Renters' Rights Bill
A Landlord's Guide to the Renters' Rights Bill: Are you ready?
What You Need to Know as Royal Assent Approaches.
The Renters' Rights Bill is finally crossing the finish line. After months of parliamentary debates, committee reviews, and amendments, Royal Assent is expected any day now – possibly before the end of October 2025. But here's the thing: even when it officially becomes law, most changes won't kick in immediately. The government still needs to publish detailed regulations, and different provisions will roll out over the coming months.
As landlords, you've probably heard bits and pieces about what's coming. Let's cut through the noise and focus on what actually matters for your day-to-day operations.
The Big One: End of Section 21 Evictions
This is the headline change everyone's been talking about. Section 21 "no-fault" evictions are getting scrapped entirely. Gone. Finished.
What does this mean practically? Well, all new tenancies will automatically become periodic (rolling month-to-month contracts). You won't be able to just serve two months' notice anymore because you fancy a change or want to increase rent above market rates.
Instead, you'll only be able to evict tenants under specific legal grounds, including:
- Selling the property – but you'll need genuine evidence of your intention to sell
- Moving in yourself or housing close family – again, proof required
- Major refurbishment work – substantial works that require vacant possession
- Tenant breach – rent arrears, anti-social behaviour, or other contract violations
The key word here is "evidence." Courts will scrutinize possession claims more carefully, so start keeping detailed records now. If you're planning to sell a property in the future, document your intentions. If tenants are causing problems, maintain a paper trail of communications and incidents.
Rent Controls: Once Per Year, Two Months' Notice
Rent increases are getting reined in. You'll only be able to bump up the rent once every 12 months, and you'll need to give tenants at least two months' written notice.
But here's where it gets interesting – tenants will gain the right to challenge rent increases through a tribunal if they think the new amount is unfair or above market rate. This means you'll need to justify any increases with local market evidence.
Our advice? Start researching comparable properties in your area now. Keep records of local rental prices, and be prepared to demonstrate that your increases align with market conditions. Reasonable, evidence-backed increases are less likely to face challenges.
Upfront Payment Restrictions
The days of asking for multiple months' rent upfront are ending. Once the bill becomes law, you'll only be able to request:
- One month's rent in advance (or 28 days for shorter tenancies)
- This can only be requested after the tenancy agreement is signed
- No more asking for rent payments before contracts are in place
This change aims to reduce barriers for tenants, but it might affect your cash flow planning. You'll need to factor this into your financial projections, especially if you currently rely on larger upfront payments.
Rental Bidding Gets Banned
If you've been encouraging tenants to bid above your asking price, that's about to become illegal. The new law will prohibit landlords from:
- Asking tenants to bid above the advertised rent
- Encouraging competitive bidding
- Accepting offers above the asking price
You'll need to set a fair asking rent from the start and stick to it. Violations can result in civil penalties of up to £7,000 imposed by local councils, with multiple penalties possible for repeated breaches.
The message is clear: price your properties correctly from day one.
Mandatory Ombudsman Scheme
Every landlord will need to register with the new Private Rented Sector Landlord Ombudsman scheme. This isn't optional – it's mandatory.
The ombudsman will handle disputes between landlords and tenants, with the power to make legally binding decisions. Think of it as a alternative to court proceedings for many common disputes.
Registration details aren't available yet, but expect this to launch within months of Royal Assent. Keep an eye on government announcements, and budget for registration fees (amounts yet to be confirmed).
Other Changes Worth Noting
Pet Rules: The bill introduces a presumption that landlords should allow pets unless there's good reason not to. You can still refuse, but you'll need valid grounds.
Decent Homes Standard: Private rentals will need to meet the same standards as social housing. This includes basic amenities, reasonable state of repair, and modern facilities.
Property Portal: A new database will track rental properties, landlords, and compliance issues. More details on registration requirements are expected soon.
Timeline: When Does It All Happen?
Here's the realistic timeline based on government statements:
- Royal Assent: Expected before November 2025
- Section 21 abolition: Likely 6-12 months after Royal Assent
- Rent controls and advance payment rules: Could come into effect sooner, possibly within 3-6 months
- Ombudsman scheme: Expected to launch within 6 months of Royal Assent
- Other provisions: Staggered implementation over 12-18 months
The government wants to give landlords time to adjust, but don't bank on lengthy delays. Start preparing now.
