Renters Rights Bill: everything you need to know

Introduction

The private rented sector in England is on the cusp of its biggest legal overhaul in decades. The Renters’ Rights Bill, poised to become the Renters’ Rights Act, promises sweeping changes to how tenancies are structured, how landlords and tenants interact, and what protections are built into renting.

For tenants, the Bill is being hailed as a long‑awaited strengthening of security, fairness, and rights. For landlords and letting agents, it presents both challenges and opportunities. Adapting to new compliance burdens, re-evaluating business models, and managing uncertainty during the transition.

In this article, we’ll dissect the Renters’ Rights Bill, what it does, what it changes, the timeline, and how different stakeholders should prepare. Whether you rent, let, or advise in the property sector, this is your go‑to resource.

What is the Renters’ Rights Bill?

The Renters’ Rights Bill was introduced to Parliament on 11 September 2024. Its long title describes its scope, “a Bill to make provision changing the law about rented homes, including provision abolishing fixed term assured tenancies and assured shorthold tenancies; imposing obligations on landlords and others … and for connected purposes.”

This Bill replaces the earlier attempt, the Renters (Reform) Bill, which did not complete its legislative journey under the previous government. The Renters’ Rights Bill has already passed multiple readings, undergone committee and report stages, and as of October 2025 is in its final stages in Parliament, with consideration of amendments.

Once it receives Royal Assent, it will become law (the Renters’ Rights Act). But not all its provisions will take effect immediately, some will require secondary regulations and phased implementation, the best estimate at this stage is in June 2026.

The government guidance calls it a “manifesto commitment to transform the experience of private renting,” particularly by ending Section 21 no‑fault evictions and improving stability and fairness in the sector.

Why the Reform? The Policy Rationale

To understand why this Bill matters so much, it's helpful to see the problems it aims to address:

• Insecurity of tenure - Under current rules, many tenancies begin with fixed‑term assured shorthold tenancies (ASTs), and landlords may serve Section 21 notices to evict without stating a reason at the end of the term. This has been criticised as enabling arbitrary evictions.

• Rent volatility and bidding wars - In a tight housing market, letting agents sometimes advertise starting rents but then solicit higher offers (“bidding wars”). The Bill intends to curb this.

• Poor housing conditions and slow enforcement - Issues like disrepair, damp, mould, and other hazards have long plagued rented homes, while local authorities often have weak enforcement powers. The Bill strengthens standards (e.g., a Decent Homes standard) and enforcement.

• Lack of redress and oversight - Tenants sometimes lack efficient means to challenge misbehaving landlords outside court, and there’s limited oversight of private renting practices. The Bill introduces a landlord ombudsman and a property/landlord registration database.

• Discrimination and exclusion - Practices that discourage or exclude tenants on benefits, with children, or seeking to keep pets have been criticised as unfair. The Bill imposes limits on such discriminatory terms.

• Better balance in eviction law - The Bill reforms and tightens eviction procedures (via Section 8 grounds), extending notice periods in many cases.

In short, the Bill aims to rebalance the landlord‑tenant relationship, reduce unfair practices, and raise standards and transparency in the private rented sector.

Key changes in the Renters’ Rights Bill

Below are the major reforms, with explanations of what they mean in practice.

1. Abolition of fixed‑term tenancies and of assured shorthold tenancies

One of the most radical changes, from the “Commencement Date”, it will no longer be possible to grant fixed‑term tenancies (e.g., 6 months or 12 months) as standard assured shorthold tenancies. Instead, all tenancies will become periodic assured tenancies with rent periods no longer exceeding one month. These are sometimes referred to in commentary as “Section 4A assured tenancies”.

The statute will render fixed‑term clauses “of no effect” where they conflict with this rule, and landlords who attempt to grant or market fixed term tenancies risk civil penalties of up to £7,000.

Existing ASTs will automatically convert to the new periodic tenancy on commencement.

2. Notice to quit, tenants gain more flexibility

Under current law, a tenant might need to wait until the end of a fixed term or abide by break clauses. Under the new regime, tenants can give two months’ notice to quit at any time, even from day one. The two‑month requirement ensures some certainty for landlords.

