What to do from 1 May 2026: Your tenancy agreement guide

On 1 May 2026, the Renters Rights Act fundamentally changes how residential tenancies work in England. This is a complete system overhaul that affects every assured shorthold tenancy in existence and transforms how all future tenancies operate. For landlords, the changes are immediate, mandatory, and carry substantial penalties for non-compliance.

This comprehensive article explains exactly what you must do from 1 May 2026, covering both tenancies already in place and new lets starting from that date. We'll walk through the critical deadlines, required actions, compliance obligations, and practical steps to ensure your tenancies remain legal whilst protecting your rental income and investment.

The fundamental change - All tenancies become periodic

The single most important change happening on 1 May 2026 is that all fixed-term assured shorthold tenancies (ASTs) immediately convert to periodic assured tenancies. This happens automatically by operation of law, you don't issue new contracts, and tenants don't sign anything for this conversion to occur.

What this means practically is that every tenancy agreement clause specifying a fixed term (for example, "for a term of 12 months from 1 June 2025 to 31 May 2026") becomes null and void. The tenancy doesn't end on the specified date. Instead, it continues month-to-month indefinitely until either party serves proper notice to end it.

This applies regardless of when the tenancy started. A tenancy that began in 2020 with repeated fixed-term renewals automatically becomes periodic on 1 May 2026. A tenancy starting in March 2026 with a 12-month term becomes periodic just two months later when the Act commences. New tenancies granted from 1 May onwards cannot have fixed terms at all.

The implications are profound. You can no longer plan for natural tenancy end dates when you regain possession to renovate, sell, or re-let. The security of knowing exactly when tenancies conclude disappears. Going forward, possession requires you to serve notice on specific statutory grounds, and tenants can leave with two months' notice at any point.

Critical deadlines you must meet

Several time sensitive obligations arise between 1 May and 31 May 2026. Missing these deadlines creates legal liability and potential fines of up to £7,000.

31 May 2026 - Information Sheet deadline - You must provide all existing tenants with an official Information Sheet explaining the changes made by the Renters Rights Act. This requirement applies to every existing assured shorthold tenancy in place on 1 May 2026, regardless of how long the tenancy has been running.

The Government will publish this Information Sheet on GOV.UK by March 2026. You cannot create your own version, you must use the official document. The sheet explains to tenants how their rights and obligations have changed, including the shift to periodic tenancies, new possession procedures, rent increase rules, and enhanced protections.

You can serve the Information Sheet electronically (email) or in hard copy. Crucially, keep proof of service. If you email it, save the sent email and delivery receipt. You can also save it into the documents section of August. If you post it, use recorded delivery or get a signature on delivery. Local authorities can impose civil penalties of up to £7,000 if you fail to provide this sheet by the deadline.

31 May 2026 - Written statement deadline for oral tenancies - If you have any tenancies that are wholly oral (no written agreement whatsoever), you must provide tenants with a written statement of the terms of the tenancy by 31 May 2026. This is separate from the Information Sheet requirement.

The Government published draft details of what must be included in written statements on 19 January 2026. These statements must contain all key tenancy terms including rent amount and payment terms, property address, tenant and landlord details, and possession ground information. Again, failure to comply triggers potential £7,000 fines.

Most landlords use written tenancy agreements, so this obligation affects fewer properties. However, review your portfolio carefully to identify any tenancies that somehow progressed without written contracts.

31 May 2026 - Ground 4A notice for student HMOs - If you let HMO properties to students and want to use Ground 4A to regain possession at the end of the academic year, you must serve a written statement on existing student tenants by 31 May 2026.

Ground 4A allows student HMO landlords to serve notice requiring students to leave between 1 June and 30 September each year, facilitating the annual cycle of student lettings. However, to use this ground for existing tenancies, you must serve the statement by this deadline, confirming your intention to recover possession at the appropriate point, that you understand the tenant to be a student, and your intention to let to another student going forward.

For new student tenancies from 1 May onwards, you must provide this statement before the tenancy begins (or within six months before the tenancy start date). Miss these deadlines and you cannot use Ground 4A.

What happens to existing tenancy agreements

A common question is whether you need to issue new tenancy agreements or "re-paper" existing tenancies when they convert to periodic tenancies on 1 May 2026. The answer is no - you don't need to issue new contracts for this conversion.

