What Is the Renters' Rights Act?
The Renters' Rights Act is the most significant overhaul of private rented sector legislation in England in over thirty years. After years of consultation, two failed bills, and enormous political pressure from tenant advocacy groups, the Act received Royal Assent in 2025 — and it fundamentally changes the relationship between landlords and tenants.
Unlike previous incremental amendments, the Renters' Rights Act does not simply adjust existing rules. It replaces the entire framework through which landlords can recover possession of their property, introduces new mandatory registration and oversight systems, and creates powerful new enforcement mechanisms that local authorities and tenants can use against non-compliant landlords.
The message from government is clear: the era of informal, unregulated private lettings is over. Landlords who do not adapt will face financial penalties, prosecution, and the very real risk of being unable to legally manage or regain possession of their own properties.
📌 When does it apply? The Act applies to all tenancies — existing and new — from the commencement date set by government. There is no phased transition period for existing tenancies. Landlords cannot wait and see: the changes apply immediately and simultaneously across all their properties.
Section 21 Is Abolished — Permanently
This is the headline change. Section 21 notices — the so-called "no-fault" eviction route — are abolished entirely. Landlords can no longer serve a notice requiring tenants to vacate without stating a specific legal reason.
Under the old system, a Section 21 notice could be served on any assured shorthold tenancy once the fixed term expired, giving tenants two months' notice with no reason required. This gave landlords significant flexibility — but also allowed misuse, including retaliatory evictions against tenants who complained about property conditions.
Under the Renters' Rights Act, all tenancies become periodic tenancies — effectively rolling month-to-month contracts with no fixed end date. Tenants have the right to remain in the property indefinitely unless the landlord can establish a valid ground for possession under the reformed Section 8 framework.
⚠️ Critical implication: If you relied on Section 21 as a routine management tool — for end-of-tenancy turnovers, refurbishments, or portfolio restructuring — you must now plan entirely differently. Every possession action requires a valid Section 8 ground, a correctly served notice, and in contested cases, a court order.
Stronger Section 8 Grounds for Possession
To compensate for the removal of Section 21, the government has significantly expanded and strengthened the Section 8 grounds for possession. Landlords now have more specific routes to regain their property — but each comes with strict evidential requirements and notice periods.
New Mandatory Grounds
- Ground 1A — Landlord intent to sell: Allows possession where the landlord genuinely intends to sell the property. Requires four months' notice and evidence of the intention to sell. Cannot be used within 12 months of the tenancy start. The property cannot be re-let for 12 months after possession is granted.
- Ground 1B — Landlord or family to occupy: Strengthened from the previous discretionary Ground 1. Requires four months' notice. The landlord or a specified close family member must actually move in.
- Ground 6A — Demolition or redevelopment: Allows possession where the landlord intends substantial structural works that cannot be carried out with the tenant in occupation.
- Ground 8 — Rent arrears (mandatory): Threshold raised. At least three months' rent must be owed at the date of notice and at the date of the hearing. This is stricter than before and removes the landlord's ability to issue proceedings on short-term arrears.
Student Accommodation Provisions
Purpose-built student accommodation and HMOs let exclusively to students have access to a specific student possession ground, allowing landlords to regain possession at the end of the academic year. This protects the operational model of student lettings — but only where the property is used exclusively for that purpose.
✅ Practical advice: Every landlord should document their possession grounds thoroughly from the start of each tenancy. Rent arrears records, communication logs, and inspection reports are all essential evidence if you need to rely on Section 8 in future.
The Mandatory Private Rented Sector Database
The Act creates a new Private Rented Sector Database — a mandatory national register on which every landlord letting residential property in England must register themselves and each of their properties. The database is publicly accessible and will be used by local authorities, tenants, and mortgage lenders.
Registration requires landlords to provide personal information, property addresses, and — critically — evidence of compliance with key legal obligations including gas safety, electrical safety, and EPC requirements. Local authorities will have direct access to the database and the power to check compliance status and enforce against non-registered landlords.
The consequences of failing to register are severe and stack across multiple areas:
- Civil penalties of up to £7,000 for first-time non-registration
- Up to £40,000 for serious or repeat failures
- Inability to serve a valid Section 8 possession notice while unregistered
- Potential prohibition from letting property until compliance is achieved
⚠️ Compliance certificates are now gating requirements: Without a valid Gas Safety Certificate, EICR, and EPC on file, you cannot complete your database registration. This means non-compliance with property safety obligations now directly prevents you from operating legally as a landlord.
The Mandatory Ombudsman Scheme
Every private landlord in England must join the new Private Rented Sector Ombudsman — an independent body with the power to investigate landlord conduct, require remedial action, and award financial compensation to tenants.
The Ombudsman can investigate complaints about any aspect of the landlord-tenant relationship — from property condition and repair failures to communication, illegal eviction, and deposit disputes. Crucially, the Ombudsman's decisions are binding on landlords.
Awards can reach up to £25,000 per complaint. The Ombudsman also has the power to require landlords to carry out repairs, provide apologies, and change their practices. Landlords who refuse to comply with Ombudsman decisions face escalation to local authorities and further civil penalties.
📋 Why compliance protects you: The best defence against Ombudsman complaints is a documented, consistent compliance record. Landlords who hold valid safety certificates, respond promptly to repair requests, and maintain clear communication with tenants are far less likely to face successful complaints — and far better placed to defend against them if they arise.
