Renters Rights Bill - What We Know So Far

The Renters Rights bill is a hot topic right now with it's implementation expected between October 2025 and January 2026, with the uncertainty surrounding what this legislation will introduce we thought we would outline what we currently know the bill is proposing.

Periodic Tenancies

●      Fixed term assured tenancies will be removed

●      All tenancies will be periodic instead with tenants being able to stay in the property until they decide to end the tenancy, giving 2 months’ notice.

●      The 2 months’ notice can be given at any time from the tenancy starting

●      Section 21’s will be abolished completely meaning landlords will no longer be able to terminate a tenancy without providing a reason.

Can Tenants Still Pay Upfront?

●      Upfront payments will no longer be permitted with it being against the law to take any more than 1 month’s rent in advance

●      It’s likely that those who would normally need to pay up front to pass references will instead now need to seek assistance from a guarantor company

●      It has been proposed that if this part of the bill passes anyone who has paid up front may be entitled to their money back, but this remains unclear

Grounds For Possession

●      The bill will clarify and expand grounds for possession, while ensuring tenants are protected from arbitrary eviction and given enough time to find a new home.

●      Landlords must go to court if a tenant does not leave. They will need to provide evidence that the ground is met. For mandatory grounds, the court must award possession if the ground is proven. For discretionary grounds, the court can consider if eviction is reasonable, even when the ground is met.

●      Where a tenant is at fault, landlords can give notice using the relevant grounds at any point in the tenancy. This includes where a tenant commits antisocial behaviour, is damaging the property, or falls into significant arrears.

●      The bill will introduce new protections for tenants who temporarily fall into rent arrears, supporting both parties by preventing tenancies which are otherwise viable from ending.

●      The mandatory threshold for eviction will be increased from 2 to 3 months’ arrears and increase the notice period from 2 weeks to 4. This will allow tenants more time to repay arrears and remain in their homes, while ensuring landlords do not face unsustainable costs. Landlords can also continue to use the discretionary rent arrears grounds, for example if rent is repeatedly late.

●      Landlords’ own circumstances can sometimes change, and the bill includes strengthened rights to reclaim properties when it’s necessary, for example to sell or move in. Tenants will benefit from a 12-month protected period at the beginning of a tenancy, during which landlords cannot evict them to move in or sell the property.

●      Landlords will need to provide 4 months’ notice when using these grounds, giving tenants more time to find a new home, and reducing the risk of homelessness.

●      In some sectors, it is necessary to move tenants where accommodation is intended for a particular purpose, for example where the current tenant may no longer need the accommodation or is no longer eligible to occupy it. Therefore, the bill will introduce a limited number of possession grounds to ensure there is an adequate supply of properties in vital sectors such as temporary and supported accommodation, and for critical housing schemes such as ‘steppingstone’ accommodation.

●      The bill will expand ‘ground 6’ for redevelopment to relevant social landlords to support redevelopment of properties where required and introduce a new possession ground for relevant social landlords where a tenant has been provided with alternative accommodation while redevelopment affecting the tenant’s original home is carried out. Where the landlord seeks possession under these grounds, they will usually need to provide alternative accommodation that meets specific requirements.

●      To support compliance with requirements introduced elsewhere by the bill, landlords will be prevented from gaining possession if they have not properly protected a tenant’s deposit or registered their property on the private rented sector database.

●      Landlords will always be able to rectify non-compliance, so they are not prevented from regaining possession indefinitely. These restrictions will not apply to antisocial behaviour grounds.

Serving Notice Should A Landlord Wish To Sell

●      There’s a proposal that should a landlord wish to sell their property, they must serve notice to the tenant no sooner than 12 months into the tenancy by providing 4 months’ notice using the appropriate grounds for eviction.

●      However, if a landlord chooses to use the grounds for eviction, they cannot re-let their property for a minimum of 12 months

●      Rightmove recommends mutually agreeing with the tenant to vacate with the landlord offering incentives, such as offering the last month's rent for free, in order to avoid using the specific grounds for eviction. This way the landlord is not bound by the rules of not re-letting for 12 months should the sale fall through.

Rent Increases

●      In future, all rent increases in the private rented sector will be made using the same process.

●      Landlords will be able to increase rents once per year to the market rate (the price that would be achieved if the property was newly advertised to let)

●      To implement the increase Landlords must serve a simple ‘Section 13’ notice, setting out the new rent & giving at least 2 months’ notice of the increase taking effect.

●      Tenants can fight the rent increase via tribunal service, and if the tribunal awards the rent increase, this will not be backdated as it is now.