Your existing written tenancy agreements remain in place. However, certain clauses automatically become unenforceable from 1 May 2026, specifically fixed-term clauses specifying end dates have no effect, contractual rent review clauses (for example, linking increases to CPI or RPI) become null and void, and clauses requiring rent in advance beyond one month after signing are unenforceable.

Other provisions in your tenancy agreements - rent amount, property address, tenant obligations regarding property care, landlord repair responsibilities, deposit terms - all remain fully enforceable. The agreements don't disappear. Specific prohibited clauses simply cease having legal effect.

From 1 May onwards, do not attempt to enforce fixed terms. Section 15 of the Renters Rights Act creates an offence for landlords who "purport to let for a fixed term" after the commencement date. Local authorities can impose civil penalties of up to £7,000 for this breach. Simply accepting that tenancies are now periodic avoids this risk.

New tenancy agreements from 1 May 2026

For any new tenancies starting from 1 May 2026, you'll need compliant assured periodic tenancy agreements. The Government has indicated it may prescribe the format and content of these agreements, potentially creating a standardised template incorporating elements of current agreements and the "How to Rent" guide.

At time of writing, the Government hasn't published final regulations specifying the new prescribed clauses. These are expected before 1 May, giving landlords time to obtain compliant templates. Various landlord organisations and legal providers will publish updated agreements once regulations are finalised.

Key requirements for new agreements include no fixed-term clauses whatsoever (only tenancy start date and rental period), no contractual rent review clauses (rent increases only via Section 13 procedure), information about possession proceedings applicable to the tenancy, and written statement of all key terms within 28 days of tenancy start.

The 28-day deadline for providing written statements is new. Previously, no mandatory timeframe existed for issuing written tenancy agreements, though best practice was immediate provision. From 1 May, failure to provide the written statement within 28 days creates potential civil penalties.

Use document management tools like August to store templates, track when agreements were issued, and maintain compliance records systematically. With penalties increasing and enforcement powers expanding, organised record keeping is essential.

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Rent increases under the new system

Contractual rent review clauses cease operating from 1 May 2026. Even if your existing tenancy agreement contains a clause stating rent increases by RPI plus 1% annually, this clause becomes unenforceable. From 1 May onwards, all rent increases must follow the Section 13 procedure.

Section 13 allows landlords to propose rent increases once every 12 months using Form 4A (the prescribed notice form). You must give tenants at least two months' notice before the increase takes effect, increased from the previous one month requirement. The notice must specify the new rent amount and the date from which it applies.

Tenants can challenge proposed increases they believe are unfair by referring the matter to the First-tier Tribunal (Property Chamber) within the first six months of the new rent taking effect. The Tribunal will assess whether the proposed rent is reasonable compared to market rents for similar properties. If they determine it's excessive, they'll set a different rent, which becomes the maximum you can charge.

Practically, this means proposed increases should reflect actual market conditions rather than arbitrary amounts. Referencing local comparables and recent lettings data helps justify increases if challenged. Excessive increases invite tribunal referrals, tribunal fees, and risk of having lower rents imposed than you proposed.

Important clarification - any rent increase agreed before 1 May 2026 under a contractual rent review clause, but taking effect after 1 May 2026, is not permitted. The increase cannot proceed. If you planned increases for June 2026 based on contractual clauses, these plans are now void. You'll need to wait and use the Section 13 process instead.

The ban on advance rent payments

From 1 May 2026, you cannot request or accept rent payments before tenancy agreements are signed by all parties. This represents a fundamental shift. Previously, landlords commonly collected first month's rent during application or referencing stages. This is now explicitly prohibited.

For new tenancies from 1 May, the process works as follows. You advertise the property and conduct viewings. Prospective tenants apply and undergo referencing. You decide to offer tenancy. You prepare the tenancy agreement. All parties sign the agreement (landlord and all tenants). Only after signing can you request and accept rent payment.

Once the agreement is signed, you can require payment of one month's rent (or 28 days for tenancies with rental periods shorter than one month) before the tenancy commences. However, clauses requiring more than one month's rent in advance are unenforceable. This affects student accommodation particularly, where termly or annual advance rent was common.

