Renters’ Rights Act – Where are we now - January 2026

Reform of the private rented sector (PRS) is underway. The Renters’ Rights Act (the Act) received Royal Assent on 27 October 2025. The Act is now being implemented in three main phases. The first phase, which contains arguably the Act’s key provisions, is due to be implemented on 1 May 2026. This window allows some time for tenants, landlords and agents to make sure that they are prepared for the changes.

In this article we summarise the key features of the Act, the phases of implementation and highlight 10 key things landlords may wish to consider now, to ensure compliance with the Act.

Key features of the Act

Tenancy agreements – which ones does the Act apply to?

The Act applies to all residential assured tenancies granted before or after 1 May 2026, which meet the following criteria:

The tenant (an individual, not a company) is occupying the property as their only or main home
The rent is more than £250 per annum (£1,000 in greater London) and less than £100,000 per annum
The original term of the tenancy does not exceed 21 years.

The Act does NOT apply to:

Residential fixed term tenancies with an original term of between 7 and 21 years granted before 27 October 2025 or during the period from 27 October 2025 to 26 December 2025, or pursuant to a contract entered into before the end of that period
Some specific types of residential tenancies (including some student and agricultural lettings).

Tenancy agreements – the abolition of assured shorthold tenancies (“ASTs”)

New Tenancies – From 1 May 2026 it will no longer be possible to grant a new tenancy of a residential property for a fixed term of under 21 years if the criteria set out above are met. All tenancies granted will be assured periodic tenancies (APTs). APTs will run from rental period to rental period.

Existing tenancies – all existing tenancies that meet the criteria set out above will convert to APTs and continue on a rolling basis with no end date.

Tenants will benefit from greater flexibility and will only need to provide two months’ notice to end their tenancy.

Landlords obtaining possession – the abolition of s.21 “no fault evictions”

The Act abolishes no fault evictions and introduces alternative grounds on which landlords may rely to evict tenants.

If a valid section 21 notice is served prior to 1 May 2026, there are transitional provisions under the Act that will allow landlords to use the section 21 procedure up to a final deadline of 31 July 2026. This is the latest date on which a landlord can bring an application to the court for possession if required.

The statutory possession grounds are strengthened. Some grounds will be mandatory and some discretionary. For example, landlords will be able to obtain possession if they wish to sell, move into or redevelop their property. Each new possession ground has its own minimum notice period.

The Act will also provide tenants will greater notice periods when facing eviction.

For Government guidance see – https://www.gov.uk/guidance/renting-out-your-property-guidance-for-landlords-and-letting-agents/giving-notice-of-possession-to-tenants-before-1-may-2026

Rent – the introduction of annual rent increases, limited to the market rate

Landlords will be required to publish an asking rent and will be prohibited from accepting offers above this rate. This is to prevent bidding wars. This carries a £7,000 maximum penalty if breached. Further, no more than one month’s rent can be requested or accepted in advance.

Rent can be increased by the landlord but only once every 12 months and a formal notice procedure (Section 13) must be followed and two months’ notice must be given. The tenant can challenge the increase in the First Tier Tribunal (FTT) and they can determine if the rent is based on the open market. Contractual rent reviews can no longer be included in the tenancy.

Ombudsman – the introduction of a new ‘Private Rented Sector Landlord Ombudsman’

All private landlords will be legally required to join a new Private Rented Sector Landlord Ombudsman service, even where a managing agent is instructed. The platform is intended to allow tenants to raise a complaint about the behaviour or actions of their landlord.

Database – the creation of a ‘Private Rented Sector Database’

The private rented sector database is intended to be a one-stop shop for landlords. The database will set out information regarding landlords’ obligations and properties. It will be mandatory for landlords to sign up and they will be required to pay an annual fee. Information including: address, EPC rating, Gas Safety Certificate

Electrical Installation Condition Report, licensing status and compliance with safety regulations will need to be provided when registering. These registration requirements will begin in 2026.

The Decent Homes Standard (DHS) and Awaab’s Law

A new DHS based on the standards applicable to social housing will be introduced to the PRS. However, this is likely to be implemented around 2035. Awaab’s Law will also then be applied to the PRS, meaning that landlords must investigate and address health hazards (such as mould). The Government has not yet given a clear indication on timing of implementation here.

Discrimination

The Act will prohibit discrimination in relation to tenants in receipt of benefits or with children and gives tenants greater rights to request a pet.

Implications of non-compliance

There are more offences that can be committed by a landlord. There are fines ranging from £7,000 to £40,000 for from serving incorrect notices to reletting before you should.

Implementation of the Renters Rights Act

The Government published its “roadmap” on the 13 November 2025, stating the phases for implementation:

Phase 1 (May 2026):

Section 21 ‘no fault’ evictions will be abolished
New and existing tenancies will become APTs
Rent increases are to be limited to annually
Rental bidding to be banned
Landlords will not be able to request more than one month’s rent in advance
Discrimination against tenants with children or in receipt of benefits outlawed
Landlords will have to consider tenant requests to have a pet.

Phase 2 (late 2026):

Introduction of the Private Rented Sector Database and the Private Rented Section Ombudsman.

Phase 3 (subject to further consultation):

The introduction of a Decent Homes Standard (“DHS”) and introduction of Awaab’s Law.

10 things landlords should start to think about ahead of the Renters Rights Act coming in

Reviewing their portfolios – to assess which lettings are affected by the Act. Landlord should consider at this point the future plans they have for their property and how they can be achieved under the Act.
Reviewing tenancy agreements – to remove outdated clauses (for example, s.21 notices, rent reviews and advanced payment clauses) from precedents and consider what information now needs to be provided to your tenants. https://www.gov.uk/guidance/renting-out-your-property-guidance-for-landlords-and-letting-agents/tenancy-agreements-written-information-for-your-tenant.
Prepare to register for the PRS database – collating documents such as up-to-date EPC’s, safety certificates, deposit records, prescribed information etc. as these are anticipated to be required as part of the PRS Database registration.
Think about obtaining possession – consider whether to serve a Section 21 or Section 8 notice in good time prior to 1 May 2026, if landlords intend to recover possession of property.
Inspecting the state and condition – of their properties to assess whether any works are required (or likely to be required) to comply with the Act and ultimately the Decent Homes Standard.
Think about advertising wording – stop “no benefits” or “no children” advertisement and be ready to list the actual asking rent so as not to invite bidding wars. Also think about pets, as landlords now need to consider requests for pets.
Review rent increase process – a landlord can now only raise rent once a year with at least two months’ notice (Section 13), linked to market rates. Landlords need to understand and prepare for this process.
Check their tenancy deposit scheme – existing obligation for landlords to use a Tenancy Deposit Scheme (TDS) remains, with added penalties for non-compliance. Landlords should check compliance under the Act.
Think about insurance – obtaining possession may take longer than before. Therefore, it is important to review your insurance to understand exactly what is covered in light of the Act.
Check in with your agent – to ensure they are ready for these changes.

Landlords should also be checking the available Government Guidance (including but not exclusively) –

Summary

These changes are far reaching and wide ranging. The pace of change will be swift and landlords, tenants, courts and local authorities will need to get on top of these wide ranging and technical changes quickly in order to avoid a breach.

Our specialised Real Estate and Real Estate Disputes team are here to help.

Learn more about how we can help you: get in touch today

Renters’ Rights Act – Where are we now – January 2026