NEWS·OCTOBER 2025
The Renters' Rights Act received Royal Assent on 27 October 2025, completing the biggest legislative overhaul of the private rented sector in a generation.
The Act will abolish Section 21 no fault evictions, convert assured shorthold tenancies into periodic tenancies, and tighten the rules on rent increases, bidding and pets. Most provisions are expected to come into force in 2026, giving landlords and investors a window to prepare.
For private landlords, the practical changes are significant. Possession will rely on strengthened Section 8 grounds, rents will only be raised once a year through a formal process, and fixed term tenancies disappear. Portfolio landlords should be reviewing tenancy documentation, arrears processes and evidence keeping now rather than waiting for commencement.
For the build to rent sector, the picture is more nuanced. Institutional operators have broadly welcomed the Act, arguing that professional standards are their natural advantage. A level playing field on tenancy security removes one of the few remaining advantages of the amateur landlord model and should accelerate the shift towards institutional ownership of rental stock.
Our expectation is that the Act will prove a net positive for well capitalised, professionally managed investors, and a catalyst for further consolidation among smaller landlords. Some will exit, and their stock will present buying opportunities.
The detail now moves to implementation. Commencement dates, the new landlord database and the ombudsman regime will all shape how the market adjusts. We will track each stage as it lands.
NEWS·OCTOBER 2025
The Renters' Rights Act received Royal Assent on 27 October 2025, completing the biggest legislative overhaul of the private rented sector in a generation.
The Act will abolish Section 21 no fault evictions, convert assured shorthold tenancies into periodic tenancies, and tighten the rules on rent increases, bidding and pets. Most provisions are expected to come into force in 2026, giving landlords and investors a window to prepare.
For private landlords, the practical changes are significant. Possession will rely on strengthened Section 8 grounds, rents will only be raised once a year through a formal process, and fixed term tenancies disappear. Portfolio landlords should be reviewing tenancy documentation, arrears processes and evidence keeping now rather than waiting for commencement.
For the build to rent sector, the picture is more nuanced. Institutional operators have broadly welcomed the Act, arguing that professional standards are their natural advantage. A level playing field on tenancy security removes one of the few remaining advantages of the amateur landlord model and should accelerate the shift towards institutional ownership of rental stock.
Our expectation is that the Act will prove a net positive for well capitalised, professionally managed investors, and a catalyst for further consolidation among smaller landlords. Some will exit, and their stock will present buying opportunities.
The detail now moves to implementation. Commencement dates, the new landlord database and the ombudsman regime will all shape how the market adjusts. We will track each stage as it lands.