Renters' Rights Act 2025

Why it matters

This Act represents the most significant change to residential landlord-tenant law in England for decades, shifting the balance significantly towards tenants. Landlords must proactively understand and implement the new requirements to avoid costly legal disputes, financial penalties, and potential prosecution. Failure to comply with registration, ombudsman membership, or proper eviction procedures could lead to serious consequences, impacting a landlord's ability to manage their properties and recover possession.

Legal requirements

• All new and existing assured tenancies in England automatically convert to assured periodic tenancies from the commencement date, removing fixed terms.
• The use of 'no-fault' Section 21 notices for possession is abolished, requiring landlords to rely on specific, statutory possession grounds.
• Rent increases are restricted to once per year, must be served via a Section 13 notice, and tenants gain the right to challenge unreasonable increases at the First-tier Tribunal.
• Landlords must become members of a new, mandatory, government-approved ombudsman scheme covering all private landlords in England.
• All privately rented properties and landlords in England must be registered on a new national landlord database, known as the Property Portal.
• The Decent Homes Standard and Awaab's Law, focusing on property conditions and prompt action on hazards, are extended to the private rented sector.
• Landlords are prohibited from operating blanket bans against prospective tenants who are receiving benefits or have children.
• Changes are introduced to some existing possession grounds and new grounds are created, such as for persistent serious rent arrears.
• It remains a legal requirement for landlords to protect any tenancy deposit in a government-approved scheme and serve prescribed information.
• Landlords must ensure their property meets electrical safety standards, gas safety standards, and has a valid Energy Performance Certificate (EPC).

Common mistakes

• Attempting to serve a Section 21 notice after the commencement date, which will be invalid.
• Failing to update tenancy agreements to reflect the new periodic tenancy model, leading to confusion and potential unenforceability.
• Implementing rent increases more frequently than once a year or without using the correct Section 13 notice.
• Not registering with the new landlord ombudsman scheme or the national Property Portal once these become mandatory.
• Applying blanket bans against benefit claimants or families, which is now unlawful discrimination.
• Neglecting to address property maintenance issues promptly, risking breaches of the Decent Homes Standard or Awaab's Law.
• Failing to understand the revised and new possession grounds, leading to unsuccessful court applications for possession.
• Not providing tenants with accurate information on their rights to challenge rent increases at the First-tier Tribunal.
• Overlooking the requirements for serving valid Section 8 notices, including correct dates and accompanying particulars.
• Continuing to charge prohibited fees to tenants, which is already unlawful under the Tenant Fees Act 2019.

Practical guidance

• Review and update all tenancy agreement templates to align with the new periodic tenancy model and remove references to fixed terms.
• Familiarise yourself with the revised possession grounds and understand when each ground can legitimately be used for seeking possession.
• Adjust your rent review processes to ensure increases are only sought once a year and that the correct Section 13 notice is always used.
• Prepare for the mandatory registration on the new Property Portal and membership of the landlord ombudsman scheme by staying informed on their launch dates.
• Implement robust maintenance and repairs procedures to ensure compliance with the Decent Homes Standard and Awaab's Law, documenting all actions.
• Update your tenant selection criteria to remove any discriminatory practices, such as blanket bans against benefit claimants or families.
• Provide clear information to tenants about their rights, including the process for challenging rent increases via the First-tier Tribunal.
• Train staff or educate yourself on the proper procedures for issuing a valid Section 8 notice, including detailing the specific ground(s) relied upon.
• Consult legal professionals or accredited landlord bodies to ensure full compliance with the Act before its main provisions take effect.
• Keep detailed records of all communications, repairs, and notices served, as these will be crucial if possession proceedings become necessary.

Abolition of Section 21 and Fixed-Term Assured Tenancies

One of the most significant changes introduced by the Renters' Rights Act 2025 is the abolition of 'no-fault' Section 21 evictions. This means landlords in England can no longer end an assured tenancy without providing a statutory reason. Instead, landlords must rely on one of the specific grounds for possession, which are now contained within an updated Section 8 of the Housing Act 1988. Simultaneously, the Act converts all assured tenancies, both new and existing, into periodic tenancies from the commencement date. This eliminates the concept of a fixed term within assured tenancies, giving tenants greater security and flexibility. The change simplifies the tenancy structure, making all assured tenancies ongoing with rent usually paid monthly, until either the tenant decides to leave or the landlord can establish a valid ground for possession.

New and Reformed Possession Grounds

With the abolition of Section 21, the Renters' Rights Act 2025 introduces new possession grounds and strengthens existing ones under Section 8. These grounds ensure landlords can still regain possession in legitimate circumstances, such as when tenants breach the tenancy agreement or if the landlord genuinely needs the property back for specific reasons. Examples of reformed grounds include those for serious rent arrears, where the threshold for arrears may be adjusted, and new grounds for persistent serious arrears. There are also grounds for landlords who wish to sell the property or move into it themselves or house close family members. Specific grounds also exist for anti-social behaviour or for where a tenant has seriously breached other terms of the tenancy. It is crucial for landlords to understand the specific criteria and notice periods associated with each ground before initiating possession proceedings.

Rent Increases and the First-tier Tribunal

The Act introduces important changes regarding rent increases for assured periodic tenancies. Landlords are restricted to increasing rent only once every 12 months. Any rent increase must be proposed using a Section 13 notice, giving the tenant at least one month's notice, or longer if specified in the tenancy agreement. A key tenant protection introduced is the enhanced right to challenge proposed rent increases. If a tenant believes a proposed rent increase is unreasonable, they can refer the matter to the First-tier Tribunal (Property Chamber). The Tribunal has the power to determine the market rent for the property, and this decision is binding on both landlord and tenant. Landlords should ensure any proposed increases are justifiable and reflect current market conditions to avoid disputes and Tribunal involvement, which can be time-consuming and costly.

Landlord Ombudsman, Property Portal, and Decent Homes Standard

The Renters' Rights Act 2025 mandates all private landlords in England to join a new, government-approved ombudsman scheme. This scheme will provide an accessible and impartial platform for resolving disputes between landlords and tenants without resorting to court action, for issues like repairs, maintenance, or service quality. Furthermore, a new national Property Portal will be introduced, requiring all private landlords and their properties to be registered. This database aims to provide greater transparency and accountability within the sector. The Act also extends the Decent Homes Standard, previously applicable mainly to social housing, to the private rented sector. This means privately rented homes must meet certain minimum standards for safety, repairs, energy efficiency, and modern facilities, reinforcing a landlord's duty to provide a home that is fit for human habitation, as established by the Homes (Fitness for Human Habitation) Act 2018. The associated 'Awaab's Law' also places explicit duties on landlords to address hazards like damp and mould within strict timescales.

Rules in Scotland, Wales, and Northern Ireland

It is important to note that the Renters' Rights Act 2025 applies specifically to England. Devolved nations have their own distinct legislative frameworks for private rented housing. In Scotland, the Private Housing (Tenancies) (Scotland) Act 2016 introduced the 'Private Residential Tenancy', which is a periodic tenancy from the outset and largely abolished 'no-fault' evictions, similar to the new English model. Wales has the Renting Homes (Wales) Act 2022, which came into force in December 2022, converting most assured tenancies into 'occupation contracts' which are also primarily periodic and removed 'no-fault' evictions for six months after an initial 14-day notice. Northern Ireland operates under its own distinct housing legislation, primarily the Private Tenancies (Northern Ireland) Order 2006, which has different rules regarding fixed terms, evictions, and rent increases. Landlords operating in these nations must consult the relevant national legislation and guidance.