Renters Reform Act UK 2025: What Changed for Landlords and Tenants

The Renters Rights Act 2025 is the most significant reform to the private rented sector in England in a generation. It received Royal Assent on 20 May 2025, replacing the Renters (Reform) Bill that had been introduced under the previous government. The Act applies to England only - Scotland and Wales have separate tenancy legislation.

Abolition of Section 21 No-Fault Evictions

Section 21 of the Housing Act 1988 previously allowed landlords to evict tenants without providing a reason, provided they gave two months notice after the fixed term had ended. This mechanism is abolished under the Renters Rights Act 2025.

Landlords must now use the Section 8 grounds for possession procedure, providing a specified statutory reason for seeking eviction. The grounds are set out in Schedule 2 of the Housing Act 1988 as amended by the 2025 Act.

The abolition applies to new tenancies from the Act's commencement date. The commencement date for existing tenancies is to be confirmed by secondary legislation from the Ministry of Housing, Communities and Local Government (MHCLG). Both dates will be published at legislation.gov.uk.

End of Fixed-Term Tenancies

The standard Assured Shorthold Tenancy (AST) with a fixed term of six or twelve months is abolished for new tenancies. All new private residential tenancies in England are periodic tenancies, rolling on a monthly basis.

Under the new framework:

• Tenants can give two months notice to leave at any time - there is no minimum period before they can serve notice
• Landlords cannot require tenants to stay for a minimum period
• Landlords must use a statutory Section 8 ground to seek possession - no-fault eviction via a periodic notice to quit is not available

Section 8 Grounds for Possession After the Act

Section 8 of the Housing Act 1988 sets out the grounds on which a landlord can seek possession. The Renters Rights Act 2025 amends these grounds. Key grounds that remain or are strengthened include:

Grounds 1A and 1B (landlord moving in or selling) cannot be used within the first 12 months of a tenancy. Where a landlord uses Ground 1B and then does not sell, there is a restriction period during which a new tenancy cannot be granted to a new tenant at a higher rent.

Rent Increases Under the Renters Rights Act

Landlords can only increase rent once per year. Increases must be made via a Section 13 notice - contractual rent review clauses in tenancy agreements are no longer enforceable as a mechanism to increase rent more frequently.

The Section 13 process requires landlords to give at least two months notice of a proposed rent increase. The new rent takes effect from the date specified in the notice, unless the tenant refers the increase to the First-tier Tribunal (Property Chamber).

If the tenant refers the increase to the tribunal:

• The tribunal determines the open market rent for the property
• The tribunal can reduce the proposed increase, maintain the current rent, or approve the increase up to the proposed amount
• The tribunal cannot set rent above the amount proposed by the landlord
• Rent continues at the existing level until the tribunal makes its determination

Private Rented Sector Database

The Act requires the creation of a new PRS database on which landlords must register their properties and tenancy details. The database will be publicly accessible to tenants to check a landlord's registration status.

The commencement date and registration requirements for the PRS database are to be set by secondary legislation from MHCLG. Landlords who let properties without registering once the database is operational will face civil penalties.

Decent Homes Standard for Private Renters

The Renters Rights Act 2025 extends the Decent Homes Standard - previously applicable only to social housing - to the private rented sector. The standard requires properties to be free from serious hazards under the Housing Health and Safety Rating System (HHSRS), be in a reasonable state of repair, and have reasonably modern facilities.

The commencement date for the Decent Homes Standard in the private rented sector will be confirmed by MHCLG. Local authorities will be responsible for enforcement.

What the Act Does Not Do

• It does not apply to Scotland or Wales - separate legislation governs private renting in both nations
• It does not introduce rent controls - rent levels are not capped, only the frequency of increases
• It does not apply to commercial tenancies or holiday lets
• It does not remove all grounds for possession - landlords can still recover properties using Section 8 grounds

What is the Renters Rights Act 2025?

The Renters Rights Act 2025 is legislation that reformed the private rented sector in England. It received Royal Assent on 20 May 2025. Key changes include abolishing Section 21 no-fault evictions, replacing fixed-term tenancies with periodic tenancies, and limiting rent increases to once per year via a Section 13 notice.

Has Section 21 been abolished?

Yes. The Renters Rights Act 2025 abolished Section 21 no-fault evictions. Landlords must now use Section 8 grounds for possession and provide a statutory reason for seeking eviction. The commencement date for existing tenancies is to be confirmed by secondary legislation from MHCLG.

Can landlords still evict tenants?

Yes. Landlords can seek possession using Section 8 grounds including rent arrears (Ground 8), landlord or family member moving in (Ground 1A), and sale of the property (Ground 1B). The process requires a court order following service of a valid notice citing the relevant ground.

How often can landlords increase rent under the new rules?

Once per year, using a Section 13 notice with at least two months notice. Contractual rent review clauses are no longer enforceable. Tenants can refer proposed increases to the First-tier Tribunal, which can maintain or reduce but not exceed the proposed rent.

Does the Renters Rights Act apply in Scotland and Wales?

No. The Act applies to England only. Scotland has separate tenancy legislation under the Private Housing (Tenancies) (Scotland) Act 2016. Wales is governed by the Renting Homes (Wales) Act 2016.