Current Status: Royal Assent Expected September 2025
We’re witnessing the most dramatic transformation of England’s private rental sector in over three decades. The Renters Rights Bill 2025 has successfully made its way through the House of Lords and is heading back to the House of Commons on September 8, 2025, for final review of amendments.
Here’s where things stand right now:
- September 8, 2025: MPs will review the Lords’ amendments
- September 2025: The Bill should receive Royal Assent and become law
- Early 2026: The first changes start taking effect
- 2026-2027: All provisions will be fully implemented
The government has promised to give everyone “enough time” to prepare, with different parts of the legislation coming into effect gradually rather than all at once.
What The Renters Rights Bill Means for England’s Rental Market
The Renters Rights Bill 2025 will completely reshape how renting works across England’s 4.4 million rental households. While it builds on ideas from the previous government’s Renters Reform Bill, this version goes much further, introducing comprehensive changes that will affect everything from how tenancies work to what standards properties must meet.
If you’re a tenant looking for more security or a landlord trying to understand what’s coming, getting to grips with these changes now will put you ahead of the game when they take effect.
The Big Changes Coming Your Way
What Tenants Can Expect:
The days of Section 21 “no-fault” evictions are numbered – they’re being scrapped entirely. Instead, you’ll get rolling monthly contracts that give you much more flexibility. There’s also a 12-month safety net at the beginning of any new tenancy where landlords can’t kick you out just because they want to sell or move back in.
Your rent can only go up once per year, maximum, and landlords won’t be able to create bidding wars where you’re pressured to offer more than the advertised price. If you have children or receive benefits, landlords can’t automatically reject your application anymore. Plus, you’ll have the right to ask about keeping pets – and landlords will need good reasons to say no.
All rental properties will need to meet the Decent Homes Standard, ensuring you live somewhere that’s actually safe, warm, and properly maintained. The planned lifetime deposit system should make moving between properties much more affordable too.
What Landlords Need to Know:
Assured shorthold tenancies (ASTs) are being phased out completely, replaced by expanded Section 8 possession grounds that give you clear, legitimate reasons for getting your property back. While this means more planning on your part, you’ll get 4 months’ notice periods for sales or moving back in, which should make things less confrontational.
You won’t be able to demand more than one month’s rent upfront anymore, making properties more accessible to tenants while still protecting your income. All properties must be registered in a new database system, and there’s a Private Rented Sector Ombudsman coming to handle disputes without going to court.
The penalties for getting things wrong are getting much tougher – up to £40,000 for serious breaches – but this also creates opportunities for professional landlords to stand out in a more regulated market.
The End of No-Fault Evictions
This is probably the biggest change in the entire Bill. Once it comes into effect, landlords won’t be able to evict tenants without a proper, legitimate reason that can stand up in court.
Here’s what’s changing: Instead of using Section 21 notices, landlords will need to use Section 8 grounds with specific evidence and justifications. The new system includes a 12-month protected period where tenants can’t be evicted for sales or landlord occupation – giving people real security to settle into their homes. When landlords do need to get their property back for legitimate reasons, they’ll need to give 4 months’ notice instead of the current 2 months.
The new possession grounds include: Ground 1A covers situations where landlords need to move back into their property, but they’ll need to give that extended 4-month notice. Ground 1B applies when the property needs to be sold, again with the longer notice period. The rent arrears threshold has been increased to 3 months of unpaid rent instead of 2 months, preventing hasty evictions when tenants hit temporary financial difficulties. There are also new grounds for student accommodation where properties are specifically designed for academic year lettings, and superior landlord situations where head landlords need entire buildings back.
What this actually means in practice:
For tenants, this represents the biggest improvement in rental security in living memory. You won’t have to live with the constant worry that you could be forced out of your home at short notice for no good reason.
For landlords, you’ll need to think more carefully about your exit strategies and make sure you have proper grounds before trying to get your property back. Courts will see more Section 8 applications, but these should be more straightforward since they’ll be backed up by clear evidence and legal grounds.
How Tenancy Contracts Are Changing
Fixed-Term Agreements Are Disappearing
The Bill wipes out assured shorthold tenancies (ASTs) entirely, replacing them with assured periodic tenancies that run month-to-month from day one. This revolutionary change means no more being locked into long contracts or having to pay rent for periods when you’re not actually living in the property. Under this new system, tenants only need to give 2 months’ notice to leave, giving unprecedented flexibility to adapt to life changes. For landlords, while you’ll lose the security of guaranteed rental periods, you’ll also eliminate the hassle of managing multiple contract renewal dates, and you’ll have clear, legal grounds for ending tenancies when legitimate reasons exist.
