MPs have officially passed the long-awaited Renters’ Rights Bill, marking one of the biggest shake-ups in rental law for a generation. This new legislation will soon come into force, transforming how landlords manage tenancies across England. Here’s what you need to know and how to prepare for the changes.
How is the law changing?
The Renters’ Rights Bill applies to England only and is described as the most significant reform to the private rental sector in decades. Fixed-term tenancies (often known as Assured Shorthold Tenancies or ASTs) will be replaced with open-ended, rolling periodic tenancies – likely to be known as Section 4A tenancies. Tenants will be able to leave at any time by giving two months’ notice.
Landlords will no longer be able to evict tenants without cause, as Section 21 ‘no fault’ evictions are set to be banned. However, a new Section 8 eviction process will be introduced, outlining clearer and fairer grounds for possession when eviction is necessary.
Landlords will still be permitted to regain possession if they intend to sell their property, though the property cannot be relet within 12 months if it does not sell. There will also be specific provisions for student HMOs, allowing landlords to end tenancies at the close of the academic year, provided certain conditions are met.
Additional changes include:
- A limit on rent being paid in advance beyond one month (in addition to the deposit)
- Clearer rules on rent increases and guarantors
- A ban on rental discrimination and bidding wars
- A new Private Rented Sector (PRS) database, which all landlords will need to register with
- A new PRS Ombudsman and redress scheme
- Compliance with the Decent Homes Standard, setting minimum property conditions and new rules on damp and mould
- Greater enforcement powers for local councils
Another key change under the rights bill is that tenants will have the right to request a pet, and landlords will not be able to refuse unreasonably. Although an earlier proposal required tenants to take out pet insurance, this did not make it into the final version of the law.
When will the changes take effect?
The next step is for the Bill to receive Royal Assent, becoming the Renters’ Rights Act. This could happen within days.
However, landlords should note that these changes will not all take effect immediately. Instead, they will be phased in gradually over time.
In the final parliamentary debate, Housing Minister Matthew Pennycook confirmed that “we will set out our implementation plans as soon as possible.”
It is expected that the transition to new periodic tenancies and the Section 21 ban will be among the first priorities. These measures could take effect as early as spring 2026 and will apply to both new and existing tenancies. The Government has also indicated that there will be a three-month grace period before the Section 21 ban takes full effect.
Other measures, such as the PRS database and Ombudsman scheme, will take longer to introduce, as the operational details are still being finalised. The new Decent Homes Standard is not expected to be fully implemented until at least 2035.
What landlords should do now
The passing of the Renters’ Rights Bill marks a turning point for landlords and letting agents. While the scale of change is significant, there is time to prepare.
Start by reviewing your property portfolio. Consider whether you are happy for your current tenants to remain long term, whether your rent levels are aligned with market trends, and whether your property management systems are up to date.
Seek expert advice if needed, particularly around tenancy agreements, eviction processes, and compliance. This article is intended for general information only and does not constitute legal advice.
Taking proactive steps now will help ensure a smooth transition when the new rules come into force.
If you would like to learn more about how our letting and property management services can support you through the changes introduced by the rights bill, please get in touch with our team today.
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