The Government has confirmed that the Renters’ Rights Act is set to take effect in May 2026. These reforms will bring the biggest change to the private rental market in more than 30 years, with wide-ranging implications for landlords across England.
The Act is designed to offer greater protection to tenants and improve the standard of rented homes. However, it also introduces new duties, limits, and enforcement powers that will require landlords to prepare carefully to avoid financial penalties and delays when recovering possession.
What is happening to Section 21 evictions?
One of the most significant changes is the abolition of Section 21 “no-fault” eviction notices. From May 2026, landlords will no longer be able to regain possession through Section 21. All possession claims will instead need to be made under Section 8, which requires the landlord to prove a valid statutory ground such as:
- rent arrears
- breaches of tenancy terms
- intention to sell or move family into the property.
Although some Section 8 grounds will be expanded, landlords will need clear records and strong tenancy management to support any possession claim moving forward
Assured Shorthold Tenancies to be replaced with open-ended agreements
The Renters’ Rights Act will also phase out Assured Shorthold Tenancies (ASTs). Instead, all new tenancies will become periodic and open-ended. This means:
- there will no longer be a fixed end date
- landlords will only be able to rely on statutory grounds to recover possession.
This shift places greater emphasis on accurate paperwork, updated tenancy agreements, and maintaining tenancy files that can evidence breaches or justified possession claims.
New rules on rent increases
The Act introduces a statutory process for rent increases. Landlords will no longer be able to rely on contractual rent review clauses. Key changes include:
- rent can only be increased once per year
- extended notice requirements will apply
- tenants will have the right to challenge increases via tribunal.
Landlords who frequently use contractual increases or index-linked clauses will need to review their current practices and prepare for more scrutiny of rent rises.
Additional rights for tenants
The Renters’ Rights Act also expands tenant protections and creates new barriers to refusal. These include:
- tenants can request to keep pets, and landlords must not unreasonably refuse (though pet damage insurance may be requested)
- landlords will be prohibited from discriminating against tenants receiving benefits or with children
- competitive rental bidding will be banned.
These changes are aimed at promoting a fairer and more inclusive rental market, making it crucial for landlords to update their tenant-screening policies.
New compliance duties for landlords under the Renters’ Rights Act
From May 2026, Landlords will face expanded compliance requirements, including:
- providing a written statement of key tenancy terms before the start date
- compulsory membership in an approved redress scheme
- mandatory registration on a Private Rented Sector Database.
The Act will also extend the Decent Homes Standard to private landlords, meaning all rental properties must meet minimum standards for repair, safety, and habitability. In addition, Awaab’s Law will require urgent investigation and remediation of housing health risks such as damp and mould.
Local authorities will be given powers to enforce these standards and issue financial penalties.
Landlord penalties for breaches
Failure to comply with the Act could be costly. Local authorities will be able to issue:
- fines of up to £7,000 for administrative breaches, such as failing to provide tenancy terms or failing to register with the PRS database
- fines of up to £40,000 for unlawful evictions or persistent failure to meet housing standards.
Landlords should review their properties and management procedures now to ensure they do not fall foul of the new enforcement regime.
What can landlords do to prepare for the Renters’ Rights Act?
Whilst there will be some transitional provision with Section 21 notices served before May 2026 remaining valid for a limited period, landlords must act promptly, as delay could prevent them from relying on no-fault eviction altogether.
With commencement of the Renters’ Rights Act regulations due within six months, landlords can prepare now by undertaking the following:
- review and update tenancy documents for periodic agreements
- consider whether a Section 21 notice should be served before the deadline
- prepare to register with the PRS Database and join a redress scheme
- assess properties to ensure they meet the Decent Homes Standard
- examine possession strategies based solely on Section 8.
Proactive planning now will help avoid legal disputes and costly delays once the Act takes effect.
Ralli Solicitors LLP’s Commercial Litigation team are here to help
If you are a landlord and require advice on the Renters’ Rights Act, contact our team of dedicated commercial litigation experts, headed up by Partner Gareth Jones.
We can assist with assessing your best route to recover possession under the current rules, ensuring that any Section 21 notices served before 1 May 2026 are valid, and helping you prepare for your rights and responsibilities under the new regime. You can reach us by phone on 0161 832 6131 or by email at enquiries@ralli.co.uk.
In the meantime, you can learn more about our Commercial Litigation legal services here: Civil Litigation & Dispute Resolution | Ralli Solicitors LLP.
For further information on the Renters’ Rights Act, please see links below:
GOV.UK: https://www.gov.uk/government/news/historic-renters-rights-act-becomes-law
Legislation - Renters’ Rights Act 2025 (c.26): https://www.legislation.gov.uk/ukpga/2025/26/enacted
Shelter guide on rent challenge rights: https://england.shelter.org.uk/housing_advice/private_renting/renters_rights_act_changes_for_private_renters
Department for Communities and Local Government. A Decent Home: Definition and guidance for implementation (June 2006 update): COVER