Renters' Rights Act penalties and civil fines

Why it matters

Non-compliance with the Renters' Rights Act 2025 carries substantial financial and reputational risks for landlords and letting agents. Fines can reach significant figures for individual breaches, and repeated non-compliance may lead to prosecution or inclusion on a rogue landlord database. Beyond financial penalties, landlords could face orders to repay rent, be banned from letting properties, or endure lengthy and expensive legal disputes with tenants. Proactive compliance is essential to protect your investment and maintain a professional standing.

Legal requirements

• Landlords must adhere to the new grounds for possession outlined in the Renters' Rights Act 2025.
• All rental properties must be registered on the new Property Portal, with accurate and up-to-date information.
• Landlords must not evict tenants without a valid ground for possession and a court order.
• Tenants' requests for pets must be considered reasonably, and consent must not be unreasonably withheld.
• Rent increases must follow the prescribed process, including notice periods and permissible frequency.
• Landlords must ensure properties meet the Decent Homes Standard, with penalties for failure to comply.
• Prohibitions on blanket bans of certain tenant groups, such as those receiving benefits, must be observed.
• Tenancy deposit protection schemes must be used, and prescribed information provided to tenants.
• Gas safety certificates, electrical safety reports, and EPCs must be valid and provided to tenants.
• Landlords must comply with requests for property modifications for disabled tenants, where reasonable.

Common mistakes

• Attempting to evict a tenant without a valid ground for possession or a court order.
• Failing to register a property on the new Property Portal, or providing incomplete information.
• Unreasonably refusing a tenant's request to keep a pet without a valid reason.
• Implementing rent increases more frequently than permitted or with insufficient notice.
• Ignoring tenant repair requests, leading to breaches of the Decent Homes Standard.
• Including prohibited clauses in tenancy agreements, such as blanket bans on children or benefit recipients.
• Not providing tenants with a written tenancy agreement or required statutory documents.
• Retaliatory evictions following a tenant's complaint about property conditions are strictly prohibited.
• Imposing charges or fees on tenants that are not permitted under the Tenant Fees Act 2019.

Practical guidance

• Familiarise yourself thoroughly with the full provisions of the Renters' Rights Act 2025.
• Ensure all your properties are registered on the new Property Portal as soon as it opens.
• Review and update your tenancy agreements to align with the new Act's requirements.
• Establish clear processes for handling tenant requests, particularly concerning pets and repairs.
• Maintain meticulous records of all communication, property inspections, and compliance documents.
• Seek legal advice if you are unsure about any aspect of the Act or a specific tenant situation.
• Only use valid and legitimate grounds for possession when seeking to end a tenancy.
• Keep abreast of any further guidance issued by the government or your local authority.
• Consider professional property management to ensure ongoing compliance with the complex regulatory landscape.

New Possession Grounds and Illegal Eviction Penalties

The Renters' Rights Act 2025 abolishes Section 21 notices, meaning landlords can no longer evict tenants without a reason. Instead, landlords must rely on the revised Section 8 grounds for possession. Attempting to regain possession of a property without a valid ground, or through harassment and intimidation, constitutes illegal eviction. Local authorities have powers to prosecute landlords for illegal eviction, leading to unlimited fines and potentially imprisonment. Additionally, tenants can pursue civil claims for damages, which can be substantial. Landlords must familiarise themselves with the updated Section 8 grounds, as detailed in our guide Section 21 abolition: what replaces no fault eviction, and ensure all possession proceedings follow the correct legal process, including obtaining a court order before a tenant can be lawfully removed.

The Property Portal and Landlord Registration Fines

A central feature of the Renters' Rights Act 2025 is the introduction of a new national Property Portal. All private landlords and their properties must be registered on this portal, providing certain information about themselves and the property. Failure to register a property, or providing false or misleading information, can result in civil penalties. These penalties can include fixed penalty notices and ongoing daily fines until compliance is achieved. Local authorities are empowered to enforce these registration requirements. The portal is also intended to provide transparency for tenants and enforcement bodies, making it easier to identify non-compliant landlords. It is crucial for landlords to monitor the launch of the portal and ensure timely and accurate registration to avoid these new fines.

Penalties for Pet Request Refusals

Under the Renters' Rights Act 2025, tenants gain the right to request a pet, which landlords cannot unreasonably refuse. While landlords can require tenants to take out pet insurance to cover potential damage, a blanket 'no pets' policy is no longer permissible. If a landlord unreasonably refuses a pet request, tenants can escalate the matter to an independent ombudsman service. The ombudsman can order landlords to grant permission for the pet and may also award compensation to the tenant for distress or inconvenience caused by the unreasonable refusal. Persistent or egregious breaches could also lead to enforcement action by local authorities. Further details are available in our article Renters' Rights Act: requests for pets in rented homes.

Breaches of Decent Homes Standard and Rent Repayment Orders

The Renters' Rights Act 2025 extends the Decent Homes Standard to the private rented sector. This standard sets minimum requirements for property condition, including safety, warmth, and state of repair. Local authorities can issue improvement notices and enforce compliance, with penalties for failure to adhere to these notices. A significant consequence of failing to meet the standard, or of other breaches such as illegal eviction or operating an unlicensed HMO, is a Rent Repayment Order (RRO). Tribunals can order landlords to repay up to 12 months' rent to tenants for these breaches. The RRA 2025 expands the circumstances under which RROs can be issued, making it vital for landlords to ensure their properties are safe, well-maintained, and comply with all statutory requirements.

Divergent Rules in Scotland, Wales, and Northern Ireland

The Renters' Rights Act 2025 applies specifically to England. Scotland, Wales, and Northern Ireland have their own distinct legislative frameworks governing private rented sector tenancies, which often include different penalties and enforcement regimes. In Scotland, the Private Housing (Tenancies) (Scotland) Act 2016 governs private residential tenancies, with a Housing and Property Chamber for dispute resolution and penalties. Wales introduced the Renting Homes (Wales) Act 2022, which significantly reformed tenancy law, including specific rules for fitness for human habitation and different notice periods. Northern Ireland operates under the Private Tenancies (Northern Ireland) Order 2006, as amended, with its own compliance requirements and enforcement. Landlords operating in these devolved nations must consult the specific legislation and guidance applicable to their properties.