Landlords and tenants may agree a shorter notice period in some cases, if all parties consent.

3. Abolition of Section 21 “no-fault” evictions

Perhaps the most publicised reform. Section 21 evictions will be abolished entirely. The mechanism that allows landlords to repossess a property without needing to prove tenant fault.

After commencement, landlords must rely on Section 8 grounds for possession (e.g. rent arrears, breach of tenancy obligations, wanting to sell, moving in a family member). Some grounds will get revised thresholds and notice periods.

A critical point, the Bill abolishes Section 21 in one go, for both existing and new tenancies, on the same commencement date, avoiding a “dual system” or staggered transition.

However, transitional protections are included. Landlords who serve a possession notice before commencement will have a window, up to three months, to initiate proceedings under the old regime.

4. Reform of Section 8 possession grounds and notice periods

Because Section 21 disappears, Section 8 will carry much of the weight. The Bill:

• Updates and recalibrates grounds (e.g. for tenant fault, rent arrears etc.).

• Extends notice periods, especially for certain grounds to four months in some case (e.g. sale of property, landlord moving in).

• Raises the threshold for rent arrears in some cases, for example, requiring a higher arrears amount before possession.

• Strengthens procedural protections for tenants, such as rights to respond, challenge matters, and stricter criteria for “mandatory” possession.

Overall, the aim is to ensure eviction is more just, with safeguards for tenants while preserving landlords’ rights in cases of serious breaches.

5. Rent increases and rent challenges

Under the new framework:

• Rent increases can only be applied using a statutory Section 13 procedure (i.e. tenants must be given notice, and they can challenge the increase).

• At least two months’ notice must be given before the increase takes effect.

• The Bill bans “rental bidding”, meaning landlords or agents cannot invite or accept offers above the advertised asking rent.

• Tenants will have a route to challenge above‑market rent increases through a tribunal, which can decide on a “market rent” benchmark.

These changes aim to curb sudden and opportunistic rent hikes and promote transparency in rent setting.

6. Pets - Right to request and landlord constraints

One of the more socially salient reforms: tenants will have an implied right to request to keep a pet. Landlords may only refuse the request if they can provide a valid reason (for example, the property is unsuitable for pets).

While landlords may require pet insurance in some form, a blanket “pet deposit” (e.g. an additional deposit for pets) is more controversial, and some amendments allowing up to three weeks’ rent as a pet deposit were rejected by the government.

Importantly, this right to pets attaches to tenants, not prospective tenants or applicants, so landlords may still advertise “no pets” for applicants.

7. Private Rented Sector Ombudsman / Redress scheme

The Bill mandates a Private Rented Sector Landlord Ombudsman / Redress Scheme in England. All landlords (and letting or managing agents) will have to join, and comply with its decisions in disputes.

Failure to comply may result in enforcement action, including rent repayment orders or penalties. This mechanism gives tenants a less costly route to redress compared to legal action.

8. Private Rented Sector Database / Registration

A new landlord-and-property registration database will be established. This has been referred to as a “rented property portal” or “property portal”. Landlords will have legal obligations to register themselves and their properties; failures may incur civil penalties.

This database aims to increase oversight, transparency, and enforcement capabilities for regulators and local authorities.

9. Housing standards - Decent Homes and “Awaab’s Law”

The Bill codifies a Decent Homes Standard for the private rented sector, which sets minimum standards for property condition, safety, and comfort (heating, insulation, damp, structural issues, etc.).

Further, the Bill incorporates or extends principles from Awaab’s Law, mandating prompt response times to hazards, such as mould, excess cold, structural risks. This law was named after a child who died from mould exposure. Some elements of Awaab’s Law may phase in over years.

Landlords may face stronger enforcement powers, including inspections, notices, civil penalties, and prosecutions for failing to remedy hazards.

10. Prohibitions on discrimination and unfair terms

The Bill prohibits certain discriminatory or exclusionary terms in tenancy agreements or advertisements, for example, refusing tenants because they receive benefits, or banning children without reason.

Also, clauses that require rent paid too far in advance, or hidden charges, will be curtailed.

