Private Rented Sector (PRS) Ombudsman

The Private Rented Sector (PRS) Ombudsman is a mandatory independent redress scheme for private landlords in England, established by the Renters' Rights Act 2025. Under Chapter 2 of Part 1 of the Act, Section 62 defines the scheme as one that "provides for a complaint made by or on behalf of a prospective, current or former residential tenant against a member of the scheme to be independently investigated and determined by an independent individual." All private landlords of assured and regulated tenancies in England will be legally required to become members, whether they manage their properties themselves or use a letting agent. Membership is expected to become mandatory in 2028, following the earlier rollout of the PRS Database from late 2026.

Why the PRS Ombudsman matters

Before the Renters' Rights Act, private landlords faced no obligation to belong to a formal redress scheme. Tenants with complaints about a landlord's conduct had to go to the courts, the local authority, or, if the landlord used an agent, an agent redress scheme. The PRS Ombudsman closes this gap by creating a single, binding complaints route directly against landlords, regardless of whether an agent is involved. It aligns the private rented sector with the social housing sector and the letting agent sector, both of which already operate under mandatory ombudsman arrangements.

The scheme's creation is part of a broader government objective to professionalise the private rented sector and to provide tenants with accessible, cost-free dispute resolution that avoids the delay and expense of court proceedings.

Who must join

All private landlords in England who let properties under assured or regulated tenancies will be legally required to join. The obligation falls on the landlord directly, not on the letting agent. A landlord who uses a managing agent must still be a member of the Ombudsman, the agent's existing redress scheme membership does not substitute for the landlord's own. Where both landlord and agent are at fault for a complaint, the Act makes provision for joint investigations and joint decisions between the PRS Ombudsman and the relevant agent redress scheme.

The only landlords outside the scheme's scope are those whose lettings fall outside the assured and regulated tenancy framework, for example, certain agricultural tenancies, company lets, and properties with an annual rent above £100,000.

What tenants can complain about

The Ombudsman's jurisdiction covers the full lifecycle of a tenancy: prospective tenants who have not yet moved in, current tenants, and former tenants who have already vacated can all bring complaints. The scheme will investigate complaints about landlord conduct including failure to carry out repairs, communication failures or unreasonable delays in responding to maintenance requests, unlawful charges or fees, poor management practices, failure to comply with statutory obligations, refusal of a reasonable pet request, and anti-social conduct by the landlord or someone acting on their behalf.

Only tenants can bring complaints to the PRS Ombudsman, landlords cannot use the scheme to raise complaints against tenants. The government has confirmed that the scheme will be accessible online and by phone, with support provisions for vulnerable tenants.

What the Ombudsman can order

Ombudsman decisions are legally binding on landlords. The remedies available include requiring the landlord to issue a formal apology or explanation, take specified remedial action, provide information, and pay compensation to the tenant. The maximum compensation amount will be set by the scheme's operating regulations, which are yet to be finalised. Landlords who fail to comply with a binding Ombudsman decision risk expulsion from the scheme, which itself carries the same consequences as non-membership.

Landlords using August consistently tell us that the shift from complaint-by-complaint court decisions to a binding ombudsman framework changes the nature of risk management. It rewards landlords who respond promptly to maintenance requests and communicate professionally, and it creates a documented complaint record that persists even after a tenancy ends.

Penalties for non-membership

Failure to join the PRS Ombudsman when required triggers enforcement by local housing authorities. Failure to join triggers a civil penalty notice of up to £7,000 for a first breach, rising to up to £40,000 for continuing or repeated non-compliance, with criminal prosecution possible in the most serious cases. As confirmed in the gov.uk Guide to the Renters' Rights Act, local councils will also be able to take action against anyone who markets a PRS property where the landlord is not registered with the scheme.

A landlord who fails to join also faces restrictions on possession. The Act's implementation means non-compliant landlords may be unable to obtain a court order for possession except on Grounds 7A and 14, which relate to tenant anti-social behaviour and serious criminal conduct. Where a landlord persistently fails to comply with the scheme, tenants may also apply to the First-tier Tribunal for a rent repayment order, a mechanism explicitly linked to Ombudsman non-compliance under the Renters' Rights Act 2025.

Implementation timeline

The PRS Ombudsman is being introduced in phases alongside the broader Renters' Rights Act implementation roadmap.

The core tenancy reforms, abolition of Section 21, conversion of all ASTs to assured periodic tenancies, came into force on 1 May 2026. The PRS Database is due to launch from late 2026, with regional rollout and full national registration required from 2027. Mandatory Ombudsman membership is expected from 2028, following the formal appointment of the scheme administrator in 2026 and the development of the operating infrastructure.

The government has indicated strong preference for the Housing Ombudsman, which currently oversees social housing complaints, to administer the new PRS scheme, creating a single cross-tenure redress service. This appointment has not been formally confirmed as of the date of this entry. The government has committed to giving landlords sufficient notice before the mandatory membership date.

August's compliance checklist will be updated as the Ombudsman's registration portal goes live, giving landlords a single place to track their membership status alongside certificates and tenancy documents.

For a full guide to how the scheme works, what the complaint process involves, what decisions the Ombudsman can make, and the phased implementation timeline in detail, see our article on the PRS Landlord Ombudsman.

Frequently asked questions

Do I need to join the PRS Ombudsman if I use a letting agent?

Yes. The obligation is on the landlord, not the agent. Even if your managing agent belongs to a property redress scheme, that does not meet your separate obligation to join the PRS Landlord Ombudsman. Where both landlord and agent are implicated in a complaint, the two schemes can conduct joint investigations. Landlords who manage through an agent should ensure their agent is aware of, and is tracking, the landlord's Ombudsman membership requirement, but the responsibility and the penalty for non-compliance rest with the landlord.

Does the PRS Ombudsman apply in Scotland and Wales?

No. The PRS Ombudsman scheme is established under the Renters' Rights Act 2025, which applies to England only. Scotland operates under the Private Housing (Tenancies) (Scotland) Act 2016, which includes its own dispute resolution mechanisms through the First-tier Tribunal for Scotland (Housing and Property Chamber). Wales has a separate framework under the Renting Homes (Wales) Act 2016, including mandatory letting agent redress but no equivalent mandatory landlord ombudsman scheme as of May 2026.

What is the difference between the PRS Ombudsman and the Housing Ombudsman?

The Housing Ombudsman Service currently handles complaints from social housing tenants, those renting from councils and registered housing associations. The PRS Ombudsman, once operational, will cover private rented sector tenants. The government intends for the Housing Ombudsman to administer the new PRS scheme, which would create a single cross-tenure body covering both sectors, but the formal appointment has not yet been confirmed. Until the PRS Ombudsman goes live, private tenants with complaints must use local authority enforcement channels or the courts.

Can a landlord be expelled from the PRS Ombudsman scheme?

Yes. A landlord who repeatedly fails to comply with Ombudsman decisions, or who persistently fails to cooperate with investigations, can be expelled from the scheme. Expulsion carries the same consequences as non-membership: civil penalties, restricted possession rights, and eligibility for rent repayment orders from former tenants.