Big changes are coming – here’s what they mean in practice
The Renters’ Rights Bill aims to create a smarter, fairer and more balanced private rental sector. Whether you’re a landlord, tenant, or letting agent, it’s time to get familiar with the proposals and understand the opportunities they bring.
At LDG, we’ve always stood for straightforward property advice and professional service. Here’s our take on what’s changing – so we’re here to break down what the new law means for you – jargon-free and straight to the point.
But first – a quick note on timing.
With over 200 amendments proposed and the government pushing the Bill through Parliament at pace, it’s no longer a question of if but when. Royal Assent is now expected in early autumn 2025 – though with key provisions still under debate, the final shape of the legislation remains to be seen.
Key Changes:
ASTs will be abolished
Under the new Bill, every tenancy will automatically be periodic. This means tenants can serve notice at any point (with two months’ notice), and landlords can only regain possession for legitimate, legally defined reasons.
This shift gives tenants more control, while still offering landlords protection when they genuinely need to reclaim a property.
A New Approach to Evictions
Section 21, the “no-fault” eviction, is being scrapped. Landlords will no longer be able to evict tenants without reason. Instead, they must rely on revised legal grounds—such as:
– Selling the property
– Moving in themselves
– Serious rent arrears
– Anti-social behaviour
For professional landlords, this shouldn’t be a problem. It’s about putting structure around the process—not taking away control.
Rent Rises – Sensible and Fair
Landlords will be limited to one rent increase per year and must give tenants two months’ formal notice. Tenants also have the right to challenge excessive increases through a tribunal.
This helps keep rent growth reasonable and in line with local values, not inflation or speculation.
Limit on Upfront Rent
To ease financial pressure on tenants, landlords will only be able to ask for one month’s rent in advance. However, landlords can still request a guarantor if additional security is needed.
Pets Are (Reasonably) Welcome
The Bill introduces a fairer, more structured approach to pet ownership:
– Tenants have the right to request a pet
– Landlords must consider it reasonably and can’t simply say “no”
– A pet insurance policy can be required to cover potential damage
It’s about encouraging responsibility – not risk – and it’s a win-win that recognises how important home life – and pets – have become.
Ending Discrimination
The Bill makes it illegal for landlords or agents to operate blanket policies excluding tenants with children or those on benefits.
Each tenant must be assessed based on their individual application and affordability—not assumptions or outdated policies.
This is a major step toward a more inclusive private rented sector – and one we welcome.
Fairer Lettings Process without Rental bidding
As part of its wider reforms, the Bill proposes to remove rental bidding – meaning agents and landlords will no longer be able to accept offers above the advertised rent. While this may seem restrictive at first glance, it encourages a more consistent and transparent approach to pricing, helping to reduce delays and disputes during the lettings process. For landlords, this means greater clarity and efficiency when launching a property to market, with less pressure to navigate unpredictable bidding scenarios and more focus on setting a fair and market-aligned rent from the outset.
Raising Standards
For the first time, the Decent Homes Standard will apply to the private sector – previously a rule for social housing. This means properties must meet minimum criteria for:
– Homes are warm, safe and well-maintained
– Repairs are addressed promptly
– Standards are met before letting or renewing a tenancy
Local councils will have increased powers to enforce these rules, with fines of up to £40,000 for serious breaches. For quality landlords, this simply formalises what should already be in place.
In short, renting a poorly maintained property will no longer be an option. Good landlords already doing the right thing have nothing to worry about.
Awaab’s Law Comes to the Private Sector
Following the tragic case of Awaab Ishak, the Bill introduces Awaab’s Law to the private sector. This means:
– Damp, mould and other serious health hazards must be addressed quickly
– Landlords will be held accountable for delays that put tenant health at risk
This ensures a more humane and responsive approach to safety – one that protects both tenants and reputations.
Introducing the PRS Database and Ombudsman
All landlords must register on the Private Rented Sector (PRS) Database and Landlord Ombudsman.
– The Private Rented Sector (PRS) Database will register all landlords and properties, giving local councils more oversight and ensuring compliance.
– The PRS Ombudsman will offer a free, binding service to resolve complaints between tenants and landlords.
Both measures are designed to make the system clearer, fairer and easier to navigate for everyone.
What does this mean in practice?
While much is still to be finalised, landlords should be preparing now. Here’s what we expect:
– Upward pressure on asking rents
With no bidding wars allowed and restrictions on rent in advance, landlords may set higher starting rents to create breathing room. In turn, expect more thorough referencing processes.
– More evidence-driven rent reviews
Any proposed increase will need to be justified with strong comparables. Agents and landlords alike will need to be armed with open market data to avoid delays or rejections at tribunal.
– Regular property inspections will matter more
Keeping tabs on the property and tenancy compliance will be essential – not just for protecting your asset, but also to ensure any grounds for possession can be clearly evidenced.
– Getting possession right will be critical
The margin for error will shrink. Landlords must follow the letter of the law, or risk delays and additional notice periods. Documentation and process will be key.
So, what now?
The average tenant in the UK stays just over 4 years – and in London, it’s often less. Most tenancies end voluntarily, so despite the changes, tenant movement will still provide opportunities for landlords to update terms and adjust rents in line with the market.
That said, some landlords may use this as a chance to restructure portfolios – especially when you factor in minimum EPC requirements and interest rate changes. We’re already seeing a shift toward professionalisation and consolidation, with larger landlords increasing their market share.
But for many, property remains a solid long-term investment. As rental supply tightens, values and rents are likely to rise – particularly at the prime end of the market.
We’re here to help.
At LDG, we’re already working closely with our landlords to future-proof every aspect of their lettings – from updating tenancy agreements to reviewing management practices and ensuring compliance with the upcoming changes.
As soon as the legislation is finalised, we’ll be hosting a dedicated webinar exclusively for landlords, breaking down what the changes really mean in practice – no fluff, just clear guidance on what you need to do and when. Whether you own one flat or a full portfolio, we’ll make sure you’re prepared for what’s next.
Watch this space – more details coming soon.
