The Renters' Rights Act: What Letting Agents Need to Know
Updated: April 2026
The Renters' Rights Act 2025 received Royal Assent on 27 October 2025 and is the biggest overhaul of England's private rented sector in a generation. The core reforms commence on 1 May 2026 in a single "big bang" implementation, applying to both new and existing tenancies in England. This page summarises the key changes.
Key Changes Affecting Tenancy Setup
The end of fixed-term tenancies
From 1 May 2026:
Assured Shorthold Tenancies (ASTs) are abolished. All new private residential tenancies in England are assured tenancies under the Housing Act 1988 (as amended), and they must all be periodic, fixed terms can no longer be granted. In practice these are widely referred to as "assured periodic tenancies".
Existing fixed-term ASTs convert automatically to periodic assured tenancies on 1 May 2026. Landlords do not need to issue new contracts for the conversion itself.
Section 21 "no-fault" evictions are abolished. Possession must now be sought under the reformed Section 8 grounds.
Penalties for granting a prohibited fixed term
Local authorities may impose civil penalties for purporting to grant a fixed-term tenancy after 1 May 2026. The Act's penalty framework provides for fines up to £7,000 for an initial breach, rising to £40,000 for serious or repeated breaches, with more serious offences (e.g. knowingly relying on a possession ground that does not apply) attracting penalties of up to £30,000. Any purported fixed term is, in any event, of no effect; the tenancy will operate as a periodic assured tenancy.
Ending a tenancy
Tenants may end an assured periodic tenancy by giving the landlord at least 2 months' written notice, expiring at the end of a rental period.
Landlords must use one of the statutory possession grounds under Section 8 of the Housing Act 1988. Section 21 is no longer available.
The Written Statement of Terms
Landlords must give every new tenant a Written Statement of Terms containing prescribed information. The detail is set out in The Assured Tenancies (Private Rented Sector) (Written Statement of Terms and Information Sheet) (England) Regulations 2026 (SI 2026/324), which was laid before Parliament on 20 March 2026 and comes into force on 1 May 2026.
The statement must be provided before the tenancy is entered into.
It must include the prescribed categories of information: names of the parties, property address, rent and payment dates, deposit details, gas and electrical safety information, the right to request a pet, and other matters set out in SI 2026/324.
Existing tenants: the Information Sheet
For tenancies that existed before 1 May 2026, landlords must provide each tenant with the government-prescribed Information Sheet by 31 May 2026. The Information Sheet must be the official version published on GOV.UK, landlords cannot substitute their own wording.
Civil penalties of up to £7,000 (rising to £40,000 for serious or repeated breaches) apply for failure to comply with either the Statement of Terms or Information Sheet duties.
Rent payment, increases and bidding
Rent in advance
Landlords may require no more than one month's rent in advance (or 28 days where the rental period is shorter). Demanding rent before the tenancy agreement has been signed is prohibited.
Rent increases
Rent may be increased only once in any 12-month period.
Increases must follow the statutory route: a Section 13 notice giving the tenant at least 2 months' notice.
Any contractual rent-review or escalation clause that would allow an increase outside this statutory route is of no effect under the new regime.
Tenants may challenge a proposed increase at the First-tier Tribunal (Property Chamber).
The prescribed Section 13 notice form has been updated to reflect the new regime; landlords should always use the current version published on GOV.UK.
Ban on rental bidding
Landlords and letting agents must advertise a fixed asking rent and must not invite, encourage or accept offers above that advertised amount. Breach is enforceable by local authorities with civil penalties of up to £7,000.
Deposits
The deposit caps from the Tenant Fees Act 2019 are unchanged:
Holding deposit: 1 week's rent
Tenancy deposit (annual rent under £50,000): 5 weeks' rent
Tenancy deposit (annual rent £50,000 or more): 6 weeks' rent
All tenancy deposits must continue to be protected in a government-approved deposit protection scheme.
Anti-discrimination protections
It is now unlawful for landlords or agents to:
Refuse to let to a prospective tenant because they receive benefits (ending blanket "No DSS" practices).
