Rent in advance: the rules after the agreement is signed

These apply to periodic tenancies in England from the 1st of May onwards.

The revised system for the pre-tenancy period

The pre-tenancy period covers the time between the written agreement being formally signed and the tenant moving into the property. During this short window, the landlord can charge a limited amount of rent in advance.

Landlords can only require the tenant to pay:

• A maximum of one month’s rent
• Or 28 days’ rent for weekly tenancies

Please note: these new rules don’t apply to agreements that were signed before the 1st of May. In those cases the old rules under the existing Housing Act 1988 still stand.

The revised system for the post-tenancy period

Once the tenant has moved into the property, landlords must follow the other set of rules laid out by the government. These state that they can only require rent for the period it covers, rather than for future months. For instance, they’re not allowed to ask for the next six months’ worth as a condition of the tenancy. If rental agreements contain wording that calls for large advanced payments or for tenants to pay early, such clauses will not be enforceable, even if both parties have signed the document. The new rules will override these written terms.

However, tenants can voluntarily make advanced payments if they choose to – for example, if this helps with their financial budgeting. This must be their own decision and not the result of the landlord inviting or encouraging them to pay early.

How landlords can prepare

Whereas the old system allowed for some flexibility, this aspect of the Renters’ Rights Act establishes a fixed set of rules and requirements. Landlords need to understand how things will work so they can foster good relationships with their tenants and avoid civil penalties (Landlords who break these rules risk significant financial penalties. Local councils can impose a civil penalty of up to £5,000 for a first breach of the rules on pre-signing payments, rising to up to £30,000 — or criminal prosecution — for a repeat breach).

Landlords should:

• Check the wording of their written agreements to make sure they no longer ask the tenant to pay any rent above what’s due for the next period
• Adapt their processes so that agreements are signed by all parties before any rent is handled
• Be ready to answer any questions from prospective tenants about how the system works
• Get ready for the big shake-up of the private rented sector

The rules for rent in advance are just one part of the Renters’ Rights Act 2025. Other reforms will take effect on the same date of the 1st of May, including the limit on yearly rent increases and the shift to mandatory periodic tenancies. We’ll keep sharing the latest information here on the Winkworth blog, including upcoming posts on the right to keep pets and Awaab’s Law.