11. Abolishing the “AST trap” for long leases

A quirk of current law is that some long leases (e.g. above 7 years) might inadvertently be treated like ASTs for possession purposes (the “AST trap”). The Bill sets a threshold. Tenancies longer than seven years cannot be treated as assured tenancies (i.e. Section 8 cannot apply).

This removes ambiguity regarding very long leases and their treatment under the new regime.

12. Enforcement, penalties, and local authority powers

The effectiveness of the Renters’ Rights Bill hinges not just on its new rights and protections, but also on how they are enforced. Without proper oversight, even the most progressive reforms risk being toothless.

To address this, the Renters’ Rights Bill introduces a multi-tiered enforcement regime, with stronger powers for local authorities, new national enforcement infrastructure, and meaningful penalties for non-compliance.

Here’s what that means in practice:

12.1 Local authority powers, frontline enforcement

Local councils remain the primary enforcers of housing standards and landlord conduct. Under the Bill, their remit expands significantly, with new responsibilities and enhanced enforcement tools.

Key new or strengthened powers include:

• Civil Penalties - Local authorities can issue civil penalties of up to £30,000 per offence (in line with Housing and Planning Act 2016 precedents) for serious or repeated non-compliance, such as failing to register on the national landlord database, unlawfully issuing a fixed-term tenancy, or breaching safety standards.

• Improvement Notices - Councils can issue legal notices requiring landlords to remedy hazards (such as damp, mould, electrical faults, or structural disrepair) within set timeframes. Failure to comply may lead to prosecution or further civil action.

• Banning Orders - In the most egregious cases landlords can be issued a banning order preventing them from letting or managing properties, this might be for repeated offences, serious health and safety risks, or illegal eviction. Offending landlords will also be listed on a national Rogue Landlord Database.

• Rent Repayment Orders (RROs) - If a landlord has committed certain offences tenants or councils may apply for an RRO. For example for letting an unregistered property, conducting an illegal eviction, or failing to comply with an improvement notice. This can require repayment of up to 12 months’ rent to the tenant or to the local authority if housing benefit was involved.

• Interim and Final Management Orders - Councils may take control of a property under a management order if the landlord has failed to remedy hazards or breaches despite prior warnings, ensuring tenants are protected while enforcement actions proceed.

• Inspection Powers - Officers will gain explicit investigatory powers to inspect rental properties, gather evidence, and enter premises where serious breaches are suspected, subject to appropriate procedural safeguards. Repeat offenders may face proactive inspections as part of a risk-based strategy.

12.2 National oversight infrastructure

Alongside local authority action, the Renters’ Rights Bill provides for a more centralised and coordinated approach to compliance via new national mechanisms:

• National Landlord & Property Database (England-wide) - All landlords must register themselves and each rented property with a national database. Registration will include key information such as safety certifications, energy performance, redress scheme membership, and contact details. Failure to register, or to update records, may trigger civil penalties, bar landlords from serving valid notices, or even constitute a criminal offence in serious cases.

• Private Rented Sector Ombudsman Scheme - A new ombudsman will have binding powers to resolve disputes between landlords and tenants, including complaints about poor maintenance, unreasonable rent increases, or breaches of tenancy rights.
  Non-compliance with an ombudsman decision can lead to enforcement referrals and penalties.

• Enforcement Coordination - The Secretary of State will have powers to issue statutory guidance on enforcement priorities, ensuring consistency across local authorities. A central government body may also oversee training, performance monitoring, and data sharing between councils.

12.3 Offences and Sanctions for non-compliance

The Bill sets out a wide range of offences, both civil and criminal, to ensure landlords who fail to comply with their obligations face proportionate and meaningful consequences. These include:

Repeat or particularly harmful offenders may also face:

• Loss of possession rights (e.g. inability to serve valid Section 8 notices)

• Naming on public enforcement registers (which may affect lending, insurance or reputation)

• Criminal records and banning from the sector

12.4 Tribunals and dispute resolution

Tenants and landlords will also have access to a streamlined, quasi-judicial route for resolving disputes outside of court:

• First-tier Tribunal (Property Chamber) will continue to handle:

  • Challenges to rent increases under Section 13

  • Appeals against enforcement notices or penalties

  • Landlord appeals against database decisions or redress orders

The tribunal system will likely face increased caseloads, and the government has committed to improving resourcing and digital access.