How to Get Ready
Review Your Current Practices
Take an honest look at how you currently operate. Are you relying heavily on Section 21 evictions? Do you regularly ask for multiple months' rent upfront? Now's the time to adjust your approach.
Strengthen Tenant Relationships
With fewer eviction options available, maintaining good relationships with reliable tenants becomes even more valuable. Address maintenance issues promptly, communicate clearly, and consider whether small rent concessions might be worth keeping good tenants long-term.
Document Everything
Start keeping detailed records of all tenant communications, maintenance requests, and property-related decisions. If you ever need to pursue possession through the courts, proper documentation will be essential.
Market Research
Begin tracking local rental prices regularly. You'll need this data to justify future rent increases and ensure your properties are competitively priced from the outset.
Financial Planning
With reduced upfront payments and potentially longer void periods between tenancies, review your cash flow projections. You might need larger financial buffers than before.
Don't Panic – Get Professional Support
Look, we get it. These changes feel overwhelming, especially if you're managing multiple properties or new to the landlord game. But remember, thousands of landlords across the country are navigating these same waters.
The key is staying informed and adapting your practices gradually. You don't need to overhaul everything overnight, but you do need to start planning now.
At Abacus Homes, we're keeping close tabs on all these developments. Our team regularly briefs landlords on regulatory changes and helps navigate the practical implications for property management.
And relax! Let us take your stress away. We understand that staying on top of changing regulations while managing properties can feel like a full-time job. That's exactly why professional property management services exist – to handle the compliance headaches while you focus on building your portfolio.
If you’re a landlord and would like to discuss any of the major changes, feel free to contact us
A Brief overview
10 INDISPUTABLE RENTERS’ RIGHTS BILL REALITIES (EVERY LANDLORD NEEDS TO KNOW)
The Renters’ Rights Bill is the most significant reform the private rented sector (PRS) has seen since the Housing Act of 1988. Here’s what you need to know about the changes...
1. SECTION 21 ABOLISHED
The Renters’ Rights Bill will ban Section 21 ‘no-fault’ evictions to give renters greater security in their homes. Section 8 will now become the main way to evict tenants and grounds for possession have been updated and expanded.
2. PERIODIC TENANCIES REPLACE ASTS OVERNIGHT
All fixed-term assured shorthold tenancies (ASTs) will convert to periodic tenancies overnight. Any deal you sign now will immediately become a periodic tenancy once the RRB becomes effective, rather than running for the duration agreed in the contract.
3. RENT INCREASES LIMITED TO ONCE PER YEAR
Serving a Section 13 notice once per year will be the only way to raise the rent now ASTs are being abolished. Rent review clauses, renewals and written agreements will be no more.
4. TENANTS CAN CHALLENGE RENT INCREASES
Tenants can use a first-tier tribunal service to appeal rent increases they think are unfair. As of the July 2025 summer Parliament recess, there are no plans to backdate rent increases.
5. DECENT HOMES STANDARD ESTABLISHED
Private rental homes need to meet minimum standards. Landlords who fall below these standards can be fined up to £7,000 by local councils and may face prosecution.
6. AWAAB’S LAW INTRODUCED
Initially part of the Social Housing (Regulation) Act, this law means landlords must follow strict timescales to address health hazards, such as damp and mould.
7. BIDDING WARS BANNED
Landlords and letting agents must advertise a fixed asking rent and cannot accept offers above this price
8. MORE FREEDOM TO HAVE PETS IN LETS
Tenants will have more freedom to request a pet. During the report stage in the House of Lords, the government passed an amendment to remove landlords' ability to require tenants with pets to purchase insurance
9. DIGITAL DATABASE & PROPERTY OMBUDSMAN SET UP
A new digital database will provide transparency on landlord compliance. The property ombudsman will provide a resolution service to settle disputes without the need for court involvement.
10. TENANT DISCRIMINATION BANNED
Landlords can’t refuse tenants just because they have children or are receiving benefits.
Disclaimer: This article is intended as a guide only and does not constitute legal advice. Property laws can be complex, and individual circumstances vary. Always consult with qualified legal professionals for specific situations, and stay updated with official government guidance as implementation details are confirmed.
The Renters' Rights Bill represents the biggest shake-up in rental legislation for decades, but it's not the end of the world. Landlords who adapt their practices and maintain professional standards will continue to thrive in the evolving market.
Stay informed, stay prepared, and remember – change brings opportunities as well as challenges.
