Key new rent laws landlords and tenants need to know in 2026

What is changing in UK rent laws?

The Renters' Rights Bill represents the biggest shake-up to private rental legislation in England in over three decades. At its heart, the Bill abolishes Section 21 "no-fault" evictions, limits rent increases to once per year with two months' notice, and extends the Decent Homes Standard to private rentals for the first time.

Tenants also gain the right to challenge excessive rent increases through the First-tier Tribunal, while landlords face new registration requirements and stricter property standards.

Put simply, the Bill aims to give renters more security without removing landlords' ability to regain their properties when they have a genuine reason to do so. The balance between the two sides is shifting, and both parties will notice the difference once the changes take effect.

The Renters' Rights Bill explained

The Renters' Rights Bill was introduced to Parliament in September 2024. It builds on the previous government's Renters (Reform) Bill, which stalled before becoming law. The new Bill applies to England only (Scotland, Wales, and Northern Ireland each have their own rental legislation).

Fixed-term assured tenancies removed

One of the most fundamental changes in the new rent laws is how tenancies are structured. Under the new system, all assured shorthold tenancies convert into periodic tenancies. A periodic tenancy rolls on month-to-month rather than locking tenants into a fixed term.

This means that tenants will no longer have to sign leases for long periods like 12 months. Instead, tenants can leave at any point by giving two months' notice, while landlords can only end a tenancy by proving a valid ground for possession under Section 8 of the Housing Act 1988.

For anyone unfamiliar with the term, Section 8 is the legal route landlords use when they have a specific reason to evict, such as rent arrears or needing to sell the property. With Section 21 gone, Section 8 becomes the only path to possession.

New rules on rent increases for landlords and tenants

Rent increases are one of the areas where tenants will notice the most change. The new framework creates clearer boundaries around when and how landlords can raise the rent.

Under the new rules, landlords can only increase rent once every 12 months. Every increase goes through the Section 13 process, which is a formal notice procedure that gives tenants advance warning and the right to challenge.

Previously, rent review clauses written into tenancy agreements could allow more frequent increases. That flexibility disappears under the new system.

Landlords are required to provide at least two months' written notice before any rent increase takes effect. This applies across all tenancies under the new framework, giving tenants time to budget, negotiate, or challenge the proposed amount if they believe it's too high.

How tenants can challenge a rent increase

Tenants who think a proposed rent exceeds the market rate can now apply to the First-tier Tribunal for an independent assessment. The Tribunal is an independent body that examines comparable local rents and determines what constitutes a fair market rate for the property.

This mechanism prevents excessive increases while still allowing rents to rise in line with genuine market conditions. Landlords retain the ability to charge market rates, but tenants gain a formal route to push back if they disagree.

The end of Section 21 no-fault evictions

Up to now, Section 21 has allowed landlords to evict tenants without providing any reason, simply by giving two months' notice after a fixed term ends. Its abolition marks a fundamental shift in how the private rental sector operates.

For tenants, the change brings greater security, as they can no longer be asked to leave without cause. For landlords, every eviction now requires demonstrating a legitimate ground for possession, a higher bar than before.

With Section 21 gone, landlords rely entirely on Section 8 grounds to regain possession. The Bill introduces new and amended grounds to ensure landlords can still recover their properties when genuinely needed.

Notice periods for eviction

Notice periods vary depending on which ground the landlord uses. More serious breaches like antisocial behaviour require only two weeks' notice, while grounds related to the landlord's personal circumstances, such as selling or moving in, require four months.

The longer notice periods give tenants more time to find alternative accommodation when they haven't done anything wrong. Landlords planning to sell or move into a property will want to factor this timeline into their plans.

New tenancy agreement rules for renters and landlords

Beyond rent and eviction changes, the new rent laws restructures how tenancies work in practice. Now, all assured tenancies become periodic by default. Rather than signing up for 6 or 12 months, tenants enter a rolling arrangement where they can leave at any point by giving two months' notice.

Landlords can no longer require tenants to commit to minimum terms. However, many tenants may choose to stay for years if the arrangement works for them - the flexibility runs both ways.

New rights on keeping pets in a rental

Tenants gain the right to request permission to keep a pet, and landlords cannot unreasonably refuse. That said, landlords can require tenants to take out pet damage insurance to cover any potential issues.

This strikes a balance between tenant lifestyle choices and landlord concerns about property damage. A blanket "no pets" policy will no longer be acceptable, but landlords retain some protection.

Ban on discrimination against tenants on benefits and families

The Renter’s Rights Bill makes it unlawful for landlords or letting agents to refuse tenants because they receive housing benefits or have children. Blanket "no DSS" or "no children" policies become illegal.

