As it stands, landlords can increase the rent in a few different ways. But under the new rules of the Renters’ Rights Bill, they will only be allowed to serve a Section 13 notice.
Here, we share what landlords and tenants need to know about how the system will work.
A shift in how landlords raise rent
Currently, if you’re a landlord and want to charge more rent, you have some options. You can, for example, wait for a new fixed-term tenancy or put down a mutual agreement in writing. In short, you have flexibility in the way you work. And you can respond quickly if your costs go up.
If you’re a tenant, however, you never know when your landlord might get in touch or if the rent increase will be reasonable.
When the Renters’ Rights Bill comes into effect in early 2026, the private rental sector will move from fixed-term to periodic tenancies, meaning tenants won’t need to commit to staying in a property for six or 12 months.
This, combined with stricter rules, means that Section 13 notices will be the only lawful way landlords can put up rent.
Section 13 notices
These are formal documents that tell tenants about a rent increase. Landlords fill out Form 4 on the government website, including the new proposed rent and its start date.
Here are the rules of Section 13:
- They apply to periodic tenancies, not fixed tenancies
- The landlord can only apply Section 13 once per year and must give at least two months’ notice (it’s currently just one month’s notice)
- Rent increases must stay in line with local market rates
- If tenants think a rent increase is unfair, they can appeal to the First-tier Property Tribunal
The impact on landlords
Less stability
Some worry that the new rules make it easy for tenants to chop and change between properties. They won’t need to commit to six months or a year of paying rent. According to Chris Norris of the National Residential Landlords Association (NRLA): “If you need a place for two months, you could go to a private rented sector landlord, [sign a tenancy agreement] and then immediately serve notice.”
Other industry experts claim this is unlikely to happen as most tenants crave stability.
More paperwork and admin
No longer can a landlord simply talk to their tenant and write up the new rent agreement. Instead, they will have to fill out the government form. This might be okay for one or two tenancies, but the extra work could soon add up. Fortunately, there is software designed to help you simplify the admin while following the new rules.
Possible legal disputes
If tenants appeal to the tribunal before the new rent is due, court backlogs could lead to a drawn-out legal battle. This will delay the start of the new rent and cost the landlord the difference in rental income.
Landlords are advised to communicate clearly with their tenants to avoid getting into this situation. They should keep all letters on file in case they do run into legal trouble. If in any doubt over your rights and responsibilities, talk to a legal professional.
The impact on tenants
The bill aims to shore up tenants’ rights and Section 13 plays a key role. Tenants will enjoy more confidence in knowing their landlord can only put up their rent once a year, in line with market rates, and they have the legal right to appeal the amount without any financial cost.
However, the overall impact of the Renters’ Rights Bill could prompt landlords to leave the industry, causing a drop in the supply of properties and upward pressure on rent levels.
Hear industry experts on the Renters’ Rights Bill
You can learn more about Section 13 and other aspects of the parliamentary bill from our panel of industry experts, including Winkworth CEO Dominic Agace. The experts talk through the good, the bad, and the ‘new normal’ of what lies ahead for the industry.
