New rules for letting property from May 2026

From 1 May 2026, the Renters’ Rights Act introduces the most significant changes to private renting in England for many years. The reforms affect how landlords let property, manage tenants and bring tenancies to an end.

For landlords and property investors, understanding these changes is essential to remain compliant and avoid penalties.

Fixed term tenancies replaced by rolling agreements

One of the biggest changes is the move away from fixed term tenancies. Most existing and new tenancies will become assured periodic tenancies, meaning they run on a rolling basis with no fixed end date.

This provides tenants with greater security, as they can stay in a property for as long as they wish, provided they pay rent and adhere to the tenancy agreement. Tenants will be able to end a tenancy by giving two months' notice, which they can do at any time. Landlords, however, will only be able to end a tenancy under specific, legally defined circumstances.

Abolition of Section 21 'no fault' evictions

The Act formally abolishes Section 21 evictions, meaning landlords can no longer ask tenants to leave without providing a specific reason. Instead, landlords will need to rely on an expanded set of possession grounds under Section 8 of the Housing Act 1988.

These grounds have been updated to include situations where a landlord wishes to sell the property or move into it themselves. However, these specific grounds cannot be used within the first 12 months of a tenancy, providing tenants with an initial period of guaranteed security.

Rent increases and bidding wars

The process for increasing rent is also changing. Landlords will only be able to increase rent once a year and must use a formal statutory process (a Section 13 notice) giving two months' notice. The rent proposed must reflect the open market rate, and tenants will have the right to challenge the increase at an independent tribunal if they believe it is excessive.

Additionally, the Act introduces measures to prevent 'bidding wars'. Landlords and letting agents must publish an asking rent for a property and are prohibited from asking for, or accepting, offers above that rate.

Other key changes

The Act introduces several other important rules:

• Pets: Tenants will have a new right to request permission to keep a pet. Landlords cannot unreasonably refuse this request, but they can require the tenant to hold pet insurance to cover any potential damage.
• Decent Homes Standard: The Decent Homes Standard, which currently applies to the social rented sector, will be extended to the private rented sector. This sets minimum standards for the condition and safety of rental properties.
• Awaab's Law: New requirements will be introduced regarding the investigation and repair of damp and mould within strict timeframes.
• Private Rented Sector Database: A new digital database will be created, requiring all landlords to register themselves and their properties. This aims to improve transparency and help local authorities target enforcement action.
• Property Ombudsman: A new Private Rented Sector Landlord Ombudsman will be established. All landlords will be required to join, providing tenants with a free and impartial mechanism for resolving complaints.

Preparing for the changes

These reforms represent a fundamental shift in the balance of rights and responsibilities between landlords and tenants. Landlords should review their current tenancy agreements and management practices to ensure they are ready for the new rules coming into force on 1 May 2026. Failure to comply with the new regulations could result in significant fines and restrict a landlord's ability to regain possession of their property.