Landlords can still assess affordability on a case-by-case basis. What they cannot do is apply discriminatory criteria across the board before even considering an application.

The Decent Homes Standard for private rentals

For the first time, the Decent Homes Standard extends to private rentals. Properties are expected to be free from serious hazards, in reasonable repair, and equipped with reasonably modern facilities. This standard has been applied to social housing since 2006. Private renters will now benefit from the same baseline expectations.

Awaab's Law on damp and mould repairs

Named after Awaab Ishak, a two-year-old who died in 2020 from respiratory conditions caused by mould in his family's social housing, Awaab's Law requires landlords to address damp and mould hazards within strict timeframes. Landlords who fail to act face penalties, and tenants can escalate complaints through the new Ombudsman service.

The new Private Rented Sector Ombudsman

All private landlords are required to join a new Ombudsman redress scheme. This gives tenants a free, accessible route to resolve disputes without going to court.

The Ombudsman can investigate complaints, make binding decisions, and order compensation where landlords have failed to meet their obligations. For tenants, it's a significant improvement over the previous system, where court action was often the only option.

The Private Rented Sector Database

Landlords are also required to register their properties on a new government database. This creates transparency, helps local authorities identify non-compliant landlords, and gives tenants a way to verify their landlord's registration status.

Failure to register could result in penalties and restrictions on using certain eviction grounds.

Updated EPC and energy efficiency requirements

The government has proposed raising the minimum Energy Performance Certificate (EPC) rating for rental properties to C by 2030. Landlords with properties rated D or below may need to invest in improvements such as insulation, double glazing, or more efficient heating systems.

Updated deposit and tenant referencing rules

Deposit protection requirements remain in place, with deposits capped at five weeks' rent for annual rents under £50,000. The Bill also addresses concerns about excessive tenant referencing fees and repeated checks when tenants move between properties.

Penalties for breaking the new rent laws

As part of the new Renter’s Rights Bill, local authorities gain enhanced enforcement powers under the new legislation.

• Civil penalties: Fines of up to £7,000 for initial breaches and up to £40,000 for repeat offences
• Rent repayment orders: Tenants can reclaim up to 12 months' rent if landlords breach certain rules
• Banning orders: Persistent offenders can be prohibited from letting property
• Criminal prosecution: Reserved for the most serious cases

How the new rent laws affect buy-to-let mortgages

Landlords with buy-to-let mortgages may want to reassess their position as the regulatory landscape shifts. Some may choose to sell, while others might look at remortgaging to secure better rates before making property improvements required by the new standards.

Comparing options across the market can make a meaningful difference to monthly costs. Tembo's mortgage experts help landlords compare deals from over 100 lenders to find competitive rates suited to their circumstances.

Tembo’s top tips

For tenants:

• Understand the new rights regarding rent increases, evictions, and property standards
• Know how to access the Ombudsman service if disputes arise
• Keep records of any property issues and landlord communications
• See if you could afford to leave renting forever by completing your details online with Tembo

For landlords:

• Review your current tenancy agreements and understand how they'll convert to periodic tenancies
• Assess properties against the Decent Homes Standard and address any issues
• Budget for potential EPC improvements if properties fall below the required rating
• Register on the Private Rented Sector Database when it launches

Frequently asked questions about new rent laws

When will the new rent laws come into effect?

The new rent laws in England, established by the Renters' Rights Act 2025, largely come into force on the 1st May 2026, applying to both new and existing tenancies. The second phase of the new rent laws will come into effect in late 2026, when the government will introduce the Database of PRS properties, which will aim to consolidate key information for landlords, tenants, and councils.

Do the new rent laws apply to existing tenancies?

Yes, the changes apply to all assured shorthold tenancies, including those already in place. Existing fixed-term tenancies will convert to periodic tenancies once the legislation comes into force.

Can a landlord still evict a tenant under the new rules?

Yes, though landlords are required to use Section 8 grounds with valid reasons such as rent arrears, antisocial behaviour, or needing to sell or move into the property. No-fault evictions under Section 21 will no longer be available.

Will rent be capped under the new laws?

No, the legislation does not introduce rent caps or controls. Landlords can still increase rent to market rates, though tenants gain stronger rights to challenge excessive increases through the First-tier Tribunal.

How do the new rent laws affect HMO landlords?

Houses in Multiple Occupation face the same changes, including Section 21 abolition and new property standards. HMO landlords also continue to comply with existing licensing requirements alongside the new obligations.