act is the move away from traditional fixed‑term Assured Shorthold Tenancies (ASTs). Instead, the Act sets out that most tenancies will become open‑ended, or ‘periodic’, from the start.

In a periodic tenancy, the agreement continues from one rental period to the next – for example, month to month – rather than ending automatically after a fixed term of six or twelve months. Under the new law, tenants will usually be able to leave by giving two months’ notice, giving them more flexibility to move if their circumstances change or if they are unhappy with the property.

For landlords, the end of fixed terms will require a different approach to managing tenant turnover and void periods. Rather than planning around fixed end dates, you will rely on the strengthened statutory grounds for possession introduced by the Act when you have a legitimate reason to take the property back – for example, to sell, move in yourself or address serious breaches of the tenancy.

Renting with pets

Many renters see pets as part of the family, but still find it difficult to secure a home where animals are allowed. The Renters’ Rights Act seeks to make it easier to rent with pets while acknowledging landlords’ concerns about potential damage.

Under the Act, tenants will have a clearer right to request permission to keep a pet in their rented property. Landlords will no longer be able to refuse such requests on arbitrary or blanket grounds; instead, if they decide to say no, they will need to give a valid reason.

Decent Homes Standard and Awaab’s Law

The Renters’ Rights Act sits alongside broader efforts to improve property standards in the private rented sector, including extending the Decent Homes Standard. This standard sets minimum expectations for the condition of rented homes, covering serious hazards, overall state of repair, the quality of facilities and heating and insulation.

In practice, this means homes should be free from serious health and safety risks, structurally sound, properly heated and equipped with reasonably modern kitchens and bathrooms. The goal is that renters live in properties that are safe, secure and offer a decent standard of living, rather than just basic shelter.

The Act also reinforces measures introduced through Awaab’s Law, following the tragic death of two‑year‑old Awaab Ishak, who was exposed to prolonged mould in social housing. Awaab’s Law places clear duties on landlords to act quickly where serious hazards such as damp and mould are identified, including set timescales for assessing and remedying problems.

For private landlords, this means taking a proactive approach to maintenance, responding promptly to reports of damp, mould or other serious issues, and keeping clear records of inspections and repairs. Failing to act can put tenants at risk and may lead to enforcement action or legal claims against the landlord.

When did the Renters’ Rights Bill become law?

As of 27 October 2025, the Renters’ Rights Bill received Royal Assent and is now law, and is referred to as an Act. However, this does not mean that every part of the legislation applies straight away. Many of the reforms will come into effect in stages, with different start dates set out in secondary legislation and accompanying Government guidance.

In practice, there will be a transition period where existing tenancies continue under the previous rules, while new tenancies – or particular elements of the Act – are gradually brought into force. Landlords should monitor official updates on when key measures, such as the abolition of Section 21 or the move to periodic tenancies, will apply, and prepare in advance to update tenancy agreements, processes and documentation.

What is the timeline of the Renters’ Rights Act?

While some details are still being finalised, the progression of the Renters’ Rights Bill into an Act can broadly be broken down into several main stages:

  • Policy development and consultation: Initial plans to reform the private rented sector were set out in Government white papers and consultation documents, signalling an intention to abolish Section 21, strengthen protections for tenants and improve property standards.
  • Introduction to Parliament: The Renters’ Rights Bill was then formally introduced, beginning its passage through the House of Commons and House of Lords. During this time, MPs and peers debated the proposals and put forward amendments.
  • Committee and report stages: The Bill underwent detailed, line‑by‑line scrutiny in committee, with further changes made in response to feedback from landlord bodies, tenant groups, charities and other stakeholders.
  • Royal Assent (27 October): The Bill received Royal Assent and became an Act of Parliament, confirming that the reforms would go ahead.
  • Implementation phase: The Government will now introduce the different provisions in phases, to give landlords, agents and tenants time to prepare. Further regulations and guidance will explain how, and when, specific elements such as new tenancy structures, rent increase rules and property standards will apply.

Landlords should keep an eye on official Government and industry updates to track the next key dates, including when existing tenancies are expected to move across to the new system.

Renters’ Rights Act FAQs:

What will happen to existing section 21 notices that have already been served?

Where a valid Section 21 notice was served before the relevant parts of the Renters’ Rights Act took effect, it will not be invalidated immediately. Instead, landlords will typically have a limited ‘grace period’ after the commencement date to move the case forward.

In most cases, landlords who have already served a Section 21 notice will have up to three months on the transitional period to apply to the court for possession. Once that period has passed, they will no longer be able to rely on that Section 21 notice and would need to use the new statutory possession grounds set out in the Act instead.

It is therefore important for landlords who are already in the process of seeking possession to check the timetable carefully and, if necessary, obtain appropriate advice on how the transition rules apply to their particular situation. As part of Barbon Group, UKinsuranceNET sits alongside Legal for Lettings, who specialise in legal support for the lettings sector. If you would like expert guidance on possession proceedings or how the new rules apply to your case, you can contact Legal for Lettings via their website

Can landlords refuse pets?

Under the Renters’ Rights Act, landlords are no longer able to rely on a simple blanket ‘no pets’ policy without justification. When a tenant submits a written request to keep a pet, the landlord is expected to consider it reasonably and respond within the required timeframe.

Landlords can still say no to pets, but only where there is a clear and legitimate reason – for example, if allowing a pet would breach a superior lease, create a genuine health and safety issue or be inappropriate for the specific property. A general refusal “as a matter of policy” is unlikely to be acceptable under the new regime.

By combining sensible consent to pets with appropriate insurance or additional cover, landlords can help protect their property while appealing to a wider range of prospective tenants.

H3: What happens if landlords breach the Renters’ Rights legislation?

The Renters’ Rights Act is supported by stronger enforcement powers for local authorities and other regulators. Landlords who fail to meet their obligations – for example, by serving unlawful notices, ignoring safety problems or not following the rules on rent increases – may face significant financial penalties.

Depending on the type and seriousness of the breach, fines can range from around £7,000 up to £40,000. In more serious cases, landlords may also be at risk of banning orders, rent repayment orders or being placed on enforcement databases.

Beyond the immediate financial impact, breaches can harm a landlord’s reputation and may affect relationships with letting agents, lenders or insurers. Taking time now to understand the Renters’ Rights Act, update paperwork and processes, and put robust rent protection in place – for example, with Rent Guarantee insurance – can help reduce the likelihood of costly issues in future. As part of Barbon Group, UKinsuranceNET also works alongside Legal for Lettings, who can provide specialist legal support to landlords needing advice on compliance and possession whenever you may need it.

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