The Renters' Rights Act
- What is the Renters' Rights Act?
The Renters' Rights Act is new legislation which has been brought in by the government to overhaul laws around renting. It is said to be the most significant change to housing law of the past 30 years, and will impact every aspect of the letting industry.
The act gained Royal Assent in October 2025, and its new laws will be phased in over the coming months.
- What will change and how will it affect me?
Some of the major changes which will impact landlords the most in the Renters' Rights Act include ending Section 21 evictions, stricter enforcement of property standards and the abolition of fixed term tenancies.
- When will the Renters' Rights Act become law?
The Act was given Royal Assent in October 2025 following the parliamentary process, however, this doesn't mean that the new rules it sets out are enforced from that date. The rules will be phased in, with further updates expected from the government on when.
- How will the abolition of Section 21 affect landlords?
Landlords won't be able to end tenancies without giving a specific reason. As an alternative to Section 21 evictions, landlords will need to use the Section 8 process, which requires you to outline the legal grounds for repossession such as wanting to sell, move in, rent arrears or property damage.
If you're worried about the abolition of Section 21, our Rent Guarantee product can help protect your income. - Will I be able to increase rent whenever I want?Not exactly. Any rent increase will be required to follow the terms set out in the tenancy agreement, give appropriate notice, and not be excessive or unfair under law.
- What happens if a tenant doesn’t pay rent?
You can issue a written notice, attempt to resolve, but ultimately you may need legal proceedings. Rent Guarantee insurance can help cover loss of rent and legal fees.
- Are there any changes around rent arrears?
There are new changes to possession grounds which will mean that a tenant will need to be in at least three months of arrears before a notice can be served on mandatory grounds. The notice will then give an additional four week period before possession applications can be made to the Court.
- Are tenancy agreements going to change due to the Renters' Rights Bill?
Yes, periodic tenancies are expected to become the default and fixed term tenancies will be abolished. This means tenants can leave with two months' notice, and landlords can only end tenancies using valid grounds under Section 8.
- Do I need Rent Guarantee Insurance?
Rent Guarantee Insurance is not a legal requirement, but it can help to reduce the financial risks associated with being a landlord.
As the legislation set out in the Renters' Rights Act will empower tenants and make it a lot more difficult for landlords to serve notice, many landlords are turning to Rent Guarantee insurance to mitigate the additional financial risks. - How can landlords plan for the new legislation?
It's crucial to prepare for the upcoming changes, as they could have a significant impact on landlords - here's what you should do:
- Start planning changes to your tenancy documents
- Plan for register/ombudsman processes and evidence standards
- Ensure all safety certifications (gas, electrical, etc.) are up to date.
- Consider taking out rent guarantee insurance to protect your income.