Existing tenancies will automatically switch over when the Bill becomes law, so current fixed-term ASTs will instantly become periodic without anyone needing to do anything. This seamless transition ensures no disruption to current arrangements while immediately providing enhanced rights and flexibility.
Why tenants will benefit: The new system gives you complete freedom to leave without penalty after giving proper notice, removing the financial burden of paying for unused contract periods. This creates much more flexibility for life changes like new jobs, relationship changes, or buying your first home without being trapped by inflexible agreements. You’ll never again face the anxiety of being obligated to pay rent regardless of whether a property meets acceptable standards.
How this affects landlords: While you’ll lose the security of guaranteed rental periods, this change encourages better tenant selection and higher-quality property management that keeps good tenants by choice rather than contractual obligation. Professional landlords who maintain high standards and positive relationships will find their properties stay occupied naturally. However, some landlords might see longer void periods and will need to adapt their business models to focus on tenant satisfaction and retention.
New Rules on Rent and Payments
Limiting Rent Increases
The legislation puts comprehensive restrictions in place to stop excessive rent increases that have priced many tenants out of their homes. Rent can only go up once every 12 months maximum, putting an end to multiple increases within short periods that have created financial chaos for renters. All increases must reflect actual market rates rather than arbitrary amounts, with the existing Section 13 notice procedures staying in place for formal rent reviews. Importantly, tenants keep the right to challenge unreasonable increases at tribunal, providing protection against exploitative practices.
No More Bidding Wars
The Bill explicitly bans the increasingly common practice of pushing tenants to offer above advertised rental prices. Landlords can’t encourage offers above the advertised rent, and letting agents are banned from facilitating rent bidding. Properties must be let at the advertised price or below, creating transparency and fairness in the rental market. Agents who keep promoting bidding wars will face penalties, helping enforce these new standards and protecting tenants from being pressured into unaffordable rents.
Restrictions on Upfront Payments
New legislation dramatically reduces the upfront financial burden on tenants by limiting advance rent payments. Only one month’s rent can be required upfront once a tenancy agreement is signed, with no advance payments beyond the first month allowed once the tenancy starts. For properties with rental periods under one month, the maximum advance payment is 28 days. These restrictions specifically target rent payments before tenancy starts, helping tenants manage their moving costs much more effectively.
Stronger Protection Against Discrimination
Families and Benefit Recipients Get Protection
The Bill significantly expands discrimination protections to tackle two of the most widespread forms of unfair exclusion in the rental market.
Families with children can no longer be automatically shut out of rental opportunities, as landlords can’t refuse tenancies just because applicants have children. The previously common “No children” policies become illegal, and landlords must make reasonable adjustments for family needs, such as considering ground floor properties for families with young children or ensuring adequate space for family living.
Benefit recipients get explicit protection, as receiving Universal Credit, Housing Benefit, or other government support can’t be grounds for automatic refusal. Landlords must assess affordability fairly, including consideration of guarantors and the reliability of benefit payments. The previously widespread “No DSS” advertising becomes explicitly banned, removing a major barrier that has excluded many working families and vulnerable individuals from rental opportunities.
Getting Permission for Pets
The legislation introduces a formal process for tenants to request permission for pets, fundamentally changing the relationship between pet ownership and rental accommodation. Landlords must consider requests reasonably rather than implementing blanket bans, marking a significant shift toward pet-friendly rental practices. However, refusals can still be made based on legitimate grounds such as property type unsuitability, superior lease restrictions, or insurance complications.
Legitimate reasons for saying no remain broad enough to protect landlords’ interests while ensuring tenants aren’t automatically excluded. These include situations where the property genuinely isn’t suitable for specific animals (such as large dogs in small apartments), where superior lease terms exist that prevent pet ownership, where insurance would become problematic, or where there’s documented previous pet-related damage in the building that creates legitimate concerns.
Conditions that landlords can impose include requirements for pet deposits to cover potential damage, mandatory pet insurance to protect against third-party claims, and professional cleaning requirements when tenants with pets move out. These reasonable conditions balance tenant rights with landlord protection while making rental accommodation more accessible to pet owners.
Better Housing Standards for Everyone
New Property Quality Requirements
All rental properties must meet the Decent Homes Standard, which sets out clear expectations for what constitutes acceptable accommodation.
The basic requirements include: Properties must be safe, warm, and weatherproof as fundamental starting points. Modern facilities like adequate kitchens, bathrooms, and heating systems are non-negotiable. Properties must be in a reasonable state of repair throughout, not just in the main living areas. Thermal comfort through adequate insulation and heating systems ensures tenants can actually afford to heat their homes.
