Renters' Rights Bill

Navigating the Renters’ Rights Act: A Practical Guide for Landlords

Navigating the Renters’ Rights Act: A Practical Guide for Landlords

Coming into force from 1st May 2026, the Renters’ Rights Act represents the most significant reform of the private rented sector in recent years. It is intended to improve housing standards and make renting more secure by protecting tenants from unfair evictions.

This Q&A has been prepared by Eccord to help landlords understand what is changing, when those changes will happen and how the management of your rental property will be impacted.

Our expert team will guide all our landlords through the transition and manage these changes on your behalf.

Who does the Act apply to?

The Act applies to Assured Shorthold Tenancies (ASTs) with rent below £100,000 p/year (£1,932 p/week).

Exempt tenancies include:

• Company lets
• Tenancies with annual rent above £100,000
• Resident landlord arrangements (e.g. renting rooms to lodgers)
• Holiday lets, serviced apartments and short-term lets (e.g. Airbnb)

At a glance: The key points for landlords

1. Section 21 ‘no-fault’ evictions will end from 1st May 2026

2. Possession grounds remain for arrears, selling the property and personal occupation

3. All tenancies will move to Assured Periodic Tenancies (rolling tenancies)

4. Rent increases will be limited to once per year at market value

5. Minimum property standards will be introduced with stricter enforcement

6. Strengthened measures will be introduced to prevent rental discrimination

What are the key changes?

1. End of Section 21 ‘no fault’ evictions

• No-fault evictions will be abolished, meaning a landlord can no longer end a tenancy without clear reason.
• Currently landlords can serve a Section 21 notice to regain possession of the property without providing justification, for example if they simply don’t like the tenant or if they feel they are too messy.
• Once the Act comes into force, landlords will still be able to regain possession, but they will need to provide specific grounds in order to terminate a tenancy.

2. Possession grounds: how landlords can regain possession

Section 8 notices, used by landlords to evict tenants, will continue to be valid on specific grounds, for example rent arrears, anti-social behaviour or tenancy breaches. Landlords must serve a Section 8 notice, citing the relevant grounds for possession.

Notice periods vary depending on the grounds used, e.g. for Ground 1, a minimum 4-month notice period may be served at month 8 of the tenancy at the earliest, with the notice period concluding once the tenant has been in occupation for at least 12 months.

Common grounds include:

What if I plan to sell my property?

Landlords must serve a Section 8 notice under Ground 1A, providing a minimum of 4 months’ notice. Notice can be served from 8 months onwards, with the notice period concluding once the tenant has been in occupation for at least 12 months.

If possession is obtained under Ground 1 or 1A, the property cannot be re-let as a residential tenancy for 12 months from the date the notice expires, or possession proceedings are issued.

3. New Tenancy Structure

Assured Shorthold Tenancies (ASTs) will transition to Assured Periodic Tenancies (APTs) automatically on 1st May 2026. APTs are open-ended, rolling tenancies with no fixed termination date and as a result, fixed-term tenancies will no longer apply.

As a result, traditional tenancies such as a 12-month tenancy with a 6-month break clause will cease to exist.

How can a tenant end their tenancy – and how soon?

Tenants can end the tenancy at any time by giving two months’ notice, or less than two months’ notice if both parties consent, but the notice must expire in line with the rent payment date.

In practice, this means a tenant could serve notice in the first month of the tenancy, by giving two months’ notice and therefore could vacate as early as three months after the tenancy started. This means there is technically no minimum tenancy term from the tenant’s perspective, beyond the minimum notice period.

It will remain to be seen whether tenants move around more often, but they will have much more flexibility to do so. There are costs and upheaval associated with moving so this may deter them, but it means they will be able to leave a property if the experience or condition isn’t what they were expecting. Maintaining high property standards will therefore be more important than ever in retaining long term tenants.

4. Rent increases

At a glance: Rent increases and changes

• Rent can only be increased once per year, on the tenancy anniversary
• Increases must be served via a Section 13 notice
• Minimum rent increase notice period is two months (three months recommended)
• Rent must reflect open market value and tenants can challenge unfair increases
• End of over asking price offers
• Limit to upfront rental payments

A Section 13 notice can be served by the landlord or their managing agent to notify the tenant of a rent increase. Section 13 can only be served once within a 12-month period and can only take effect on the anniversary of the commencement of the tenancy. The tenant must be given at least two months’ written notice prior to the effective date of the increase.

As your managing agent, Eccord will determine market value using comparable properties recently let within the area, considering similarity in size, location and specification.

Tenants’ rights to challenge rent increases

If a tenant believes the increase exceeds market value, they will be able to challenge it at a First-Tier Tribunal. The rent will remain at the original amount until the tribunal makes a decision. If the increase is approved, the higher rent will apply going forward and will not be backdated.

