The Renters’ Rights Act Explained: What the Changes Really Mean for Landlords, Tenants and the Future of Lettings

The Renters Rights Act: Updated

 

The private rented sector in England is entering one of its most significant periods of change in decades. The forthcoming Renters’ Rights Act is not simply an update to existing rules. It represents a structural shift in how tenancies are granted, managed and ended, with implications that will be felt by landlords, tenants and letting agents alike.

For landlords and renters across the whole of London, including Rotherhithe, Canada Water, Bermondsey, New Cross and Peckham these changes are not theoretical. They will directly influence how homes are let, how long tenants stay and how properties are managed on a day to day basis. At Alex & Matteo Estate Agents, conversations with local landlords already reflect a growing awareness that preparation for the new framework is just as important as understanding it.

A Move Away from Fixed Terms Towards Open Ended Renting

One of the most fundamental reforms is the move to a single system of periodic tenancies. Traditionally, most private rentals have operated on fixed term Assured Shorthold Tenancies, often for six or twelve months. At the end of that period, the agreement could be renewed or brought to a close.

Under the new framework, these fixed terms will effectively disappear. Tenancies will instead roll on without a defined end date, with tenants able to remain in situ unless a landlord has a valid legal reason to regain possession.

Importantly, tenants will be able to serve two months’ notice to leave at any time, without needing to wait for a fixed term to expire. This gives renters greater flexibility while retaining the landlord’s right to regain possession only through defined statutory grounds.

This represents a philosophical shift as much as a legal one. Renting is being repositioned less as a short term arrangement and more as a stable housing option. For tenants, this is intended to provide greater certainty. For landlords, it means planning for longer occupancy and adjusting expectations around turnover.

The End of Section 21 and the Rise of Defined Grounds for Possession

The removal of Section 21 no fault evictions is perhaps the most widely discussed aspect of the reforms. In practical terms, landlords will no longer be able to end a tenancy simply by serving notice. Instead, possession will only be possible where specific statutory grounds are met.

Grounds for Possession Under the New Framework

The Government has outlined mandatory and discretionary grounds, each with defined notice periods.

Mandatory Grounds (where possession must be granted if proven)

  • Landlord intends to sell the property – 4 months’ notice (cannot be used within the first 12 months of a tenancy)
  • Landlord or close family member intends to move in – 4 months’ notice (also restricted during first 12 months)
  • Serious rent arrears – 4 weeks’ notice where arrears exceed a specified threshold
  • Repeated serious arrears – 4 weeks’ notice
  • Tenant convicted of serious criminal behaviour – Immediate to 2 weeks depending on severity
  • Anti social behaviour – Immediate to 2 weeks depending on severity

Discretionary Grounds

  • Breach of tenancy agreement – typically 2 weeks’ notice
  • Deterioration of property condition – 2 weeks’ notice
  • Persistent late payment of rent – 2 weeks’ notice
  • False statements made by tenant – 2 weeks’ notice
  • Employment related accommodation ending – 2 months’ notice

Landlords will need to evidence the ground clearly and follow a defined legal process. The reforms therefore place increased emphasis on accurate record keeping, compliance documentation and professional tenancy management.

Rent Increases Become More Formalised

The new system changes how and when rents can be increased. Landlords will generally be limited to one increase per year, using a formal Section 13 process.

Any proposed increase must reflect open market rent levels. Tenants will have the right to challenge increases through a tribunal if they believe them to be excessive.

This makes robust, evidence based rental valuations more important than ever, particularly in South East London where values can vary significantly between streets and property types.

Greater Transparency in Lettings Practices

Properties must now be advertised at a clear asking rent. Bidding wars or encouraging offers above the advertised figure will be prohibited.

This aims to create fairness and predictability in competitive rental markets.

The Introduction of Awaab’s Law

Awaab’s Law introduces legally binding timeframes for landlords to investigate and remedy serious health hazards in rented properties, particularly issues such as damp and mould.

Named after Awaab Ishak, whose death was linked to prolonged exposure to mould, the law requires:

  • Prompt investigation of reported hazards
  • Strict timeframes for carrying out repairs
  • Clear communication with tenants
  • Accountability where landlords fail to act

This significantly strengthens tenants’ rights in relation to property standards and reinforces the need for proactive property maintenance.

For landlords, this means structured inspection regimes, documented repair processes and swift response systems must be firmly in place.

The Right to Request a Pet

The reforms also introduce a new right for tenants to request permission to keep a pet.

Landlords cannot unreasonably refuse such requests. If refusing, they must provide a valid reason. In some cases, landlords may require pet insurance to cover potential damage.

This change recognises the importance of pets within households while balancing landlords’ property interests.

New Oversight Through Ombudsman and Registration Systems

A new Private Rented Sector Ombudsman will provide tenants and landlords with access to dispute resolution outside of court.

In addition, landlords will be required to register on a new property portal, improving transparency and compliance monitoring across the sector.

These systems introduce an additional layer of accountability and aim to raise standards consistently across England.

A Cultural Shift Towards Longer Term Occupation

Taken together, these reforms encourage longer tenancies as the norm. With tenants able to remain indefinitely unless lawful grounds apply, and with tenants free to leave with two months’ notice, the system seeks to balance flexibility and stability.

Landlords may increasingly focus on tenant retention, property standards and proactive communication rather than frequent turnover.

Timing and Phased Implementation

The reforms will be introduced in stages. Existing tenancies will gradually transition to the new system. Landlords who review their documentation and management practices now will be better positioned when changes take effect.

What This Means for Landlords in Practical Terms

  • Stronger tenancy documentation
  • Clear compliance systems
  • Evidence based rental pricing
  • Proactive maintenance
  • Structured record keeping
  • Awareness of notice requirements and statutory grounds

Professional management is likely to become more valuable as legal complexity increases.

What This Means for Tenants

  • Greater security of tenure
  • Two months’ notice required to leave at any time
  • Protection from no fault eviction
  • Formalised rent review processes
  • Stronger health and safety protections under Awaab’s Law
  • The right to request a pet

The aim is predictability, fairness and improved housing standards.

A Market That Is Evolving Rather Than Contracting

Demand for rental homes in well connected areas of London remains strong. The legislation reflects an attempt to balance supply, fairness and transparency rather than reduce rental provision.

While adjustment will be required, the long term objective is a professionalised, stable and trusted private rented sector.

Looking Ahead

The Renters’ Rights Act represents the most comprehensive reform of private renting in a generation. The removal of Section 21, the move to periodic tenancies, defined possession grounds, Awaab’s Law, new ombudsman oversight and pet rights collectively signal a shift towards longer term stability and higher standards.

For landlords and tenants across Rotherhithe, Canada Water, Bermondsey, New Cross and Peckham, understanding how these changes translate into everyday practice will be essential.

If you would like to have a chat about the Renters’ Rights reforms and how they may affect you, please do get in touch.

Email: alex@alex-matteo.com

Phone: 0203 983 1833

You can also view our recent video which discusses this topic.

We would be more than happy to help.

Alex & Matteo