12.5 Proactive vs. reactive enforcement

Historically, enforcement in the private rented sector has been heavily reactive, driven by tenant complaints, rather than proactive inspection. The Bill gives councils the tools and a legal mandate to take more proactive enforcement action, especially:

• In high-density urban areas with known rogue landlord clusters

• Where vulnerable tenants are at heightened risk

• In response to data insights from the new landlord/property register

This could lead to a cultural shift, from relying on tenants to report issues, to authorities actively pursuing compliance and deterrence.

12.6 Funding and resourcing challenges

While the Bill provides broad enforcement powers, its success will depend on councils having adequate staffing, funding, and training. The government has pledged to support local authorities with transitional grants and toolkits, but many sector bodies have warned that enforcement will falter without long-term, ringfenced investment.

When will it take effect?

Understanding when the changes come into effect is crucial for planning and compliance:

• The Bill is expected to receive Royal Assent in late 2025.

• The Act will then come into force (i.e. become law), but many provisions will be phased in or require enabling regulations.

• The “Commencement Date” is the moment when key reforms take effect (e.g. abolishing fixed-term tenancies, Section 21, etc.). That is in 2026.

• Some provisions (like Decent Homes standard, landlord database, ombudsman framework) may take additional time, possibly years, to fully roll out.

• Landlords who issue notices before commencement may have a grace period to use old rules (e.g. three months).

Thus, many of the more radical reforms may not immediately apply to existing tenancies until full implementation is completed, but transitional duties should be expected.

Impacts and risks for tenants, landlords, and the market

The Renters’ Rights Bill promises significant shifts. These potential impacts should be borne in mind:

For tenants

Upsides:

• Greater security and predictability: no arbitrary evictions, smoother rent controls, right to challenge rent rises.

• Ability to remain in a home longer, build community ties, and avoid forced moves.

• Stronger legal backing for property standards and quicker remedies for disrepair.

• More equitable treatment (e.g. concerning pets, benefits, children).

• Reduced exposure to bidding wars and hidden surcharges.

Risks / uncertainties:

• Potential reluctance of landlords to invest or remain in the market, leading to reduced supply and possibly higher rents.

• Some landlords may raise rents in advance or pre-emptively under old rules before changes bite.

• Delays in implementing essential regulatory frameworks (ombudsman, registration) may hamper enforcement in early years.

• Ambiguities around how tribunals will assess “market rent” or judge contested cases.

For landlords and letting agents

Challenges:

• More compliance burden: registration, stricter standards, ombudsman obligations, inspections, enhanced record‑keeping.

• Shift in business models. Fewer fixed-term contracts, uncertain cash flow periods, balancing maintenance costs with returns.

• Higher risk of legal exposure or penalties for non‑compliance.

• Some landlords (estimates suggest ~39%) say they may exit the rental market, spurred by uncertainty and increased regulation.

• Strain on profitability, especially for smaller or lower‑margin properties.

Opportunities:

• Stronger legal relationships with tenants built on trust and transparency could reduce disputes and turnover.

• Better-quality stock and compliance may attract higher‑quality tenants and reduce voids.

• Professional landlords who modernise and comply early may gain reputation advantage.

• The ombudsman system and regulation could raise overall sector standing.

Market-level & policy impacts

• Potential contraction in rental supply, particularly from marginal or less-profitable landlords.

• Some upward pressure on rents in the short term, as landlords attempt to recoup costs or mitigate risk (though the rent‑increase rules may limit this).

• Greater segmentation: more professional, larger-scale landlords will likely dominate as smaller landlords exit.

• A more regulated, transparent private rented sector with stronger oversight and standards.

• Long-term gains in housing security, reduced volatility, and possibly more efficient use of the rental housing stock.

What should stakeholders do now? Create a preparation checklist

Given that many parts of the Bill will not take effect immediately, now is the ideal time to prepare. Below is a checklist for landlords, tenants, and advisers.

