The Renters’ Rights Act received Royal Assent in May 2026 following a protracted legislative journey. The changes are significant for anyone with residential lettings in England, and the transition period is shorter than many landlords anticipated.
End of fixed-term tenancies
The Act abolishes fixed-term Assured Shorthold Tenancies. All new tenancies are now periodic from the outset, rolling month to month, and existing fixed-term tenancies will convert to periodic tenancies when they expire. This removes the certainty of a fixed income period and means tenants can give two months’ notice to leave at any point.
For HMO landlords this is particularly significant. The ability to offer fixed terms has historically been a selling point for professional tenants; the loss of that option may affect tenant quality in some markets.
Section 21 abolished
Section 21 ‘no-fault’ eviction notices have been abolished. Landlords must now use the Section 8 grounds-based process to recover possession in all cases. While the Act has strengthened several Section 8 grounds, including a mandatory ground for repeated arrears and an extended ground for landlords wishing to sell or move in, the process is longer and less predictable than Section 21.
Ensuring robust tenancy agreements, consistent rent arrears management, and thorough referencing has never been more important. Prevention is significantly cheaper than possession proceedings.
Rent increases
Landlords can now only increase rent once per year and must use the prescribed Section 13 notice process. Tenants have the right to challenge increases at the First-tier Tribunal, which cannot set rent above the current market rate, a change from the previous regime which could in theory award above-market rents.
The Private Rented Sector Database
All landlords in England are required to register on the new digital PRS Database before letting a property. The database is administered by local authorities. Failure to register is a civil offence carrying fines and, in serious cases, a banning order. Registration is free and the process is straightforward, but it is now a pre-condition of legally letting a property.
What landlords should do now
Register on the PRS Database immediately if you haven’t already. Review your tenancy agreements and referencing processes. Ensure your rent review process uses the correct Section 13 procedure. If you have legacy fixed-term tenancies, understand when they convert and plan accordingly. Speak to a specialist letting agent or solicitor if you have any complex tenancies or ongoing possession issues.