The Renters' Rights Bill 2025: 7 Changes Every Landlord Must Know (Before It's Too Late)

The rental landscape is about to change dramatically. The Labour government's Renters' Rights Bill 2025 represents the biggest shake-up to private renting in decades, and as a landlord, you need to be prepared.

This comprehensive legislation isn't just tweaking existing rules—it's fundamentally reshaping how rental properties operate across England. Whether you're a seasoned landlord with multiple properties or just starting out, these changes will affect every aspect of your lettings business.

Let's break down the seven most crucial changes you need to understand, so you can adapt your approach and continue running a successful rental business.

1. Section 21 'No-Fault' Evictions Are Gone Forever

The biggest headline change? Section 21 notices are being completely abolished. No more "no-fault" evictions where you could end a tenancy without providing a reason.

What this means for you:

• You'll only be able to evict tenants for specific, valid reasons
• Every eviction will need to go through Section 8 proceedings
• You'll need stronger documentation and evidence for any possession claims
• The process will take longer and require more preparation

The good news? You'll still have legitimate grounds for eviction, including rent arrears, property damage, or antisocial behaviour. The key is ensuring you follow proper procedures and maintain detailed records from day one.

2. All Tenancies Become Periodic Overnight

Say goodbye to fixed-term Assured Shorthold Tenancies (ASTs). Under the new system, all residential tenancies will automatically become periodic from the start—essentially rolling month-to-month or week-to-week agreements.

Key changes:

• No more 6 or 12-month fixed terms
• Tenants can leave with just 2 months' notice
• You cannot tie tenants into lengthy contracts
• Greater flexibility for both parties, but less predictability for landlords

This shift gives tenants much more freedom to move, while landlords lose the security of guaranteed longer-term income. You'll need to focus more on tenant retention and ensuring your properties offer genuine value.

3. Strict Rent Control Measures

The days of unlimited rent increases are over. The new legislation introduces significant restrictions on how and when you can raise rents.

New rent rules:

• Rent increases limited to once per year maximum
• You must provide 2 months' written notice for any increase
• Tenants gain the right to challenge excessive rent rises
• Independent tribunals will determine fair market rates

Practical impact: You'll need to be more strategic about setting initial rents, as you won't be able to make frequent adjustments. Market research becomes crucial, and any increases must be genuinely justifiable based on local market conditions or property improvements.

4. Enhanced Property Standards and Safety

Two major standards are being introduced that will affect how you maintain your properties.

The Decent Homes Standard sets minimum requirements for:

• Structural integrity and weatherproofing
• Modern facilities and reasonable space
• Adequate heating systems
• Energy efficiency measures

Awaab's Law specifically targets damp and mould issues, following the tragic case of two-year-old Awaab Ishak. This requires:

• Prompt reporting and resolution of hazards
• Mandatory timeframes for addressing health and safety issues
• Serious penalties for non-compliance

You'll need to be proactive about property maintenance rather than reactive. Regular inspections, swift repairs, and preventive measures become essential, not optional.

5. Pet-Friendly Properties Become the Default

The legislation introduces a presumption in favour of tenants keeping pets. Landlords can no longer impose blanket "no pets" policies without valid reasons.

What changes:

• You cannot unreasonably refuse pet requests
• Any refusal must be based on legitimate concerns (property size, lease restrictions, etc.)
• Pet deposits and additional insurance may still be permitted
• You'll need to justify decisions rather than simply saying "no"

The opportunity: Pet-owning tenants often stay longer and take better care of properties. This could actually improve tenant retention if you embrace it positively.

6. Bidding Wars Are Banned

The practice of encouraging multiple prospective tenants to bid above the advertised rent is being outlawed entirely.

New requirements:

• Properties must be advertised at a fixed price
• You cannot invite or encourage higher offers
• The first suitable applicant who meets criteria gets priority
• Transparent, fair selection processes become mandatory

This levels the playing field and removes the pressure on tenants to outbid each other, but it also means you need to price properties accurately from the start.

7. Digital Database and Enhanced Enforcement

A comprehensive digital Property Portal will launch, creating unprecedented transparency and accountability in the rental sector.

Key features:

• Mandatory registration for all rental properties
• Public database of landlord compliance records
• Enhanced powers for local authorities
• Single platform for understanding legal obligations

Additional enforcement measures:

• Expanded Database of Rogue Landlords with public access
• New Property Ombudsman for dispute resolution
• Stronger penalties for discrimination against tenants
• Better protection for tenants receiving benefits or with children

What This Means for Your Business

These changes aren't designed to punish good landlords—they're aimed at raising standards across the sector and protecting tenants from poor practices. If you're already running your properties professionally, many of these changes won't dramatically impact your day-to-day operations.

Focus areas for 2025:

• Review and update your tenant selection processes
• Ensure all properties meet the new standards
• Develop better tenant retention strategies
• Create robust documentation systems
• Consider professional property management support

Preparing for the Changes

The legislation is expected to come into force in late 2025/2026, giving you time to prepare. Here's how to get ready:

Immediate actions:

• Audit your current properties against new standards
• Review your rent levels and increase policies
• Update tenancy agreements and procedures
• Invest in property improvements where needed

Longer-term strategy:

• Build stronger relationships with reliable tenants
• Consider professional lettings management
• Focus on quality over quantity in your portfolio
• Stay informed about implementation timelines

And relax! While these changes seem overwhelming, many represent best practices that good landlords already follow. The key is staying informed and adapting your approach.At Abacus Homes, we understand these changes can feel daunting. Our experienced team stays ahead of all legislative updates, ensuring your properties remain compliant while maximizing their rental potential. From tenant finding to full management services, we take the stress away from landlords navigating this new landscape.

The rental market is evolving, but with proper preparation and professional support, you can continue to build a successful property business that works for both you and your tenants.

This article is intended as a guide only and does not constitute legal advice. For specific guidance on your circumstances, please consult with qualified professionals.