Introduction
The Renters’ Rights legislation has abolished many regulations which we have been accustomed to and governed by during much, if not all, our time as landlords and agents. It will be more important than ever to stay on top of your legal responsibilities, and whilst the changes may seem overwhelming, BCM Wilson Hill are here to support you during this transition, focusing on compliance and mitigating challenges. Whilst the rollout will be phased, we expect the major changes to take effect in the spring of 2026.
As rural property specialists, we are here to advise on how these changes will impact:
- Accommodation for agricultural workers
- Estate management
- Thorough reference checks for tenants
- Compliance
Below is a brief guide to summarise and explain the changes that you as a landlord will need to know, as well as how we can help. Should you like more information or to discuss any of the below, please do not hesitate to contact us and our team of qualified agents would be delighted to support you.
Key changes
Assured shorthold tenancies (ASTs)
All ASTs will automatically become assured periodic tenancies. This means that the tenancy will only come to an end if either the landlord or tenant serves notice on the other.
Existing tenancy agreements
When the regulations come into force, terms of a tenancy must be in writing. Existing tenancy agreements will not need to be replaced, but any clauses which are no longer enforceable will be invalid.
Once the government has completed the tenant information packs, then Landlords will have one month to provide all tenants with this document which outlines the changes.
Notices
The “no fault” Section 21 notices will be abolished from the day the regulations come into effect. To end a tenancy, a landlord will need to serve a Section 8 notice citing which ground they are using. Grounds include rent arrears, selling the property, occupation by landlord or family and occupation by an agricultural worker. Different grounds have different notice periods, and for some, the ground won’t be valid during the first 12 months of the tenancy.
If you have an unexpired Section 21 notice, this will only be valid for a possession claim in the first 3 months of the changes.
Tenants must give two rental months’ notice in writing to end the tenancy.
Landlord registration & ombudsman
There will be a new Private Rented Sector Database on which all landlords and their properties must be registered. There will be a cost to register on the database and the unique registration number for each property must be displayed when marketing.
In addition, all landlords must join a new landlord ombudsman service. The cost of the database registration and the ombudsman is currently unknown.
Rent in advance and rent increases
Most rental periods will be monthly. Only one month’s rent can be accepted in the first month of the tenancy. After this, you cannot ask a tenant to pay more than one month’s rent in advance, however, a tenant can choose to pay more if they wish.
Also note that rent can only be taken once the tenancy agreement has been signed. This does not apply to the deposit.
Rent can only be increased once per year using a Section 13 notice with two months’ notice. If a tenant feels the increase is unfair, they can apply to a first-tier tribunal to dispute the increase.
Rental bidding
Landlords will no longer be able to accept rent at more than the advertised price.
Pets
Should a tenant wish to keep a pet, they must make a written request including a description of the pet. Landlords have 28 days to respond and cannot unreasonably object to the pet request. A reasonable objection includes, for example, a breach of an agreement with a superior landlord (freeholder). If a tenant feels the refusal was not reasonable, they can dispute to the private rental sector ombudsman.
A landlord is not allowed to request a higher deposit for a pet.
Anti-discrimination
Landlords and agents must not discriminate against a tenant who may have children living either permanently or regularly at the property, nor anyone who is in receipt of benefits.
Landlords will continue to be able to carry out full reference checks to determine whether prospective tenants meet affordability criteria.
Decent Home Standards
There will be a new system for assessing housing conditions and enforcing housing standards. Properties must be well maintained, free from hazards and be fit for human habitation. Any issues must be addressed in a timely manner.
Local authority powers
Local authorities will enforce the new rules and issue civil penalties where necessary. They will also have new investigatory powers to enforce legislation. First offences start at fines of
£7,000, rising to £40,000 for repeat offences. For serious offences and repeated non- compliance, councils will have the powers to pursue criminal prosecution.
If you would like further advice on any aspect of your rental property or the upcoming legal changes, please do not hesitate to contact us.
Tom Woods MARLA MNAEA
Head of Residential Sales and Lettings 01962 763905