It is not yet known how long the challenge process could take, therefore landlords are advised to take advice from their managing agent for appropriate rent increase levels or be knowledgeable about market rents if self-managing.

End of over asking price offers

Landlords and agents cannot request or accept offers above the advertised rent. This is to prevent bidding wars in which tenants compete by offering higher rents. Councils will enforce this, and breaches could lead to fines for landlords or agents.

Limit to upfront rental payments

The initial upfront rent payment required from tenants is limited to one month’s rent. This means that landlords can no longer insist on say 6 or 12 months’ rent upfront in situations where a tenant doesn’t pass financial referencing, for example if they are an international student, self-employed or have unconventional earning patterns.

Once the tenancy has begun, tenants may choose to pay rent in advance if this is their preference, but this decision must be made freely and cannot be required or imposed by the landlord as a condition of the tenancy.

Protecting against rent arrears and breach of contract

We recommend Rent and Legal Protection insurance for landlords as it can provide valuable protection in cases such as arrears, legal disputes or tenancy breaches.

In the rare cases that tenants fall into rent arrears, this is usually due to unforeseen circumstances e.g. illness or redundancy. Eccord has a rent and legal protection policy which our landlords can opt into for a monthly cost if they would like additional peace of mind.

5. Minimum Home Standards

The Decent Homes Standard sets minimum standards for rental properties, requiring them to be safe, warm and in a reasonable state of repair. Landlords who fail to comply with enforcement action can be subject to a civil penalty or criminal prosecution. The tenant can also apply to the First-tier Tribunal for a rent repayment order.

Awaab’s Law requires landlords to carry out urgent repairs, such as those affecting health and safety, and emergency hazards within a legally defined timeframe. We can help ensure these timeframes are met by promptly organising maintenance and repairs via our trusted network of experienced and independent contractors.

A Landlord Ombudsman and Private Rented Sector Database will be formed at the end of 2026 which all landlords will be required to join for a fee. We will update you on next steps as more information becomes available.

6. Reduced discrimination

Landlords are not permitted to automatically reject prospective tenants simply because they have children, own pets or receive benefits. However, landlords may still make decisions based on legitimate factors such as affordability, references and the overall suitability of the tenant.

Decisions must be documented and if a tenant feels they have been discriminated against, they can raise a complaint with the Ombudsman.

Landlords will need to be even more cautious and stringent with credit checks, employment verification and guarantor requirements.

What are the new rules around pets?

Landlords cannot unreasonably refuse a tenant’s request to keep a pet, and tenants may challenge refusals they consider unfair. Refusal may be reasonable where a lease specifically prohibits pets. Further government guidance on how this will be addressed in practice is expected and we will share this in due course.

How will disputes be handled?

• Local authorities will have enhanced enforcement powers
• Private Rented Sector Landlord Ombudsman will provide binding dispute resolution
• First-tier Tribunal will continue to handle any tenant rent disputes
• National Landlord Database will support transparency and compliance
• Courts will continue to handle possession proceedings

Will my costs increase?

For landlords who are already compliant, any additional costs such as annual membership fees for the Landlord Ombudsman and the PRS database (exact amounts are still to be confirmed) are likely to be minimal.

The best way to mitigate risk under the new framework is to ensure the property is well managed and fully compliant. Our team is focused on ensuring properties across our portfolio meet the required standards. Landlords should be aware that non-compliance may result in significant penalties.

Is new paperwork required?

For existing tenancies, we will manage the transition to Assured Periodic Tenancies (APTs) on behalf of landlords by providing tenants with the government prescribed one-page document explaining the automatic transition. They will not be required to sign a new tenancy agreement.

All new tenancies will be issued with the Assured Periodic Tenancy Agreement from the 1st May.

What are the key implementation dates?

• April 2026 Phase 1 guidance published for tenants and landlords
• 30 April 2026 Last date to serve Section 21 notices
• 1 May 2026 New regime begins; all tenancies convert to Assured Periodic Tenancies
• 31 May 2026 Deadline for providing existing tenants with updated tenancy information. We will ensure this information is sent on behalf of our landlords.

• Late 2026 Rollout of the Private Rented Sector Database and Landlord Ombudsman
• 2035 – 2037 Phased rollout of Awaab’s Law and the Decent Homes Standard

We are here to help

We combine one of the industry’s most robust tenant screening processes with expert market-led rental valuations and proactive, hands-on property management so you can be confident you and your property will seamlessly transition to the new system.

If you have any questions, please don’t hesitate to get in touch.

Contact us:

Please contact us if you have any questions or would like to discuss this further:

Catriona Mackay, Senior Rental Specialist
catriona.mackay@eccord.com
+44 (0)7464 197 983
+44 (0)20 7244 4488