Renters’ Rights Reform – what does it mean?

The Renters' Rights Bill is expected to gain Royal Assent and become law by the end of Spring 2025. It is expected to be a working reality between July-October 2025.

The Renters’ Rights Bill will:

• Abolish section 21 evictions
• Ensure possession grounds are fair to both parties
• Provide stronger protections against backdoor eviction
• Introduce a new Private Rented Sector Landlord Ombudsman
• Create a Private Rented Sector Database 
• Give tenants strengthened rights to request a pet in the property
• Apply the Decent Homes Standard to the private rented sector 
• Apply ‘Awaab’s Law’ to the sector
• Make it illegal for landlords and agents to discriminate against prospective tenants in receipt of benefits or with children 
• End the practice of rental bidding by prohibiting landlords and agents from asking for or accepting offers above the advertised rent
• Strengthen local authority enforcement
• Strengthen rent repayment orders 

What are the proposed changes to tenancies?

Under the proposed Renters Rights Bill assured shorthold tenancies will be abolished and all tenancies will become periodic.  Tenants will be able to give two months’ notice if they wish to move out.

If a tenant does not leave after notice has been served by the landlord, the landlord will have to go to Court and provide evidence that a ground for possession has been met. There will be some mandatory grounds where the Court will have to award possession if the ground can be proven. There will also be discretionary grounds where the Court will be able to decide whether the eviction is reasonable or not.

If a tenant temporarily falls into rent arrears, a landlord will not be able to obtain a Possession Order unless there are three months’ worth of arrears at the date of the hearing. A landlord will also have to give four weeks’ notice instead of two weeks’ notice to start the eviction process if the tenant falls into rent arrears.

Under the new law a landlord can no longer serve a Section 21 Eviction Notice and will only be able to bring tenancies to an end in limited circumstances including where the tenant is at fault, or if the landlord needs to sell their property.

The landlord will have to serve a Section 8 Notice and rely on either a mandatory or discretionary ground for possession. A landlord will have to go to Court if a tenant does not leave their property and satisfy the court that there is evidence that the ground for possession applies.

As part of the Renters’ Rights Bill private rented sector tenants will be able to challenge unreasonable rent increases. This seeks to prevent landlords from using rent increases as a means of eviction but ensures rents can be increased to reflect market rates.  It is proposed that all rent increases will be made using the same process and by landlords serving a section 13 notice once a year to increase rents to the market rate.  The notice will set out the new rent and give at least 2 months’ notice of the rent taking effect.  If a tenant believes the increase exceeds market rate, they can challenge this at a First-tier Tribunal. 

It is proposed that the Government will implement the new tenancy for the private rented sector in one stage to ensure there is not an influx of section 21 evictions.  This single date will give all tenants security with immediate effect.