The Renters’ Rights Act 2025: What Landlords Need to Know

The private rented sector is preparing for one of the most significant legislative overhauls in decades. The newly passed Renters’ Rights Act 2025 will reshape how landlords operate and how tenants engage with the market. With implementation expected to begin in 2026, now is the time for landlords to familiarise themselves with the changes and assess how they will affect property management.

End of Fixed-Term Tenancies

One of the most fundamental changes is the end of traditional fixed-term Assured Shorthold Tenancies. Under the new Act, all new and existing agreements will move to open-ended periodic tenancies. This shift is intended to give tenants greater stability, but it also means landlords will need to update tenancy documents and reconsider how they manage renewals and rental cycles.

Section 21 Abolished

Another major reform is the abolition of Section 21 ‘no-fault’ evictions. In future, landlords seeking possession will have to rely on specific grounds, such as rent arrears or the need to sell or move back into the property. This will require more robust record-keeping and stricter adherence to tenancy management processes.

Changes to Rent Practices

The Act also brings new rules governing rent:
• Rent increases will be limited to once per year and must follow a defined procedure.
• Rent bidding—the practice of encouraging tenants to offer above the advertised price—will be prohibited.
• Advance rent will be capped, restricting the amount landlords can request upfront.

Landlords will need to set rents carefully from the outset and ensure all increases are supported by clear evidence and correct notices.

Stronger Tenant Rights

The Act introduces new protections aimed at promoting fairness and preventing discrimination. Landlords and agents will no longer be able to refuse applicants because they have children or claim benefits. Tenants will also gain enhanced rights to request pets, and landlords will be expected to give reasonable consideration to such requests.

Higher Standards and Oversight

A new Decent Homes Standard for the private rented sector will raise expectations for property condition. At the same time, a national landlord database and new ombudsman service will introduce greater accountability. Non-compliance will likely carry stronger penalties, meaning landlords must ensure their properties and procedures meet the updated requirements.

Preparing for Change

While many details will be clarified in the coming months, landlords should begin preparing now. Reviewing tenancy agreements, updating advertising practices, assessing rent strategies, and ensuring maintenance routines are up to standard will all be essential steps. Those who manage their own properties may find the new regime more complex than before, making professional guidance invaluable.

Don't panic. If you are managing your property yourself, arrange a meeting with David Sansome in one of our Sansome & George offices and we can guide you through the changes. Call: 01256 807 111 or by E-mailing: lettings@sansomeandgeorge.co.uk