New Rules on Rent Increases
The Act significantly restricts how and when landlords can increase rent. The key rules are:
- Once per 12 months only — landlords can increase rent no more than once per year, regardless of tenancy length
- Two months' written notice required before any increase takes effect
- Fixed prescribed form — increases must be notified using the government-specified Section 13 notice format
- Tenant right to tribunal challenge — tenants can refer any increase to the First-tier Tribunal, which will assess whether the proposed rent reflects open market value
- Rent frozen during tribunal — any challenged increase is suspended until the Tribunal determines the case
The Tribunal sets rent at the open market rate — it cannot reduce rent below market value. However, tribunal proceedings can take several months, during which the landlord receives the lower pre-increase rent. Landlords must ensure any proposed increase is genuinely justifiable and properly evidenced.
⚠️ Banned practices: Rental bidding wars are outlawed. Landlords and their agents cannot advertise properties without a fixed asking rent, invite offers above that rent, or accept unsolicited higher offers. Breach is a civil offence.
Pets, Decent Homes Standard, and Discrimination
The Right to Keep Pets
Tenants now have the legal right to request permission to keep a pet. Landlords must respond in writing within 28 days. Refusal must be on objectively reasonable grounds — such as leasehold restrictions or demonstrable property suitability issues. Blanket "no pets" clauses in tenancy agreements are no longer enforceable.
Landlords may require tenants to obtain pet damage insurance as a condition of consent — a reasonable safeguard against additional wear and tear. This should be clearly documented in the tenancy agreement variation.
Decent Homes Standard Extended to the Private Sector
The Decent Homes Standard — previously applicable only to social housing — is now extended to private rental properties. Properties must meet minimum standards for structural condition, heating systems, freedom from damp and mould, and modern facilities. Local authorities have new enforcement powers to require landlords to bring non-compliant properties up to standard.
Awaab's Law Extended
Following its introduction in social housing, Awaab's Law is extended to the private rented sector. Landlords must investigate and begin remediation of reported health hazards — including damp and mould — within strict statutory timeframes. Failure to act is an actionable breach, and tenants can seek remediation orders through the courts.
Discrimination Protections
Landlords and agents are prohibited from refusing to let a property — or from applying different terms — on the basis that a prospective tenant receives housing benefit or other welfare payments, or that they have dependent children. This codifies into law what many considered best practice, and provides tenants with a direct enforcement route.
Penalties for Non-Compliance — Now Severe and Far-Reaching
The Renters' Rights Act dramatically escalates the financial and legal consequences of non-compliance. Unlike previous legislation where penalties were often modest or difficult to enforce, the new framework gives local authorities and tenants powerful tools to pursue landlords who fall short.
Beyond financial penalties, the reputational consequences of non-compliance are significant. The Private Rented Sector Database is publicly accessible — meaning prospective tenants, mortgage lenders, and local councils can all see a landlord's compliance history. A record of enforcement action or Ombudsman findings will follow a landlord's portfolio for years.
⚠️ Compounding risk: Many penalties under the Act apply per property, not per landlord. A portfolio landlord with five non-compliant properties does not face one penalty — they face five. The arithmetic of non-compliance at scale is catastrophic.
Your Compliance Action Plan — What to Do Right Now
The scale of change in the Renters' Rights Act can feel overwhelming. The landlords who will navigate it successfully are not those who wait for enforcement — they are those who treat compliance as a business priority and act before penalties arrive. Here is your immediate action plan.
- Audit your Gas Safety CertificatesEvery rental property needs a valid CP12. Inspections must be carried out annually by a Gas Safe registered engineer. An expired certificate means you cannot register on the landlord database.
- Book your EICR if it is dueElectrical Installation Condition Reports must be renewed every five years or at change of tenancy. Without a valid EICR, your database registration is incomplete and you are exposed to enforcement action.
- Confirm your EPC rating is E or aboveMinimum EPC rating of E is already a legal requirement. The minimum is expected to rise. An EPC is mandatory for database registration — and upgrading now avoids the rushed cost of doing so under enforcement pressure.
- Prepare to register on the PRS DatabaseGather all compliance documents — Gas Safety, EICR, EPC — and any relevant property information. Registration will be mandatory from commencement. Early registration demonstrates good faith to local authorities.
- Join the PRS Ombudsman schemeMembership is mandatory. Engage early, understand the complaints process, and ensure your tenancy management practices are documented. Good records are your strongest protection against complaints.
- Review your tenancy management approachWith Section 21 gone, every possession action depends on properly documented grounds. Start keeping thorough records of rent payments, repair requests, and all tenant communications from today.
💡 Propsnap can help immediately with steps 1–3. We provide Gas Safety Certificates, EICR reports, and EPC assessments across London — with fixed transparent pricing, same-week slots, and all certificates issued within 24 hours. Book your compliance bundle today.
Frequently Asked Questions
The Bottom Line
The Renters' Rights Act is not a warning — it is a fundamental restructuring of how private renting works in England. The landlords who treat it as a background concern, something to deal with later, will find themselves facing financial penalties, possession proceedings they cannot complete, and an inability to operate legally.
The landlords who adapt — who ensure their properties are fully compliant, who register on the database early, who document their tenancy management properly — will navigate this transition without disruption. Compliance is no longer optional; it is the baseline for operating in this market.
At Propsnap, we exist to make that compliance straightforward. Gas Safety Certificates, EICR reports, and EPC assessments — booked in one call, completed to the highest standard, and delivered within 24 hours. Whether you manage one property or a portfolio across London, we take the compliance burden off your desk so you can focus on running your business.
Book your compliance checks today or call us on 020 7088 8299 — we will make sure you are ready.
