Rental reform legislation is only a month or two away, are you ready?

Now awaiting Royal Assent, the Bill is the biggest shake up to the housing rental market in recent history and is likely to come into effect in early 2026 which is only a few months away. The main takeaways are that Section 21 evictions will be abolished and all Assured Shorthold Tenancies (ASTs) will become periodic, meaning tenancies will not have a set end date, instead tenancies will be rolling monthly or weekly. Tenants will be able to give two months’ notice at any time.

Landlords will no longer be able to serve “no-fault” eviction notices to regain possession of their properties. Instead there is an expansion of Section 8 possession grounds – the Government is adding and updating both mandatory and discretionary grounds due to the abolition of Section 21. Mandatory grounds include if the landlord wishes a family member to move into the property or the landlord intends to sell the property. Both these grounds can only be served after the tenancy has exceeded 12 months. Another ground is if the tenant has committed serious anti-social behaviour or if the tenant does not have a right to rent or permission to live in the country. If a mandatory ground is proven, the court must grant possession to the landlord with a notice period from two weeks to four months.

Discretionary grounds are decided by the court whether the eviction is justified and include if the tenant is constantly late paying the rent but is not in rent arrears, if the tenant has breached the tenancy agreement, if they were given the tenancy with a false statement or if the tenant or adult at the property has been convicted of an indictable offence during a UK riot.

Rented Database of Landlords

Other changes include a mandatory private rented database of landlords and properties to provide transparency to tenants and a landlord ombudsman to help resolve disputes between landlords and tenants impartially.

The Renter Rights’ Bill main changes you should know:

• Limit rent increases – The shift to periodic tenancies means Section 13 notices will be the only way for landlords to raise the rent; these can only be served once per year.
• Abolish Section 21 evictions – Landlords will no longer be able to serve “no-fault” eviction notices to regain possession of their properties.
• Expand Section 8 possession grounds – The Government is adding and updating both mandatory and discretionary grounds due to the abolition of Section 21.
• Ban rental bidding wars – Landlords and agents can’t accept offers above the advertised price.
• Introduce a landlord ombudsman – This will help resolve disputes between landlords and tenants impartially.
• Create a private rented sector database – Designed to compile information about landlords and properties and provide visibility on compliance.
• Apply the Decent Homes Standard – All rental properties must meet minimum quality standards.
• Prohibit discrimination – Landlords can’t refuse tenants on benefits or with children.
• Allow renting with pets – Landlords can’t unreasonably refuse tenants with pets.

Please get in touch with our team who are up to date with the changes and will make sure your properties are fully compliant so you can breathe easy and see your investments grow.