Existing tenancies entered before 1 May 2026 are not affected by these restrictions. If your current tenancy agreement requires quarterly or termly rent payment, this arrangement can continue. The prohibition only applies to new tenancies from 1 May onwards.

Accepting prohibited pre-tenancy payments becomes an offence under the Tenant Fees Act 2019. Penalties include being required to repay the money and facing potential fines. Adjust your lettings process to ensure no money changes hands until agreements are fully executed.

Section 21 notices - The buffer period

Section 21 "no-fault" eviction notices can no longer be served from 1 May 2026. However, Section 21 notices served before 1 May remain valid, provided specific conditions are met.

If you served a valid Section 21 notice before 1 May 2026, it remains effective for its usual lifespan (typically six months from service, allowing proceedings to be brought within that period). However, you must apply to court for a claim form to be issued by 31 July 2026. Miss this deadline and the notice becomes invalid.

This buffer period allows landlords who had planned possession using Section 21 to complete those processes without immediate prejudice. However, courts face increased workload, and possession claims may take longer than historically. Factor potential delays into planning.

If you're considering serving Section 21 notices before 1 May, ensure they're validly served according to current requirements. Invalid notices don't magically become valid just because they were served before the deadline. All existing requirements regarding prescribed information, deposit protection, and notice timing must be met.

From 1 May onwards, all possession proceedings use Section 8 grounds. No more "no-fault" evictions - every possession claim requires citing specific grounds and providing evidence supporting those grounds.

Section 8 grounds and the new possession landscape

Understanding Section 8 grounds becomes essential from 1 May 2026. The Renters Rights Act reforms and expands these grounds, creating a comprehensive framework for landlord possession.

Mandatory grounds - Where you prove the ground exists, courts must grant possession. These include Ground 1 (landlord needs property for themselves or family), Ground 1A (landlord selling property), Ground 2 (mortgage lender requiring possession), Ground 8 (serious rent arrears), and Ground 14 (serious anti-social behaviour or criminal convictions).

Discretionary grounds - Courts have discretion to refuse possession even if the ground is proven, considering reasonableness. These include Ground 10 (some rent arrears), Ground 12 (breach of tenancy obligations), Ground 13 (tenant negligence causing property deterioration), Ground 14A (repeated anti-social behaviour), and various others.

Important restrictions apply to certain grounds. Ground 1 and Ground 1A cannot be used in the first 12 months of a tenancy. This "protected period" prevents landlords circumventing tenancy security by immediately claiming they need properties back. The 12-month clock started when the tenancy began, not from 1 May 2026.

For example, if a tenancy started in December 2025, it's protected until December 2026 even though the Act commences in May 2026. Conversely, tenancies beginning from 1 May 2026 onwards cannot use Grounds 1 or 1A until they've run for 12 months.

Ground 1 has been extended to include wider family members (parents, adult children, siblings), not just spouses. However, you must still give tenants at least two months' notice when using most grounds, and four months' notice for Grounds 1, 1A, and certain others.

Ground 4A for student HMO landlords

Ground 4A, introduced by the Renters Rights Act, specifically addresses the student letting cycle for HMO properties. It allows landlords to serve notice requiring students to leave between 1 June and 30 September each year, facilitating annual changeovers.

To use Ground 4A, you must meet specific conditions. The property must be an HMO. The current tenants must be students. You intend to re-let to other students for the next academic year. You must have served the required written statement (before tenancy start for new tenancies, or by 31 May 2026 for existing tenancies).

The notice must be served during the "relevant date" so it expires between 1 June and 30 September. This allows you to regain possession at the end of the academic year and prepare properties for the next cohort of students.

If you fail to serve the written statement by the deadline, you cannot use Ground 4A. You'd need to rely on other grounds (like Ground 1 if you genuinely need the property) or negotiate voluntary departure with tenants. Given the tight timing of student lettings cycles, losing access to Ground 4A could mean missing the next letting season.

For student HMO landlords, serving the Ground 4A statement by 31 May 2026 for existing tenancies is critical. Set reminders now to ensure this deadline isn't missed.

Deposit protection requirements

Deposit protection rules remain unchanged by the Renters Rights Act - deposits must still be protected in a government-approved scheme within 30 days of receipt, and prescribed information must be provided.

