Renters' Rights Bill becomes law – industry reacts

Private rented sector prepares for phased implementation as government sets out next steps

Renters' Rights Bill becomes law – industry reacts

The Renters’ Rights Bill has become a law following Royal Assent on Monday, marking the most significant overhaul of the private rented sector in decades.

The Act introduces a series of reforms affecting landlords and letting agents across England and Wales, with the government expected to announce the timetable for implementation in the coming weeks.

The new law establishes new rules on rent increases, advertising, and letting practices, as well as a Decent Homes Standard for private rentals. Landlords will be required to sign up to a new sector database and ombudsman, with non-compliance attracting new offences and civil penalties.

Among the principal changes are the introduction of a new standard tenancy, the abolition of Section 21 “no fault” evictions, and the requirement for all tenancies to become periodic by default.

Some enforcement powers for local authorities will be activated within two months, enabling them to demand evidence of compliance and, in certain cases, enter business premises without a warrant. Major reforms, such as the end of fixed-term tenancies and the new possession grounds, will take effect on a date yet to be confirmed.

The government has indicated that landlords and tenants will receive “sufficient notice” before the main provisions are enacted. Industry bodies have called for at least six months’ lead time to allow landlords to prepare for the changes. During this period, landlords are advised to review their documentation, inspect properties, and ensure agents are ready for the new requirements.

Existing assured shorthold tenancies will automatically convert to periodic agreements once the Act is in force. Landlords must provide tenants with information about the new rules within the first month of commencement, and issue written tenancy agreements if none exist. Student landlords will need to notify tenants if they intend to use the student possession ground.

“Every family deserves the dignity of a safe and secure home,” said Prime Minister Keir Starmer, commenting on the approval of the new law. “For too long, millions of renters have lived at the mercy of rogue landlords or insecure contracts, with their futures hanging in the balance. We’re putting an end to that.

“A secure home isn’t just bricks and mortar – it’s the foundation for opportunity, safety, and a better life. No child should grow up without one.”

Further elements of the Act, such as the landlord ombudsman, the private rented sector database, and the extension of the Decent Homes Standard, will be introduced through secondary legislation at a later stage. The government has yet to specify when these measures will come into effect.

The Act also introduces 15 new offences for landlords, increases the maximum civil penalty to £40,000, and extends the period for which tenants can claim rent repayment to two years. Local authorities will be required to prioritise enforcement, making compliance essential for all landlords.

“With the Renters’ Rights Act now on the statute book, the sector needs certainty about the way forward,” said Ben Beadle (pictured top left), chief executive of the National Residential Landlords Association (NRLA). “This is the most significant shake-up of the rental market in almost 40 years, and it is imperative that the new systems work for both tenants and responsible landlords.

“The NRLA stands ready to work with the government to ensure the reforms are implemented in a way that is fair, proportionate and deliverable. The government now needs to engage meaningfully with those providing the homes so desperately needed, to ensure implementation of the Bill is realistic and aligns with the practicalities of the market – not least the need for clarity well in advance of the next academic year for student housing.

“At a minimum, the sector needs six months’ notice before implementation to ensure a smooth and seamless transition, and the government must provide certainty on this as soon as possible.”

Beadle, however, stressed that the government must also recognise the vital importance of a thriving private rented sector, not only to meet tenant demand, but to the national economy. “It is essential that the government’s reforms do not worsen the supply crisis by discouraging long-term investment in the homes to rent that so many rely on,” he said.

Louisa Sedgwick (pictured top centre), managing director of mortgages at buy-to-let lender Paragon Bank, added: “Now the Renter’s Rights Bill has finally received Royal Assent, the focus must turn to sensible and pragmatic implementation of the regulations.

“A clear, well-communicated timeline for commencement is essential, providing landlords, letting agents and the broader sector with sufficient time to understand and adapt to the changes. A rushed or fragmented rollout risks undermining confidence and could lead to a contraction in supply at a time when demand for rental homes remains high.”

Neil Cobbold (pictured top right), commercial director at property management software provider Reapit, also emphasised the importance of the gradual introduction of the changes to give the sector sufficient time to adjust.

“Some of the key provisions – for example the new landlord portal, ombudsman and extension of the Decent Homes Standard to private rented homes – will be phased in over time, with some coming into force only in the mid-2030s. This gives everyone time to adapt,” he said.

“Those part-time landlords who make up the majority of the sector will struggle to cope alone as the regulatory demands increase, so agents who can position themselves as trusted and strategic advisers will become the partners of choice for landlords across England.”

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