Renters (Reform) Bill - What landlords need to know

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The Renters (Reform) Bill represents one of the most significant overhauls of the private rented sector in England in decades. It aims to rebalance the relationship between tenants and landlords by improving security, raising property standards, and introducing new systems of accountability, while still protecting landlords’ ability to regain possession of their properties when they need to. The Government’s objectives are to abolish “no-fault” Section 21 evictions, phase out fixed-term assured shorthold tenancies in favour of rolling periodic tenancies, introduce a national landlord and property registration portal, create a new independent ombudsman, and extend the Decent Homes Standard to cover private rented properties. It will also strengthen enforcement powers for local authorities, increase penalties for non-compliance, and make it illegal to refuse tenants with children or those receiving benefits.

The end of Section 21 “no-fault” evictions is the most headline-grabbing change. Once implemented, landlords will no longer be able to evict tenants without giving a valid reason. Instead, they will need to rely on updated Section 8 grounds for possession such as rent arrears, anti-social behaviour, the landlord wanting to sell or move into the property, and other legitimate circumstances. This means landlords should review their processes and documentation carefully, as possession proceedings are likely to become more structured and potentially take longer.

All tenancies are expected to become periodic, meaning they roll on month by month with no fixed end date. Tenants will be able to give two months’ notice to leave at any time after an initial period, and landlords will have to serve notice using defined grounds to regain possession. This shift will affect how landlords manage tenancies, plan refurbishments, and structure their rental income, so reviewing tenancy agreements and ensuring compliance with the new model will be essential.

In terms of regulation, the Bill introduces a new Privately Rented Property Portal that will require landlords to register themselves and their properties. This is intended to make ownership and compliance more transparent. A new Private Rented Sector Ombudsman will handle complaints and disputes outside of court, and the Decent Homes Standard will set higher minimum property conditions across the sector. Local authorities will gain stronger enforcement powers, with potential civil penalties of up to £30,000 for serious breaches.

The Bill also restricts rent increases and unfair practices. Rents in periodic tenancies will be limited to one increase per year, with tenants able to challenge excessive rises at tribunal. The legislation will ban “rental bidding wars” and prohibit blanket bans against tenants with children or those receiving benefits. These changes aim to make the market fairer and more stable for tenants, while encouraging professional, well-managed landlords.

The Renters (Reform) Bill was first introduced in May 2023 and, following debate and amendment, received Royal Assent as the Renters’ Rights Act in October 2025. The Government has announced a phased implementation plan to give landlords, tenants, and local authorities time to adapt. The first phase, expected in early 2026, will introduce the end of Section 21 and the move to periodic tenancies. The second phase, likely later in 2026, will bring in the property portal, ombudsman, and higher property standards.

Landlords should start preparing now. Review all tenancy agreements to ensure they remain valid under the new rules and update them to reflect periodic terms where appropriate. Familiarise yourself with the revised possession grounds and maintain clear records of tenant communications, rent payments, and property condition. Audit your properties to make sure they meet or exceed minimum standards and be proactive with repairs and maintenance. Start compiling the information you will need for the new registration system, and make sure your documentation, insurance, and data management processes are in good order.

Communication and transparency will be key under the new regime. Landlords who act early, keep accurate records, and maintain high property standards will be best positioned to comply and succeed in the post-reform market. Although the changes add new obligations, they also create an opportunity to demonstrate professionalism, improve tenant relationships, and future-proof your business. The Renters (Reform) Bill marks a fundamental shift in how the private rented sector operates, and being prepared ahead of the curve will help landlords navigate the transition smoothly and protect the long-term value of their investments.