Landlords will no longer be able to evict tenants without a valid reason. This means all fixed-term assured shorthold tenancies (ASTs) will automatically become periodic monthly tenancies. If a landlord wants to repossess their property, they will now need to use the Section 8 process and provide clear reasons, such as unpaid rent, property sale, or if they plan to move in themselves or accommodate close family members.
The updated Section 8 will include more explicit reasons for eviction. Mandatory grounds—like significant rent arrears (at least two months overdue) or needing the property for personal use—will streamline certain eviction cases. Discretionary grounds will handle less severe cases, like minor arrears, breaches of contract, or property renovations. Courts will introduce digital processes to manage these cases more efficiently, though there are concerns about potential court delays initially.
Rent increases will be limited to once per year, requiring landlords to give at least two months' notice and stick closely to local market rates. Additionally, landlords won't be able to encourage or accept rental bids above the advertised price, effectively ending bidding wars.
Tenants will benefit from lifetime deposits, which transfer from property to property, reducing financial pressure. Pet owners will find it easier to secure rentals, as landlords must reasonably consider pet requests within a specific timeframe and provide justification for any refusals, often requiring tenants to obtain pet insurance. Additionally, discrimination against tenants based on family status, children, or receipt of benefits will be prohibited.
The Decent Homes Standard will now apply to privately rented properties, compelling landlords to promptly address health hazards like mould and damp. The introduction of "Awaab’s Law" will specifically target issues causing health risks, requiring swift resolution by landlords within defined time limits.
A new private rental sector ombudsman will offer tenants an accessible, alternative way to resolve disputes outside of court, significantly reducing legal costs and time. Additionally, landlords will be required to join a national register, aiming for better transparency and accountability across the rental market.
Tenants will have stronger rights to claim compensation through Rent Repayment Orders (RROs), potentially recovering up to two years' worth of rent for breaches by landlords. Repeat offences could also see company directors held personally accountable, providing a strong deterrent against repeated landlord negligence.
The Renters' Rights Bill is progressing through parliament, expected to receive Royal Assent by late 2025. Most measures will come into effect from early 2026, with transitional rules for existing tenancies running into mid-2026. Landlords and tenants should closely follow updates to stay informed.
Landlords will face tighter controls and possibly slower eviction processes, which could initially create administrative and financial challenges. However, these changes could lead to greater tenant satisfaction, longer-term rentals, and improved relationships. Tenants stand to benefit significantly, gaining more security, better living conditions, clarity around rent increases, and simpler dispute resolutions.
The Renters' Rights Bill represents a pivotal shift toward fairer practices in the UK rental market. Although the initial adjustment may present challenges, these reforms promise to create a balanced and transparent system benefiting both responsible landlords and tenants. Early preparation will help landlords navigate these changes successfully.