Implementation

●      The Government will introduce a new tenancy for the private rented sector system in one stage.

●      On this date the new tenancy system will apply to all private tenancies - existing tenancies will convert to the new system and any new tenancies signed on or after this date will also be governed by the new rules.

●      Existing fixed term tenancies will be converted to periodic tenancies and landlords will no longer be able to serve new section 21 or old-style section 8 notices to evict tenants.

●      Tenants can fight the rent increase via tribunal service, and if the tribunal awards the rent increase, this will not be backdated as it is now.

Landlord Ombudsman

●      A Landlords Ombudsman will be introduced to help mediate any disputes between tenants and landlords.

●      Broadly, the ombudsman service will consider complaints from tenants regarding actions, inactions or behaviours of a landlord which has caused harm or inconvenience.

●      All landlords will be legally obligated to join the service including those using our management services. Landlords will also be legally obliged to comply with the Ombudsman's decisions and will face a penalty if they do not.

●      It was previously suggested that agents would not be able to register landlords onto the portal and that landlords must do this themselves. This suggestion has since changed and there may be an opportunity for us to register the landlords’ details on their behalf.

Landlord Redress Scheme

●      The bill will introduce a new Private Rented Sector Database that all landlords of assured and regulated tenancies will be legally required to register themselves and their properties to.

●      Landlords could be subject to penalties if they market or let out a property without registering it and proving the required information.

●      Previously it was suggested only landlords can do this which has since changed, and we may be able to do this on behalf of our landlords.

●      The database will provide a ‘one stop shop’ for landlords allowing them to access relevant guidance.

How Will A Landlord Sign Up To The Database And What Happen If They Don’t?

●      All landlords of assured and regulated tenancies will be legally required to register themselves and their properties on the database. They will be able to do this online.

●      For those who are unable to register online, there will be alternative offline ways for registrations to be processed.

●      Prohibiting Rental Discrimination Landlords in breach of the duty to register on the database will not be able to get a possession order except if the ground under which possession is sought is ground 7A or ground 14 (tenant anti-social behaviour).

●      Local councils will be able to take enforcement action against private landlords that fail to join the PRS Database. 

●      If a landlord lets or advertises a property without it first being registered on the database, they can be issued with a civil penalty of up to £7,000 by the local council.

●       If a landlord repeatedly breaches the requirement, or if they commit a serious offence such as providing fraudulent information to the database, they may be issued with a civil penalty of up to £40,000 or could face criminal prosecution.

Prohibiting Rental Discrimination

●      The Renters’ Rights Bill will take direct action to address rental discrimination practices in the private rented sector. It will address ‘No DSS’ adverts, and situations where landlords or letting agents use other indirect practices in order to prevent someone entering into a tenancy.

●      Landlords and agents will continue to have the final say on who they let their property to and can carry out referencing checks to make sure tenancies are sustainable for all parties.

●      They will be able to do this based on affordability, but not on the basis the prospective tenant has children or is in receipt of benefits.

Rental Bidding

●      The Renters Rights Bill will end biddings wars of any type.

●      Legally, the landlord cannot accept an offer or ask an applicant to pay higher than the advertised rent amount on the portals.

Renting With Pets

●      The bill will ensure landlords do not unreasonably withhold consent when a tenant requests to have a pet in their home, with the tenant able to challenge unfair decisions.

●      This will also apply to management companies restricting pets within apartment blocks.

●      Some landlords will be concerned about potential damage caused by pets which is why the Bill will allow landlords to require insurance covering pet damage. This will provide landlords with reassurance that any damage caused by a pet can be taken care of, and that the responsibility for preventing and resolving damage caused by a pet will fall to the tenant.

Decent Homes Standard

●      The Renters’ Rights Bill will allow regulations to be made setting out DHS (Decent Home Standard) requirements for private rented sector homes and will provide local councils with effective and proportionate enforcement powers.

Awaab’s Law

●      Following the tragic and avoidable death of 2-year old Awaab Ishak due to prolonged exposure to mould in his social rented home, the Manchester Evening News, Shelter and the Ishak family led a campaign for ‘Awaab’s Law’. This was introduced for social housing through the Social Housing (Regulation) Act 2023.

●      The Bill will now extend Awaab’s Law to privately rented homes, which will ensure that all renters in England are empowered to challenge dangerous conditions and that all landlords must take swift action to make sure homes are safe.

●      The measures in the bill will allow new requirements to be set requiring private rented sector landlords to address hazards, such as damp and mould, within a specified time period. If landlords do not comply, tenants will be able to bring enforcement action against them through the courts.