The timeline for implementation:
2026: Standards consultation and detailed guidance will be published
2027: Full implementation and enforcement begins
Existing properties: Must be upgraded to meet standards during this period
Tackling Dangerous Housing Conditions
The Bill incorporates strict timeframes for addressing health hazards that have been largely ignored in the past.
Response requirements are now mandatory:
24 hours: Emergency hazards like gas leaks or structural collapse
7 days: Serious hazards affecting health and safety
28 days: Category 1 hazards, including serious damp and mould
Penalties: Significant fines for landlords who don’t comply
Making Moving Easier with Portable Deposits
How the New Deposit System Will Work
The new system includes several key features:
Tenants will be able to transfer deposits between properties rather than saving up new ones each time they move. This creates much lower upfront costs when moving homes and provides a streamlined process for deposit protection transfers. Consultation is still ongoing with industry input helping shape the final details.
The benefits are clear:
Tenants face lower financial barriers to moving, landlords get a faster letting process with pre-verified deposits, and the market gains increased rental mobility and choice overall.
Stronger Enforcement and Better Dispute Resolution
The New Ombudsman Service
A new oversight body will provide:
Free dispute resolution for tenant complaints without the cost and stress of court action. Landlord-initiated mediation services to help resolve issues before they escalate. Code of practice enforcement to maintain standards across the sector. A genuine alternative to court action for many types of disputes.
Property Registration and Transparency
New mandatory requirements include:
All landlords must register their properties in a central database. Transparent performance tracking will be available to tenants and enforcement agencies. Public access to landlord compliance records will help tenants make informed choices. Enhanced enforcement capabilities for councils will improve standards locally.
Much Tougher Penalties
The new fine structure includes:
£7,000-£40,000 for serious breaches of regulations
Unlimited fines for the most serious offences
Rent Repayment Orders doubled from 12 to 24 months
Criminal sanctions for persistent offenders who refuse to comply
What Tenants Should Do Right Now
Get Ready for September-December 2025
Start by reviewing your current tenancy agreement to understand your current rights and notice periods. Document your property’s condition by taking photos of any existing issues for future reference. Make sure you know your current rights by familiarizing yourself with existing tenant protections. Most importantly, stay informed by following official government updates on when different parts of the law will actually take effect.
Preparing for Early 2026
Understand your new rights by learning about the enhanced protections and new procedures coming. Budget for the increased moving flexibility that portable deposits will eventually provide. Report any property issues to ensure your home will meet the upcoming standards. Keep detailed records of rent payments and all communications with your landlord or agent.
When the Changes Actually Happen
Exercise your new rights responsibly – use the protections appropriately while maintaining good relationships with landlords. Understand the new procedures for things like rent reviews and dispute resolution. Access the support services like the ombudsman and enhanced enforcement when you actually need them.
What Landlords Should Do Right Now
Urgent Preparation for Autumn 2025
Audit your existing tenancies to identify which agreements will be affected and exactly when. Review your possession procedures to understand the new Section 8 grounds and notice periods you’ll need to use. Assess your property portfolio against the upcoming Decent Homes Standard to identify what needs upgrading. Update your legal compliance to ensure current tenancies meet existing legal requirements before new ones are added.
Strategic Planning for 2026
Upgrade your property standards by beginning improvements to meet the Decent Homes Standard before it becomes mandatory. Review your rent setting strategies to adapt to new increase limitations and market restrictions. Strengthen your tenant selection by developing robust referencing processes that don’t include discriminatory practices. Update all documentation by preparing new tenancy agreements and procedures that comply with the new rules.
Getting Ready for Full Implementation
Register your properties to comply with the new database and licensing requirements when they launch. Train your staff or agents to ensure they understand the new procedures and tenant rights. Establish ombudsman processes to prepare for alternative dispute resolution rather than court action. Monitor your compliance by implementing systems to track regulatory adherence and avoid penalties.
How This Affects Different Parts of the UK
England-Only Changes
The Bill applies only to England – if you’re renting in Scotland, Wales, or Northern Ireland, you’ll be following different legislation and these changes won’t affect you directly.Potential Exemptions Still Being Worked Out
While details are still being finalized, possible exemptions might include student accommodation where purpose-built properties have special grounds for possession. Holiday lets under 90 days might be treated differently. Supported housing with specialized accommodation and care services may have different rules. Company lets for corporate tenancies might follow different procedures.When Different Changes Will Actually Happen
Phase 1: The Big Structural Changes (Early 2026)
Section 21 abolition will take effect, along with AST to periodic tenancy conversion, new Section 8 grounds, and the introduction of protected periods.