For Landlords & Managing Agents

1. Audit your portfolio
     • Identify tenancies that may be more vulnerable or costly under the new regime.
     • Check existing agreements for prohibited clauses (e.g. fixed terms beyond allowed periods, over-advanced rent, “no pets” blanket bans, discrimination clauses).
     • Forecast increased costs of compliance (repairs, regulatory, insurance) and factor them into your rent models.

2. Review property condition
     • Ensure maintenance and safety systems (electrical, gas, heating, structure, mould) are in good order.
     • Prioritise properties with known issues, especially in areas with high enforcement risk.

3. Upgrade processes & record-keeping
     • Maintain comprehensive written records of all tenant communications, maintenance logs, inspections, repairs.
     • Implement systematic complaint-handling procedures.
     • Ensure referencing, advertising, and rent setting processes are compliant (no bidding wars, no discriminatory language).
     • Prepare for possible tribunal challenges by maintaining market comparisons.

4. Stay informed on regulations and secondary legislation
     • Monitor government guidance on the landlord database, ombudsman scheme, standards, and procedural rules.
     • Engage with trade bodies (e.g. NRLA) and legal advisors to interpret new rules.

5. Communicate with tenants
     • Be transparent about upcoming changes.
     • Consider revising or restating tenancy terms to align with forthcoming rules (without contravening current law).
     • Offer clarity about expectations on pets, maintenance, notice periods, etc.

6. Assess your risk appetite
     • Decide whether to continue in the private rented sector, some landlords may choose to sell or reduce exposure.
     • For lower-margin properties, consider whether increased compliance costs justify continuation.

For tenants

1. Educate yourself and fellow tenants.
     • Understand your rights under the new law and how they will differ from current ones.
     • Advocate for timely implementation and clarity in guidance.

2. Document property conditions.
     • Photograph and log maintenance issues, hazards, or disrepair.
     • Keep copies of correspondence with landlords or agents.

3. Negotiate lease terms with awareness.
     • Be wary of signing overly restrictive or unfair clauses now that may conflict with future law.
     • Propose pet requests or maintenance expectations with reasoned arguments.

4. Use redress mechanisms when available.
     • Once the ombudsman or tribunal systems are live, consider using them before resorting to courts.
     • Challenge rent increases or unfair practices.

5. Engage with policy dialogue.
     • Support tenant groups pushing for effective, robust implementation.
     • Provide feedback on how draft regulations work in practice.

For legal / advisory professionals and public sector bodies

• Draft model tenancy agreements and standard clauses aligned with the new regime.

• Train staff (e.g. local authority enforcement, tribunals, housing officers) on new powers and procedures.

• Prepare for increased caseloads in tribunals, complaint redress, and inspections.

• Monitor impact data (e.g. eviction patterns, landlord exits, rent levels) to inform future reforms.

Frequently Asked Questions (FAQs)

Will my existing tenancy immediately change?
Yes. On the Commencement Date, existing ASTs and fixed-term tenancies will convert into the new periodic assured tenancy framework.

Can landlords still evict a tenant?
Yes, but via Section 8 grounds (fault-based or defined reasons). Section 21 will no longer exist. Notices and courts will follow stricter procedural safeguards.

How often can rent increase under the new regime?
Typically once per year via Section 13 procedure, with at least two months’ notice. Tenants can challenge through tribunal.

Can a landlord refuse pets?
They can refuse, but only by providing a valid, justified reason. Blanket bans may be vulnerable.

When will the registration database open?
Timings are not yet clear. The Act authorises the government to design and implement it via secondary regulations.

Will the reforms apply in Wales, Scotland, or Northern Ireland?
No. The Bill pertains to England. Devolved governments may have parallel reforms, but the legal frameworks differ.

It is fair to say that the Renters Rights Bill has now become a top concern for small landlords in 2025. An overview of UK landlord laws by region is also a useful reference, covering all of the UK, as well as covering the differences across England, Wales, Scotland and Northern Ireland. Also see the Leasehold and Freehold Reform Act 2024 explained.

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Disclaimer: This article is a guide, and not intended to be relied upon as legal or professional advice, or as a substitute for it. August does not accept any liability for any errors, omissions or misstatements contained in this article. Always speak to a suitably qualified professional if you require specific advice or information.