Renters' Rights Act 2025: What Every Landlord Must Know Before May 2026

What is the Renters' Rights Act?

The Renters' Rights Act 2025 reforms the private rented sector in England. It abolishes Section 21 'no-fault' evictions, ends fixed-term tenancies, creates new possession grounds, and establishes landlord registration requirements.

The Act was originally known as the Renters' Reform Bill and went through multiple iterations before finally passing. It applies to England only—Scotland, Wales, and Northern Ireland have their own tenancy laws.

Key changes:

• Section 21 abolished—no more no-fault evictions
• All tenancies become periodic from day one
• New possession grounds for landlord sale and family occupation
• Rent increases limited to once per year via Section 13
• Private Rented Sector Database for landlord registration
• Private Rented Sector Ombudsman for tenant complaints
• Blanket bans on pets and benefits prohibited
• Awaab's Law extended to private rented sector

When does Section 21 end?

Section 21 is abolished from 1 May 2026. From this date, no new Section 21 notices can be served. A transition period runs until 31 July 2026 for notices already served before abolition.

Key dates:

• Now until 30 April 2026: Section 21 remains valid. You can serve notices.
• 1 May 2026: Section 21 abolished. No new notices can be served.
• 1 May – 31 July 2026: Transition period. Existing valid notices can proceed through court.
• 1 August 2026: All Section 21 routes closed. Section 8 only.

If you've served a Section 21 before 1 May 2026 and started court proceedings, your case can continue through the transition. But any notice that expires without court action by 31 July 2026 becomes invalid.

What replaces Section 21?

Section 8 possession grounds become the only eviction route. New grounds are added for landlord sale and family occupation. All evictions will require a specific reason—you can't end a tenancy just because you want to.

The existing Section 8 grounds remain, with some modifications:

Mandatory grounds (court must grant possession):

• Ground 1: Landlord or family wants to live in the property
• Ground 1A (NEW): Landlord intends to sell the property
• Ground 2: Mortgage lender repossession
• Ground 6: Demolition or major works
• Ground 8: Serious rent arrears (2+ months)

Discretionary grounds (court decides):

• Ground 10: Some rent arrears
• Ground 11: Persistent late payment
• Ground 12: Breach of tenancy
• Ground 14: Antisocial behaviour
• Ground 17: False statement to get tenancy

The key difference: mandatory grounds mean the court must grant possession if you prove the ground. Discretionary grounds mean the court considers whether it's reasonable to grant possession.

How do periodic tenancies work under the new rules?

All assured shorthold tenancies become periodic from day one—there are no fixed terms. Tenants can leave with two months' notice at any time. Landlords can only end tenancies using Section 8 grounds.

This is a fundamental change. Currently, most tenancies start with a 6 or 12-month fixed term. Under the Renters' Rights Act:

• No fixed terms—all tenancies are rolling periodic from the start
• Tenants can give two months' notice to leave at any time
• Landlords must use Section 8 grounds to regain possession
• Initial 12-month restriction on using sale/family grounds

What this means in practice:

A tenant could theoretically move in and give notice to leave two months later. This concerns some landlords, but in practice most tenants want stability too. The bigger impact is that you can no longer rely on the end of a fixed term to regain possession.

Existing fixed-term tenancies will convert to periodic tenancies when the Act takes effect. If you have a tenant on a 12-month fixed term that runs beyond May 2026, it becomes periodic. Read our full guide on managing periodic tenancies after the Renters' Rights Act.

How can I increase rent after the Act?

Rent increases must use Section 13 notices only. You can increase rent once per 12 months. The tenant can challenge the increase at the First-tier Tribunal, which assesses whether the proposed rent reflects market rate.

Currently, landlords can include rent review clauses in tenancy agreements or negotiate increases at fixed-term renewal. Under the Renters' Rights Act:

• Section 13 becomes the only legal way to increase rent
• Maximum one increase per 12 months
• Must give at least two months' notice (increased from one month)
• No rent review clauses allowed
• No negotiated increases outside Section 13

Tribunal changes:

If a tenant refers your rent increase to the tribunal, the tribunal will assess whether it reflects the market rent. Under the new rules, the tribunal can set the rent at the market rate—they can't go higher than you proposed, but they might agree with your figure even if the tenant disputes it.