Phase 2: Market and Financial Regulations (Mid 2026)
Rent increase limitations will come into force, bidding war prohibitions will be enforced, advance payment restrictions will apply, and anti-discrimination enforcement will begin.
Phase 3: Quality Standards and Oversight (2026-2027)
Decent Homes Standard implementation will begin, the property database will launch, the ombudsman service will be established, and the full penalty regime will become active.
What Industry Experts Are Saying
Housing Minister Matthew Pennycook has stressed the government’s commitment to “providing enough notice” for implementation while ensuring “urgent” reform of the sector that’s been needed for years.
Industry responses vary: Propertymark supports the reforms but continues calling for “practical implementation timelines” that work in the real world. The National Residential Landlords Association welcomes the clarity while raising concerns about court capacity to handle increased applications. Generation Rent praises the tenant protections as “long overdue” and necessary for a fair rental market.
Market predictions suggest: Short-term increased activity as both landlords and tenants prepare for the changes. Medium-term potential rental supply adjustments as landlords adapt their business models to the new reality. Long-term development of a more professional, regulated sector with consistently higher standards.
Common Questions People Are Asking
For Tenants
Protection starts when the Act takes effect which is likely in early 2026. However, your landlord must still follow current legal procedures until then, so you’re not completely without protection now.
It’ll automatically convert to a periodic tenancy when the Act comes into force, giving you the flexibility to leave with 2 months’ notice without breaking any contracts.
Yes, but only once per year and only to fair market rates. You’ll be able to challenge unreasonable increases at tribunal if needed.
You’ll be able to make formal requests that landlords must consider reasonably. They’ll only be able to refuse for legitimate reasons, like the property being genuinely unsuitable.
For Landlords
Only through Section 8 grounds with proper notice periods. Sale or occupation grounds will require 4 months’ notice and can’t be used in the first 12 months of a tenancy.
Properties must comply with the Decent Homes Standard, ensuring they’re safe, warm, weatherproof, and in good repair throughout.
Yes, but you can’t discriminate against families or benefit recipients. Focus on affordability criteria and references while ensuring you treat everyone fairly.
Fines range from £7,000 to £40,000 for serious breaches, with unlimited fines possible for the most serious offences. Rent Repayment Orders can now cover up to 24 months of rent.
Other Related Changes Coming
Awaab’s Law (October 2025)
This introduces statutory timeframes for addressing damp and mould in social housing first, with private rental sector extension planned for later.Leasehold and Freehold Reform Act 2024
Ongoing reforms to property ownership structures that might impact some rental arrangements.Future Consultations Still Happening
Lifetime deposits: Technical implementation details are still being worked out Decent Homes Standard: Specific requirements and transition periods need finalizing Court system improvements: Digital processes and capacity expansion are being plannedLooking Ahead
The Renters’ Rights Bill 2025 will create a much more balanced, secure, and professional private rental sector across England. While the changes are substantial, they represent a real opportunity to build better relationships between landlords and tenants based on fairness, quality standards, and mutual respect.
For tenants, these reforms offer security and protection from arbitrary eviction, unfair rent practices, and discrimination that many have never experienced before. The new system empowers you to challenge poor practices without the fear of retaliatory eviction that has kept many people silent about substandard conditions.
For landlords, while the changes require significant adaptation, they also create real opportunities for professional operators to thrive in a more regulated, transparent market with clear rules and the potential for stronger, longer-lasting tenant relationships.
Success in this new landscape requires understanding what’s coming, preparing properly, and getting professional support when needed. At Gallacom, we’re committed to helping both tenants and landlords navigate these historic changes successfully.
How Gallacom Can Support You Through These Changes
As these historic changes approach, having expert guidance has never been more important:
For Tenants: We’ll help you understand your new rights and protections, navigate the enhanced rental application process, access quality properties that meet the new standards, and provide professional support throughout your tenancy.
For Landlords: We’ll ensure compliance with new regulations and standards, help adapt tenancy agreements and procedures, provide professional property management during the transition period, and offer strategic advice on portfolio management in the new landscape.
Contact Gallacom today to discuss how we can support you through the transition to this new rental landscape, or take a look at the services we offer Our experienced team understands both the opportunities and challenges that lie ahead.
This comprehensive guide comes from Gallacom Property Management. For the latest updates on the Renters’ Rights Bill 2025 and personalized advice about your specific rental situation, get in touch with our expert team. We’re here to make this transition smooth and successful for everyone involved.