NewsRenters Rights

The Renters Rights’ bill 2025 is anticipated to overhaul the private rental sector in England. While the changes apply only in England, landlords with property in Scotland, Wales, or Northern Ireland may still find it useful to understand the direction of government housing reform.

According to Shelter England, the Bill is expected to become law in early 2026.

In this article we will be discussing:

• Key Reforms on the horizon
• How can Landlords Evict Tenants under the New Law?
• Penalties and impacts on non-compliance with the reforms
• Who is affected?
• Call to action/next steps
• Our view/how we can help you

Key Reforms on the horizon

1. ‘No-Fault’ Evictions to be abolished (Section 21)

Landlords will no longer be able to remove tenants without providing a reason. Instead, existing Section 8 grounds for possession will be strengthened. For more information on the section 8 grounds please go to the section ‘How can Landlords Evict Tenants under the New Law?’

2. End of Fixed-Term Tenancies

Fixed-term tenancy agreements will be replaced with rolling periodic tenancies, meaning most tenancies will continue on a monthly (or rental period) basis, giving tenants greater security and flexibility.

3. New Rules on Rent Increases and Rent in Advance

The Bill restricts how rent can be increased and how much can be demanded upfront:

• Landlords can only request one month’s rent in advance.
• Rent can only be increased once per year, in line with market rates.
• Increases must be served via a Section 13 notice with two months’ notice.
• Tenants will be able to challenge rent hikes they consider unreasonable, i.e., if these rent increases are not in line with the market value rent.

4. Decent Homes Standard and Awaab’s Law

Private rentals are expected to be subject to the Decent Homes Standard, raising expectations for health and safety compliance. Alongside this, Awaab’s Law will empower tenants to take stronger action against dangerous conditions such as damp and mould.

5. National Landlord Register and Ombudsman

Landlords will be required to join a new national register. Landlords could be subject to enforcement action from local councils if they fail to join the private rental sector database. They will also be accountable to a new and dedicated ombudsman service, giving tenants easier access to information and dispute resolution

How can Landlords Evict Tenants under the New Law?

Currently Landlords have two methods at their disposal to evict Tenants, both under the Housing Act 1988; a section 21 notice, or grounds for possession under section 8. The government have pledged to abolish s21 notices and amend section 8, therefore following the enactment of the Renters Rights Act, Landlords will only be able to rely on the amended grounds under section 8 when looking to seek re-possession which a Tenant opposes.

Section 8 distinguishes between mandatory and discretionary grounds. Mandatory meaning, if the Landlords satisfies this ground then the court must order possession, discretionary meaning that the court can choose whether to order possession despite the ground being satisfied by the Landlord.

Mandatory grounds to Note

• Ground 1- the Landlord, or a close family member wishes to move into the Property. This ground cannot be used for the first 12 months of a new tenancy and the Landlord must give 4 months notice;
• Ground 1A-the Landlord is looking to sell the Property. Again, this ground cannot be used in the first 12 months of a tenancy and 4 months’ worth of notice must be given to the Tenant;
• Ground 4A-a HMO is let to full time students and is required for a new group of students in line with the academic year. Cannot be used if the tenancy was agreed more than 6 months in advance of the tenancy starting and 4 months’ notice is required
• Ground 6-the Landlord wishes to demolish or develop the property and this cannot be done with tenant in situ. This ground has various time limits and requirements depending on the landlord circumstances.
• Ground 7-the Landlord wants to obtain possession due to the death of the Tenant. This would occur where a tenancy has been passed on by will or intestacy and cannot be used if the new tenant was living in the property immediately before the previous tenant died. The notice period is 2 months.
• Ground 8-the Landlord is looking to reclaim possession because the Tenant has at least 3 months (or 13 weeks) of rent arrears. The notice period is 4 months.

Discretionary grounds to Note:

• Ground 10-the Tenant is in any amount of arrears. The notice period for this ground is 4 weeks.
• Ground 11-the Tenant has persistently delayed in paying their rent. The notice period is 4 weeks.
• Ground 12- the Tenant has breached a term of their tenancy (other than paying rent). The notice period is 2 weeks.

Please note that the grounds listed are not all of the grounds available to Landlords, they are just what we consider to be the grounds most likely to be used by Landlords. If you want a full breakdown of the grounds to be in place after the Renters Rights Bill becomes law, please go to: https://www.gov.uk/government/publications/guide-to-the-renters-rights-bill/guide-to-the-renters-rights-bill#tenancy-reform .

Penalties and impacts of non-compliance with the reforms

The Bill gives local authorities wider powers to enforce compliance. The consequences for landlords who fail to comply are severe:

• Civil penalties of up to £7,000 for minor breaches
• Civil penalties of up to £40,000 for serious or repeat breaches
• In the most serious cases, criminal prosecution with an unlimited fine

In a wider context, residential properties and portfolios could become less attractive to investors if they fail to meet the required standards implemented by the reforms. Part of the due diligence process when buying a residential investment property will undoubtedly be whether the property or portfolio meets the requisite standard and the financial, or practical implications of bringing this up to standard. If you feel concerned about whether your property or portfolio meets the required standards then you should speak to a surveyor.

Who is affected?

These changes will have the greatest impact on:

• Buy-to-let landlords
• Student/HMO landlords
• Portfolio landlords with multiple properties
• Letting agents, who will need to update compliance processes for their clients

Non-compliance not only carries financial and criminal risk but can also cause reputational harm if tenants escalate disputes through the Ombudsman.

Call to action/next steps

In the next few months, prior to the start of 2026, we recommend landlords take the following steps:

• Stay up to date with developments of the Renters Rights Bill i.e., timescales and policy changes.
• Review tenancy agreements and policies – ensure rent reviews, tenancy types and eviction procedures align with the new rules.
• Audit property standards – assess whether properties meet the Decent Homes Standard, and address health and safety risks such as damp and mould.
• Seek professional advice – engage legal support early, and consider staff training or webinars to understand yours, your agents or your contractors’ obligations.

Our view/how we can help you

At Dunn & Baker Solicitors we are closely monitoring the development of the Renters Rights Bill. We do not provide direct residential landlord compliance advice so this article should act as more of a reminder or practice note for Landlords who may or may not be our client.

Please contact our property team if you would like to discuss how these reforms may impact your property interests, particularly where commercial and residential overlap.

01392 285000