The Renters’ Rights Act 2025 represents the most significant reform of the private rented sector in a generation.
Its stated aim is to rebalance the relationship between landlords and tenants. In practical terms, it introduces structural changes to tenancy agreements, possession routes and rent increases.
Understandably, many landlords are concerned about what this means for them.
There is no value in pretending this is a minor adjustment. It is not.
However, nor is it a collapse of landlord rights. The fundamentals of property investment remain intact. With the right preparation and advice, the changes are manageable.
With Nash, you are in expert hands and we’ll guide you through the practicalities of what the changes mean for you.
What do we know so far?
Implementation Timeline
Phase One — from 1 May 2026
- Abolition of Section 21
- End of fixed-term tenancies
- New rent increase rules
- Enhanced possession grounds
Phase Two — late 2026 onwards
- Introduction of a Private Rented Sector (PRS) Database
- Mandatory Landlord Ombudsman (expected operational by 2028)
Phase Three — 2035–2037 (subject to consultation)
- Decent Homes Standard for the PRS
- Extension of Awaab’s Law to private landlords
While headlines feel urgent, most practical changes begin in May 2026.
The key changes for landlords
Abolition of Section 21
From May 2026, Section 21 notices — the “no-fault” possession route — will be removed.
All Assured Shorthold Tenancies will convert to periodic tenancies, and possession will only be possible using grounds under Section 8.
This is the most significant shift within the Act.
- Ground 1 (amended): The landlord or a family member intends to occupy the property.
- Ground 1A (new): The landlord intends to sell.
Possession remains possible, but it becomes reason-based rather than discretionary.
End of fixed-term tenancies
- All new tenancies will be periodic from the outset.
- Tenants may give notice at any time (subject to notice requirements).
- Landlords may only regain possession using statutory grounds.
For landlords accustomed to fixed terms providing certainty, this feels significant. In practice, many tenancies already operate on a long-term basis. The change is structural rather than necessarily disruptive, particularly where tenant relationships are stable.
Rent increases
- Once per year
- Two months’ notice
- In line with market rent
- Subject to challenge at the First-tier Tribunal
This introduces oversight, but it does not prevent market-aligned rent adjustments. The emphasis will be on strong evidence and comparables.
Pets
Tenants will have a statutory right to request a pet. Landlords must respond within 28 days and may refuse only with reasonable justification.
PRS Database & Landlord Ombudsman
- Register on a new PRS Database
- Join a mandatory Landlord Ombudsman scheme
Rent Repayment Orders are being strengthened, with a maximum repayment period of 24 months’ rent. Misuse of possession grounds may trigger liability.
The areas of uncertainty
- Final prescribed forms are not yet available
- The practical structure of the PRS Database has not been defined
- The Ombudsman framework is still evolving
- The detail of the proposed Decent Homes Standard is not settled
- Awaab’s Law timeframes for the PRS are not yet confirmed
Preparation is still possible. Most structural principles are known, and prudent landlords can review documentation, processes, and compliance now.
A balanced perspective
The Renters’ Rights Act introduces meaningful structural reform and greater regulation.
Landlords who adapt early, operate professionally and take measured advice will remain well-positioned.
If you would like to review how these changes affect your portfolio, we are here to provide structured guidance and clear, practical support as the new regime approaches.
Get in touch on 01442 820426.