This new legislation brings with it a number of implications for landlords which take effect on 1 May 2026.
On that date, all existing assured shorthold tenancies (ASTs) will automatically convert into assured periodic tenancies (APTs). Similarly, any new tenancies granted after that date (that would otherwise have been an AST) will be APTs.
APTs have no contractual fixed term; they are periodic by nature and will continue until either party serves a notice to terminate. Tenants will need to give the landlord a minimum of two months’ notice; on the other hand, however, it will be much harder for landlords to terminate. One of the most contentious changes introduced by the RRA is the abolition of section 21 notices, possession under which is known as a ‘no fault eviction’. To compensate for this, the RRA strengthens the grounds for possession, including: (1) the landlord intends to sell the property, and (2) the landlord, or someone from the landlord’s family, intends to occupy the property. These grounds include safeguards for tenants to ensure they are not abused, including imposing a prohibition on reletting within a certain period.
While these additional grounds have been added, other grounds, such as rental arrears, have been tightened in favour of tenants. Thus, a landlord will only be able to serve a notice to terminate the tenancy when the tenant has accrued arrears equivalent to three months’ rent. Those arrears must remain above three months at the point of any court hearing; if they are less, it will not be mandatory for the court to order possession.
Other notable changes introduced by RRA include: prohibition on demanding rent up front (now limited to one month’s rent); the abolition of contractual rent reviews; a cap on rental increases (limited to once in a 12 month period); a prohibition on accepting a bid for rent in excess of the advertised rental charge; and an entitlement for tenants to ask to keep a pet (which landlords cannot refuse unless it is reasonable, and they must respond within 28 days). And probably later this year, landlords will also be required to register under a landlord database (more on that below).
The changes will increase the administrative burden on landlords. Now, more than ever before, landlords, and their agents, will need to be proactive in the management of tenancies if they are to ensure they see the maximum return on their investment while avoiding falling foul of the new legislation and incurring potentially hefty fines from the local authority for non-compliance.
Accordingly, landlords should conduct an audit of their portfolios as soon as possible, to make sure there is full regulatory compliance and the best possible yields available. Furthermore, landlords of existing tenancies (as of 1 May 2026) must issue their tenants with the government’s prescribed Information Sheet by 31 May 2026 (ideally by post or by email).
Failure to comply with this straightforward task could result in a landlord being fined up to £7,000. Landlords will need to be able to prove service, not just that they have posted or emailed the document.
In addition, landlords should consider their imminent plans for their properties. Landlords may still serve a section 21 notice (giving two months’ notice to vacate the property on no-fault grounds) until 30 April 2026 (with proceedings to be issued by 31 July 2026 if the tenant does not otherwise vacate). Landlords contemplating selling up, or who otherwise require possession but would not be able to rely on the grounds set out in the Housing Act 1988, can still make use of section 21 if they act quickly.
Finally, landlords need to be aware of further changes on the horizon. As mentioned earlier, the RRA will see the introduction of a Private Rented Sector database later this year which will require all private landlords to register themselves and the properties they let. A failure to register could see landlords being issued with a £7,000 fine for a first-time offence, with subsequent fines of up to £40,000 for further breaches. Lettings agents are equally culpable under the RRA, and would be best-advised avoiding acting on behalf of unregistered landlords or those who bend the rules.
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