Labour's flagship rental reforms, the Renters' Rights Act, come into effect on 1 May, bringing sweeping and permanent changes to the UK's rental landscape. From Friday, dozens of changes will majorly alter how landlords and tenants operate, affecting the 11 million private renters and 2.3 million landlords in England.
Government guidance states: "The act will improve the current system for both private renters and landlords. It will give renters much greater security and stability so they can stay in their homes for longer, build lives in their communities, and avoid the risk of homelessness. Reform of the sector is long overdue, and we will act where previous governments have failed."
Section 21 'No Fault' Evictions Abolished
One of the act's headline measures removes landlords' power to evict tenants at two months' notice without giving any reason. The scrapping of Section 21 notices was first announced by the Conservatives in 2019 and included in a 2023 bill, but it never passed due to the general election. Labour revived and updated it. The government says the measure will provide "more security for tenants" and empower them to challenge poor practice and unfair rent increases without fear of eviction. The new system is implemented in one stage, giving all tenants security immediately.
End of Fixed-Term Contracts
From tomorrow, fixed-term contracts cease to exist and become periodic rolling contracts without an end date. This applies to all current fixed-term contracts, which make up a majority of tenancies in the UK. Tenants can leave with two months' notice at any time.
Fairer Possession Grounds
Tenants gain greater security through safeguards that give them more time to find a new home if the landlord evicts them to move in or sell. Labour says the measures are "fair to both parties." Landlords gain new grounds to evict tenants if they are selling the property or moving themselves or a relative in, and can still evict for rent arrears or antisocial behaviour.
Protection Against Backdoor Eviction via Rent Rises
The act gives tenants the power to appeal above-market rent increases designed to force them out. Landlords can increase rents only once a year and within market rates. An independent tribunal can judge if appealed. The act also ends rental bidding by prohibiting landlords from asking for or accepting offers above the advertised rent.
More Power to Challenge Rent Rises
The legislation changes the tribunal process for tenants to challenge rent rises, making it easier. Tribunals lose the power to increase rent above what the landlord asked for, removing a key risk. Rent increases will no longer be backdated from the landlord's date but begin after the tribunal's decision. The tribunal can delay the new rent by up to two months to prevent undue hardship.
Further Protection from Discrimination
The act makes it illegal for landlords to discriminate against potential tenants for receiving benefits or having children. Tenants have strengthened rights to request a pet, which the landlord must consider and cannot unreasonably refuse. Landlords can request pet insurance to cover possible damages.
Other provisions include:
- Restricting upfront rent requests to no more than one month's rent.
- Strengthening rent repayment orders, allowing tenants to reclaim up to 12 months of rent for housing offences. These are extended to superior landlords, with the maximum penalty doubled, and repeat offenders forced to repay the maximum amount.
Guidance and Support for Renters
Shelter offers advice on housing law and tenants' rights, plus a free helpline for those facing homelessness on 0800 800 4444. Crisis provides practical one-to-one support to help access benefits, healthcare, and employment. StepChange offers free, flexible debt advice. Citizens Advice provides free advice on housing, law, debt, and benefits.