The Act also prevents "rent bidding" where prospective tenants are asked to offer above the advertised rent.

What are the new grounds for possession?

Two new mandatory grounds are added: Ground 1A for selling the property and expanded Ground 1 for family occupation. Both require at least 12 months of tenancy first and four months' notice.

Ground 1A: Landlord intends to sell

• Mandatory ground—court must grant possession
• Can only use after tenant has been in property for 12 months
• Must give four months' notice
• Must demonstrate genuine intention to sell
• Property must be marketed within a set timeframe
• Penalties if you re-let within 12 months instead of selling

Ground 1: Landlord or family occupation (expanded)

• Mandatory ground
• Can use after 12 months of tenancy
• Four months' notice required
• Must intend to occupy as your own or family's home
• Penalties if you re-let within 12 months

The 12-month restriction means you can't use these grounds immediately. If you buy a property with a sitting tenant, you'd need to wait a year before seeking possession for sale or family use.

What is the Private Rented Sector Database?

A new mandatory database where all landlords in England must register themselves and their rental properties. You won't be able to serve possession notices if you're not registered. Launch timeline to be confirmed.

The database aims to:

• Create a comprehensive register of landlords and rental properties
• Give tenants information about landlords and properties before renting
• Help local authorities identify non-compliant landlords
• Replace multiple existing registration schemes with one national system

What you'll need to register:

• Your identity and contact details
• Property addresses
• Compliance information (gas safety, EICR, EPC status)
• Any enforcement actions against you

Consequences of not registering:

• Cannot serve valid possession notices
• Cannot increase rent
• Financial penalties

The database isn't live yet, with an expected launch in late 2026 (Phase 2 of the implementation roadmap). Registration fees are expected but amounts haven't been confirmed. Read our full guide on PRS Database registration requirements.

What is the Private Rented Sector Ombudsman?

A new ombudsman for the private rented sector that all landlords must join. Tenants can complain about landlord behaviour, and the ombudsman can order compensation up to £25,000. Membership will be mandatory.

Currently there's no ombudsman for private landlords (only for letting agents). The new PRS Ombudsman will:

• Handle tenant complaints about landlord behaviour
• Investigate disputes without going to court
• Order compensation up to £25,000
• Require landlords to take specific actions
• Report persistent offenders to local authorities

Membership will be compulsory. If you're not a member, you can't serve valid possession notices. Fees are expected but not yet confirmed—likely an annual membership based on portfolio size.

What are the penalties for non-compliance?

Financial penalties up to £40,000 for serious breaches. Rent Repayment Orders can require landlords to repay up to 24 months' rent. Criminal prosecution possible for the worst offences.

Civil penalties (local authority issued):

• Up to £7,000 for first offence
• Up to £40,000 for repeat offences
• Applied per breach, can accumulate

Rent Repayment Orders:

• Tenant can apply to tribunal
• Up to 24 months' rent must be repaid
• Applies if landlord commits certain offences

Criminal prosecution:

• For unlawful eviction
• For harassment
• Unlimited fines and up to 2 years imprisonment

The Act also creates new offences for misusing the sale and family grounds. If you claim you're selling but then re-let within 12 months, you face penalties.

Implementation phases: how the Act rolls out

The government published its implementation roadmap on 13 November 2025. The Act rolls out in three phases between May 2026 and 2028+.

Phase 1 — 1 May 2026:

• Section 21 abolished — no new no-fault eviction notices
• All tenancies become periodic from day one
• New possession grounds for sale and family occupation take effect
• Rent increases restricted to annual Section 13 notices
• Blanket bans on pets and benefits tenants prohibited
• Discrimination against families with children banned
• Landlords must provide government Information Sheet to new tenants
• Existing tenants must receive Information Sheet by 31 May 2026

Phase 2 — Late 2026:

• Private Rented Sector Database launches
• All landlords must register themselves and their properties
• Cannot serve possession notices or increase rent without registration
• Tenants can check landlord compliance before renting

Phase 3 — 2028 onwards:

• PRS Ombudsman becomes operational — mandatory membership
• Awaab's Law extended to private rented sector
• Decent Homes Standard applied to private rentals (expected by 2035)