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Monday was an historic day for the private rental sector as the long-awaited Renter’s Rights Bill received Royal Assent and is now the Renter’s Rights Act.
We are yet to hear when the Act will come into force, but it is expected to be Spring/Summer 2026.
It is likely that it will be implemented in phases with the abolition of Section 21, loss of the fixed term, changes to rent increases and bans on rent paid in advance and over asking price offers being acceptable to come in first, and the landlord ombudsman, PRS database, Decent Homes Standard (DHS) and extension of Awaab’s Law to the PRS coming later.
Key takeaways are:
* Abolition of Section 21 eviction notices and the removal of fixed term tenancies, making all assured tenancies periodic from the start.
* Changes to the way rent increases are issued and the provision of more powers for tenants to challenge increases.
* New Private Rented Sector Landlord Ombudsman for tenants’ complaints about their landlord.
* New Private Rented Sector Database for landlords.
* The right for a tenant to request a pet, which the landlord cannot unreasonably refuse.
* Application of the Decent Homes Standard and Awaab’s Law to the PRS.
* Making it illegal for landlords or agents to discriminate against prospective tenants in receipt of benefits or with children
* Ending a landlord or agent’s ability to accept an over asking-price offer or to ask for rent to be paid in advance.
* Strengthening local authority enforcement by expanding civil penalties and introducing further investigatory powers.
* Applying rent repayment orders to superior landlords, doubling the maximum penalty and ensuring repeat offenders have to repay the maximum amount.
