The Renters’ Rights Act has received Royal Assent and residential landlords must prepare for the changes it will bring to the private rental sector.
While much focus has been on tenant protections, the Act will also bring substantial changes to how landlords operate and plan their finances.
The first phase of changes, including the abolition of Section 21 no-fault evictions and fixed-term tenancies, is set to come into effect on 1 May 2026.
Landlords must stay informed of their obligations and seek support so they are prepared for when the reforms take effect.
What are the changes proposed in the Renters’ Rights Act?
The Renters’ Rights Act is a legislation intended to protect tenants in the private rental sector and balance the rental market by improving property standards and introducing fairer practices between landlords and tenants.
The Act focuses on increased security for tenants by extending minimum notice periods and restricting the grounds on which landlords can seek possession.
The Act also proposes stricter enforcement of property conditions and will potentially raise minimum standards for heating, ventilation and safety certifications.
As a result, landlords may face more frequent inspections and stricter compliance procedures.
The Government plans to limit upfront costs for tenants and further restrictions or caps on charges could be introduced.
This could affect how landlords recover costs associated with lettings, such as referencing or renewal expenses.
Landlords must get ahead of the Act and maintain clear documents to reduce the risk of costly mistakes and potential disputes.
What does this mean for landlords?
For residential landlords, these changes mean that tenancy management may become more regulated.
Greater security of tenure can affect the ability to regain possession of properties, especially when landlords wish to sell or change use.
Stricter property standards will likely increase compliance costs as landlords may have to invest in upgrades and maintenance to meet higher standards.
Financially, landlords may need to reassess pricing structures and cash flow forecasts to ensure long-term investments are still feasible.
If fees are capped or restricted, revenue streams may need to adjust accordingly and we can advise you on how to carefully budget for this.
How can landlords prepare for the upcoming changes?
The Renters’ Rights Act can seem overwhelming for landlords and planning ahead for the upcoming changes is important.
Landlords can prepare by:
Professional support is crucial in helping you understand how the changes affect tax liabilities and overall investment return.
Our expert team can provide clarity during regulatory changes and advise you on how to increase your tax efficiency and protect rental yields.
Contact our team to find out more about how the Renters’ Rights Act affects your property.
