Renters' Rights Act

Updated Guidance from Pedder on 13th January 2026

The Renters’ Rights Act 2025 represents the biggest reform to the private rented sector in England for decades. It abolishes no-fault evictions, replaces fixed-term tenancies, and introduces stronger protections for tenants — while significantly changing how landlords regain possession and manage their portfolios.
The Act received Royal Assent on 27 October 2025, but its changes are being introduced in stages, with the main tenancy reforms coming into force on 1 May 2026.
This page explains what the law now says, when each part takes effect, and what landlords and tenants should be doing now.

What changes on 1 May 2026
From 1 May 2026, the legal framework for renting in England changes fundamentally.

1. Section 21 is abolished

Landlords will no longer be able to evict tenants using “no-fault” Section 21 notices.
All possession must rely on statutory grounds under Section 8 (for example, selling, moving in, rent arrears or breach).
This applies to all tenancies, including those already in place.

2. All fixed-term tenancies end

Assured Shorthold Tenancies (ASTs) and fixed-term contracts will be abolished.
Every tenancy will become an Assured Periodic Tenancy, meaning:

• Tenancies roll from month to month
• There are no fixed terms
• There are no renewals
• There are no break clauses

Any existing fixed-term agreements will automatically convert into periodic tenancies when the Act is commenced.

3. 12-month protected period for tenants

From the start of a tenancy, tenants receive a 12-month protection period.
During this time, landlords cannot recover possession to sell the property or move in, except in very limited circumstances (for example, where the property is sold to another landlord who takes on the tenant).
This prevents landlords from letting a property and then quickly reclaiming it for sale or occupation.

4. New possession rules

Landlords will still be able to recover properties, but only using statutory grounds such as:

• Serious rent arrears
• Persistent late payment
• Anti-social behaviour 
• Breach of tenancy 
• Sale of the property
• Landlord or close family moving in

These grounds will come with defined notice periods and, in some cases, evidence requirements.

5. Tenant notice periods

Tenants can leave at any time by giving at least 2 months’ notice.
They do not need to wait for the end of a fixed term.

6. Rent increases are restricted

Rent can only be increased:

• Once per year
• Using a formal Section 13 notice 
• With at least two months' notice

Bidding wars will be banned and advertised rents must be transparent.

7. Limits on rent in advance

Landlords will generally be restricted to taking no more than one month’s rent in advance, preventing the use of large upfront payments to bypass affordability checks.

8. Pets

Tenants gain a right to request a pet.
Landlords can only refuse if they have a reasonable justification (for example, building restrictions or insurance issues).

Phase 2 – Late 2026

The government will introduce further regulatory controls, including:

Landlord & Property Database

A national register where landlords must record:

• Their identity  
• Their properties 
• Compliance documents (EPC, Gas Safety, EICR, etc.)

Failure to register will affect the ability to let or recover possession

Private Rented Sector Ombudsman

All landlords will be required to join a new independent PRS Ombudsman, giving tenants a formal route to challenge poor practice without going to court.

Phase 3 – Property Standards (Date TBC)

Further reforms will introduce:

• A Decent Homes Standard for private rented properties 
• Stronger obligations to deal with hazards such as damp and mould
• Expanded versions of Awaab's Law

These changes will be introduced by further regulations after consultation.

What this means for landlords

Landlords must prepare for:

• No more fixed-term tenancies 
• No more Section 21
• Stronger court scrutiny of possession claims
• Formal rent increases processes 
• Mandatory registration and ombudsman membership
• Greater compliance enforcement

Landlords who do not adapt their documentation, compliance and management processes risk being unable to lawfully recover possession or enforce rent increases.

How Pedder can help

Pedder is already preparing landlords for the new regime, including:

• Updating tenancy documentation 
• Reviewing possession strategies
• Ensuring compliance readiness 
• Structuring portfolios for the post-2026 legal environment

If you own or manage property in South-East London, contact us to discuss how the Renters’ Rights Act will affect your portfolio and what steps you should take now.
propman@pedderproperty.com or calling 0208 702 8555.

For further information, please visit:

Guide to the Renters’ Rights Act - GOV.UK
Renters’ Rights Act 2025 - Parliamentary Bills - UK Parliament.