Renters’ Rights Act: Update

The first phase of the Renters’ Rights Act 2025 (“RRA”) came into force today, 1 May 2026. The RRA delivers wide‑ranging reforms to the private rented sector and is intended by the government to rebalance the relationship between landlords and tenants. This article provides a brief update on the key tenancy‑related changes introduced under Phase 1.

Information Sheet

Landlords and letting agents acting on their behalf must provide tenants with an information sheet about the changes by 31 May 2026.

Tenancy Periods

The RRA 2025 marks the end of fixed‑term assured shorthold tenancies for both new and existing tenancies. Any existing fixed‑term assured shorthold tenancies have automatically converted into open‑ended periodic tenancies, without the need for new agreements to be signed. Tenants may bring a tenancy to an end by giving at least two months’ written notice. However, landlords are no longer able to end a tenancy simply by serving a Section 21 notice. Instead, one or more of the statutory grounds for possession must be relied upon.

“No fault” Evictions

Landlords can no longer rely on section 21 of the Housing Act 1988 to recover possession. Possession can now only be sought by relying on one or more of the statutory grounds for possession and following the section 8 process. However, any valid section 21 notices served before the end of April 2026 remain subject to transitional provisions and may still be relied upon, provided the relevant court proceedings are commenced within the prescribed time limits.

Grounds for Possession

The RRA 2025 expands and amends the grounds for possession, which include circumstances such as rent arrears, anti‑social behaviour, or where a landlord intends to sell or occupy the property themselves.

The length of notice required will depend on the ground relied upon. In broad terms, the shortest or no notice periods apply where there is serious tenant misconduct, such as anti‑social behaviour or criminal activity; standard notice periods apply in cases such as rent arrears; and longer notice periods apply where possession is sought for landlord‑related reasons, such as sale or occupation.

In cases involving serious anti‑social behaviour or criminal damage, landlords may serve notice immediately and apply to the court without delay. However, eviction can only take place following the grant of a court order. Tenants also benefit from a

12-month protected period at the start of a tenancy, during which landlords are prohibited from seeking possession on grounds relating to sale of the property or occupation by the landlord or a close family member.

The current grounds can be accessed via the following link Grounds for possession: guidance for landlords and letting agents.

Rent Increases

Rent increases are more tightly regulated under the RRA. Landlords may increase rent no more than once in any 12‑month period and must follow the statutory procedure when doing so. Contractual rent review clauses which previously allowed rent to be increased outside this process will no longer have effect. Tenants also retain the ability to challenge proposed rent increases if they consider them to be above market levels. Any challenge will be determined by the First‑tier Tribunal, which will assess whether the proposed rent reflects the open market rent for the property.

Rent in Advance

The RRA 2025 places new restrictions on the payment of rent in advance. Landlords may request no more than one month’s rent to secure a tenancy in the period between all parties signing the tenancy agreement and the tenancy starting (or 28 days’ rent where the rental period is less than one month). Landlords and letting agents are not permitted to accept any payment of rent before this period. Once the tenancy has begun, rent can only be required when it falls due and landlords may not require tenants to make advance lump‑sum rent payments, subject to limited statutory exceptions.

Conclusion

This marks the first phase of the RRA, with further reforms to follow. Phase two, which includes the introduction of the Private Rented Sector Database, the Private Rented Sector Landlord Ombudsman and aspects of County Court reform, is expected to be implemented from late 2026 onwards. Later reforms in phase three will address standards and safety in the private rented sector.

While Phase one represents a significant reform, the practical operation remains to be tested, particularly given existing pressures on the court system. The government has stated it intends to recruit up to 1,000 judges and tribunal members across the courts and tribunals, and that local authorities have received a share of £60 million to support enforcement. The government guide to the RRA 2025 can be accessed via the following link Guide to the Renters’ Rights Act.

This note is intended to be a summary of the legislation as of 1 May 2025. It is not intended as legal advice, which will depend on individual circumstances. We recommend that you take legal advice if you are affected by any of the issues above.


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Disclaimer: This publication is provided by Laytons LLP for informational purposes only. The information contained in this publication should not be construed as legal advice. Any questions or further information regarding the matters discussed in this publication can be directed to your regular contact at Laytons LLP or Laytons’ Real Estate Disputes team.