Renters’ Rights Bill: what renters and landlords can expect

The bill aims to improve life for renters, giving them more rights and protections, including a ban on no-fault evictions. Landlords and industry professionals, however, are worried about the impact on their work – and how the market will respond.

Let’s look at the specifics of the bill and how it will affect both landlords and renters. (Note: the new laws will only apply to tenancies in England. There are different rules for Scotland, Wales and Northern Ireland.)

Changes to the legal rights of renters

While many landlords treat their tenants fairly, often renters still struggle with high prices, unpredictability and, in some cases, discrimination. The government wants to shore up their rights with changes that include:

• A ban on Section 21 ‘no-fault’ evictions, where landlords can evict their tenants without giving a reason. This helps tenants feel more confident in renting a property. But it creates admin and potential complications for landlords. 
• Better protections against backdoor evictions. Tenants can appeal excessive above-market rents designed to make them leave their homes. Landlords can raise rents to market prices, just not way above.
• An end to discrimination against prospective tenants with kids or on benefits. Everyone should be considered on an equal basis.
• Making it easier for people to live with a pet. The landlord must consider the request, but can ask the tenant to take out pet insurance to cover damages.
• No more advanced rent. Landlords can only accept the rent for one month (or other rental period) up front, helping tenants with their finances. However, this means less flexibility in the system for landlords who, for example, might ask for advanced rent from someone with a credit problem or who is moving from overseas.
• No more rental bidding. Landlords can’t accept offers above the advertised rent, helping make sure rents are fair – but also lowering profitability.

Both challenges and opportunities for landlords

Many industry professionals are nervous about such changes. Landlords will need to update their rental agreements and more generally adapt the way they work. If it becomes harder – and less profitable – to be a landlord, this might shrink the rental market and push up prices.

However, the bill will bring potential benefits, too:

• A stronger legal framework will make it clearer where everyone stands – for example, landlords will have more robust grounds for possession, as clearly defined by the revised Section 8.
• A chance to introduce new technologies. Changes like getting rid of ‘no-fault’ evictions will equal more work for landlords – who will need to explain their reasons for asking a tenant to leave – but new AI technologies can help with the admin.
• Longer term, stable tenancies will be encouraged, thanks to the abolition of Section 21. If periodic tenancies help a tenant feel secure, they are more likely to enjoy their home and live there for longer.
• An efficient dispute resolution system through a new ombudsman service should mean that court action is a last resort.

As ever, the business owners who adapt to the changes will stay ahead of the competition. Speak to a tenancy law expert if you have any questions.

When changes come into effect

The bill will return to the House of Lords on the 14th of October for its final stages before Royal Assent, when it goes through a ‘ping pong’ process of bouncing between the two houses.

The Renters’ Rights Bill is then likely to come into effect in early 2026. Section 21 will be abolished straight away, and all tenancies will become periodic, meaning they continue indefinitely until a valid notice is served.

Watch this space for more updates

Although we don’t yet know the exact rule changes, it’s safe to say the private rented sector has some challenges ahead. Landlords need to spend the next few months preparing for a new normal. Stay tuned for more information and advice from industry experts here on the Winkworth blog.