However, one significant change affects possession proceedings. From 1 May 2026, if you haven't properly protected the deposit, you cannot serve Section 8 notices (with exceptions for Grounds 7A and 14, relating to anti-social behaviour). This is stricter than current rules, where Section 21 is prohibited but Section 8 remained available.

This change means deposit protection compliance becomes even more critical. Any deposits not properly protected before 1 May 2026 should be rectified immediately. If you discover a deposit from an older tenancy that was never protected, protect it now and issue prescribed information, even though you're outside the 30-day window. Whilst this doesn't retroactively cure the breach, it enables possession proceedings if needed later.

For new tenancies from 1 May, ensure deposits are protected immediately and prescribed information issued without delay. Use systems that track deposit protection dates and send automatic reminders about expiry of protection certificates (though protection doesn't expire unless you end it, the records prove compliance).

Tenant notice periods

Under the new system, tenants can end tenancies at any point by giving two months' notice. This is a significant change from current rules where fixed-term tenancies couldn't be ended early without break clauses.

If your tenancy agreement specifies a shorter notice period (for example, one month), that shorter period prevails. If it specifies a longer period or includes break clauses, the two-month notice requirement applies instead.

For HMO properties or joint tenancies, note that one tenant giving notice generally ends the tenancy for everyone. This can create complications in shared houses where other tenants wish to remain. Consider whether you want to allow "assignment" arrangements where remaining tenants find replacements, though this creates its own complexities.

The increased mobility of tenants means void periods may become more unpredictable. Tenants who previously felt "stuck" in fixed terms can now leave with two months' notice. Maintaining good tenant relationships, responding promptly to maintenance requests, and keeping properties in good condition all help encourage longer tenancies.

Prohibited practices and discrimination

The Renters Rights Act strengthens provisions against discrimination and introduces new prohibited practices.

You cannot invite, encourage, or accept rent offers above advertised prices. Rental bidding, where multiple applicants offer higher rent to secure properties, is explicitly prohibited. Advertised rent is the maximum you can charge.

Discrimination against tenants with children or receiving benefits becomes illegal. This doesn't mean you must accept every applicant with children or on benefits, but you cannot refuse viewings, withhold information, or discourage applications based solely on these factors. Refusals must be based on legitimate criteria like affordability, references, or property suitability.

These provisions address longstanding issues where certain demographics faced blanket exclusions. Going forward, tenant selection must focus on objective criteria - ability to pay rent (verified through proper referencing), suitable references from previous landlords, and compatibility with property type.

The PRS Database and Ombudsman (coming later)

Whilst these don't commence on 1 May 2026, two significant requirements are coming in later phases - the Private Rented Sector Database and mandatory Landlord Ombudsman membership.

The PRS Database will require all landlords to register their properties and key information. This database will be searchable by tenants, local authorities, and enforcement agencies. Registration will become a precondition for using certain possession grounds. The exact timing is expected in late 2026 or 2027.

The PRS Landlord Ombudsman will provide free dispute resolution for tenants, bringing the private sector in line with social housing. All landlords must join when the scheme launches, expected in 2028. Failure to join will prevent using most possession grounds and trigger potential fines.

Plan for these requirements now. Budget for annual ombudsman fees (exact amounts not yet confirmed but likely £25-£75 per property). Ensure your property management systems are robust enough to provide information the database will require. Organised landlords using tools like August will find these transitions straightforward as they already maintain comprehensive records.

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Practical steps to take now

With 1 May 2026 approaching, specific actions ensure compliance and protect your position.

Review your entire portfolio - List every property and tenancy, note which are fixed term and when they were due to end, identify which are student HMOs requiring Ground 4A statements, check whether all tenancies have written agreements, and verify deposit protection for every tenancy.

Create a systematic checklist and work through methodically. Missing obligations for even one property creates legal risk.

Prepare Information Sheets - Once the Government publishes the official Information Sheet (expected March 2026), immediately serve it to all existing tenants. Don't wait until late May - send it in early May to allow plenty of time before the 31 May deadline.

Keep proof of service for every tenancy. If serving electronically, ensure delivery receipts. If posting, use recorded delivery. File these records systematically using August's document management or similar systems.

Serve Ground 4A statements for student HMOs - If you let to students in HMOs, prepare the written statement and serve it before 31 May 2026. Again, keep proof of service.

