Renters’ Rights Act 2025: What Landlords and Tenants Need to Know…

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The Renters’ Rights Act 2025, which received Royal Assent on 27 October, marks the most significant reform to England’s private rental sector in over 30 years. Designed to improve security, fairness, and housing standards, the Act affects 11 million tenants and 2.3 million landlords. Here’s what you need to know:

🏠 Tenancy Structure Overhaul

Fixed-term tenancies abolished: All new and existing tenancies will convert to periodic (rolling) contracts.
Tenants can leave with two months’ notice at any time.
Landlords must give four months’ notice to regain possession for sale or personal use — and cannot re-let for 12 months if the sale falls through.

🚫 End of Section 21 ‘No-Fault’ Evictions

Landlords must now use Section 8 grounds to evict — such as:
- Rent arrears (now defined as 3+ months).
- Anti-social behaviour.
- Intention to sell or move in.
All evictions will require court hearings, increasing time and cost.

💷 Rent Controls and Transparency

Rent increases limited to once per year, via a Section 13 notice.
Tenants can challenge rent hikes at a tribunal.
Bidding wars banned: Properties must be advertised with a fixed rent; landlords cannot accept offers above this.

🐾 Pets and Anti-Discrimination

Tenants gain the right to request pets; landlords must respond reasonably.
Discrimination banned: Landlords cannot refuse tenants based on benefits or family status.

🛠️ Housing Standards and Repairs

Decent Homes Standard now applies to private rentals.
Awaab’s Law extended: Landlords must fix serious hazards (e.g. mould, damp) within set timeframes.

🗂️ New Oversight and Compliance

National landlord database: All landlords must register.
Mandatory redress scheme: A new Private Rented Sector Ombudsman will resolve disputes.
Local authorities gain stronger enforcement powers.

📅 Implementation Timeline

The Act is not yet in force. Key provisions are expected to roll out in mid-2026, with further regulations to follow.
The government has promised a single commencement date for all tenancies to avoid confusion.

💡 Lexington Wealth Perspective

This reform reshapes the rental landscape. For landlords, it introduces new compliance burdens and reduces flexibility. For tenants, it offers greater protection and stability. Investors should review their portfolios, update tenancy agreements, and prepare for tribunal-based rent reviews.

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