Refuse to let to a prospective tenant because they have children or are seeking accommodation as a family.
Blanket bans, prohibitions in agreements, and discriminatory marketing are all caught. Limited objectively-justified exceptions may apply in narrow circumstances.
The right to request a pet
Tenants have a statutory right to request consent to keep a pet. Landlords:
Must respond to a written request within 28 days.
Must not unreasonably refuse consent.
May make consent conditional on the tenant maintaining suitable pet damage insurance, where lawful.
If a landlord does not respond within the statutory period, consent is treated as given.
Possession on landlord's grounds (Ground 1 and Ground 1A)
The reformed Section 8 includes:
Ground 1: landlord (or close family member) intends to occupy the property as their only or principal home.
Ground 1A: landlord intends to sell the property.
Key safeguards:
Neither ground may be used during the first 12 months of a tenancy (a "protected period").
Landlords must give tenants 4 months' notice under these grounds.
After using Ground 1 or 1A, the property cannot be re-let or re-marketed for a defined no-let period; breach attracts a substantial civil penalty (up to £25,000).
Other Section 8 grounds (rent arrears, anti-social behaviour, etc.) have their own notice and threshold rules.
Other important reforms
The Act also introduces, with phased commencement:
A Private Rented Sector Database for landlords and properties.
A PRS Ombudsman offering free redress to tenants.
Application of the Decent Homes Standard to the PRS.
Extension of Awaab's Law timescales for hazard remediation to private rented housing.
Some of these provisions commence later than 1 May 2026, agents and landlords should monitor GOV.UK for updates.
What will I need to do once the Bill takes effect?
Once the Renters' Reform Bill takes effect, there will likely be changes to your responsibilities as a landlord or tenant, but the exact details are not yet finalised. While we can’t say for certain what will be required, we can be confident that the bill will introduce certain measures such as abolishing Section 21 "no-fault" evictions and a simpler tenancy framework. Based on what currently looks likely to pass in the bill:
Letting Agents and Landlords
Review Tenancy Agreements: Ensure all agreements are legally compliant, up-to-date, and clearly outline the rights and responsibilities of both parties.
Assess Property Compliance Workflows: Verify that processes for safety certifications, inspections, and legal requirements are efficient and meet current regulations.
Implement Tenancy Setup and Management Tools: Utilise reliable tools to streamline tenancy administration for greater accuracy and reduced errors.
Conduct High-Quality Tenant Referencing: Perform thorough checks on employment, credit history, and rental track records to minimise risks.
Monitor Legislative Updates: Stay informed about the progress of relevant bills, such as changes to eviction laws or rent controls, to ensure compliance with evolving regulations.
Tenants
You should stay updated and familiarise yourself with their rights as the bill develops - it’s essential for tenants to remain informed and understand their rights as the legislation progresses.
Timeline of the Renters Rights Bill & Act
27th October 2025
The bill has received Royal Assent making it law. The changes will be phased in starting 1st May 2026.
21st July 2025
The bill has progressed, and the 3rd reading is now complete with the Consideration of Lords amendments stage to take place next. Date to be announced.
15th July 2025
The report stage has concluded, and the bill has now moved to its 3rd reading. The first sitting for the 3rd reading is scheduled for July 21st.
1st July 2025
The bill has progressed to the report stage and the first sitting has started
15th May 2025
The final House of Lords Committee Stage sittings took place - view the updated Committee Stage Summary blog
23rd April 2025
House of Lords Committee Stage sittings started - view the Committee Stage Summary blog
27th March 2025
The bills progress has slowed in Parliament - read our blog explaining Why the Delays and What this Means
19th March 2025
House of Lords Committee Stage scheduled to start 22nd April 2025
4th February 2025
2nd reading the House of Lords took place - view what was discussed in our 2nd Reading Summary blog
The information on this page is provided for general guidance only and is correct to the best of our knowledge as of April 2026. It is not legal advice and should not be relied upon as such.