Update lettings processes - Revise your lettings procedures to ensure no rent is requested or accepted before tenancy agreements are signed. Brief anyone involved in lettings (agents, staff, contractors) about this prohibition. One mistake could result in fines under the Tenant Fees Act.

Obtain compliant tenancy agreements - Once the Government publishes final regulations on prescribed clauses, obtain updated assured periodic tenancy agreement templates. Many providers will offer these - choose from reputable sources rather than attempting to draft your own.

Train yourself on Section 8 grounds - Familiarise yourself with all Section 8 grounds, their evidence requirements, and notice periods. The days of straightforward Section 21 notices are gone. Possession now requires understanding which ground applies to your situation and following proper procedures.

Consider attending landlord training courses or webinars on the new possession process. The learning curve is steep, and mistakes can be costly.

Review rent levels and increase plans - If you planned contractual rent increases for after 1 May 2026, abandon these plans. Instead, review current rent levels against local market rates and plan Section 13 increases if appropriate. Remember the two-month notice requirement and tenant tribunal rights.

Strengthen tenant relationships - With tenants able to leave on two months' notice, retention becomes more valuable. Respond promptly to maintenance requests, address issues proactively, and treat tenants as customers whose satisfaction matters. Use August's tenant app to facilitate easy communication and maintenance reporting.

Implement systematic compliance tracking - Use property management software to track critical dates including certificate expiries, inspection dates, rent review eligibility, and regulatory deadlines. August's reminder system automates this, ensuring nothing slips through cracks.

Budget for increased costs - Factor in potential additional costs including longer void periods if tenants leave unpredictably, higher possession proceedings costs as Section 8 claims take longer, licensing fees in areas with expanding schemes, and eventual ombudsman membership fees.

What happens if you don't comply

The penalties for non-compliance with Renters Rights Act requirements are substantial. Understanding these consequences emphasises why compliance matters.

Civil penalties - Local authorities can impose civil penalties of up to £7,000 for various breaches including failing to provide the Information Sheet by 31 May, failing to provide written statements for oral tenancies by 31 May, purporting to let properties on fixed terms from 1 May onwards, failing to provide written statements within 28 days for new tenancies, and accepting prohibited pre-tenancy rent payments.

These penalties are per breach, per property. Multiple violations across a portfolio quickly create substantial liability.

Rent Repayment Orders - Tenants can apply to tribunals for Rent Repayment Orders requiring you to repay up to 24 months of rent (increased from 12 months under previous law) if you commit certain offences. From 1 May 2026, failing to join the ombudsman scheme (when it launches) becomes grounds for RROs.

Possession restrictions - Failure to protect deposits properly prevents serving Section 8 notices (except Grounds 7A and 14). When the PRS Database launches, failure to register will prevent using most possession grounds. These restrictions mean non-compliance could leave you unable to regain possession even when you have legitimate grounds.

Criminal offences - Accepting prohibited pre-tenancy payments constitutes an offence under the Tenant Fees Act 2019, potentially resulting in fines and requirement to repay money.

Beyond formal penalties, non-compliance damages reputation, creates tenant disputes, and complicates property management. Professional, compliant landlords will increasingly have competitive advantages as enforcement intensifies.

Looking beyond 1 May 2026

The Renters Rights Act represents the most significant reform of private renting since the Housing Act 1988. Whilst 1 May 2026 brings immediate changes, this is phase one of a multi-year transformation.

Later phases will introduce the PRS Database (late 2026/2027), the Landlord Ombudsman (2028), expanded licensing schemes (ongoing), Awaab's Law for the private sector (2035+), and the Decent Homes Standard (2035+).

Successful landlords will be those who embrace rather than resist this professionalisation. Systems, processes, compliance frameworks, and tenant-focused approaches all become standard requirements for sustainable rental property investment.

The immediate priority is ensuring you meet your obligations from 1 May 2026. Serve Information Sheets by 31 May, serve Ground 4A statements for student HMOs by 31 May, protect all deposits properly, update lettings processes to prohibit pre-agreement rent payments, and obtain compliant tenancy agreements for new lets.

Tools like August streamline compliance by maintaining organised records, tracking critical deadlines, facilitating tenant communication, and providing audit trails for all management activities. In an increasingly regulated environment, systematic property management isn't optional - it's essential protection for your investment and rental income.

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.