Preparing for the Renters’ Rights Act 2025

Now that the Renters’ Rights Act 2025 (RRA 2025) has been granted Royal Assent, the landscape of the private rented sector in England will change significantly. The RRA 2025 will introduce reforms that will alter the foundations of how tenancies are created, managed and ended, moving away from fixed-term assured shorthold tenancies and relying on a section 21 notice to bring a tenancy to an end, towards assured periodic tenancies, statutory processes for increasing rent, to the new version of the section 8 notice.

It is important  to navigate those changes and focus on preparedness, practical implementation, communication with tenants, documentation, property condition, referencing and discrimination, a tenant’s right to request pets, the detail of assured periodic tenancies, rent review, using section 8 and 13 notices, and finally how to keep  “ducks in a row” to avoid penalties for non-compliance.

How to Navigate Change

The RRA 2025 is not a small adjustment for landlords, it re-balances the relationship between landlords and tenants. The most notable features are the abolition of the Section 21 notice for new tenancies, the end of new fixed-term ASTs in favour of assured periodic tenancies, new limits on rent in advance and bidding practices, and strengthening property condition and enforcement.

This means the habits landlords are used to such as granting six or twelve-month tenancies and serving a Section 21 notice to bring a tenancy to an end, will no longer be relied on. Systems and processes that were familiar will now need to be updated, and landlords that treat these changes as a project with a clear action plan in place, rather than leaving things to the last minute, will cope best.

Change does not just happen – the RRA 2025 is a framework, and different elements will come into force at different times. Nevertheless, it is already law, and landlords should focus.

The Importance of being Prepared – Minimising Risk

Preparation is important because the risks of getting this wrong are very real and costly. From 27th December 2025, local authorities will be given enhanced investigatory and enforcement powers, including the ability to request information, inspect rented properties and impose civil penalties where landlords breach their obligations. There is also a contractual risk for landlords, as using incorrect tenancy templates, taking rent in advance, bidding wars will be unlawful, leaving landlords with very little protection.

But it is also operational risk that requires the most attention. Many processes, such as referencing, advertising, setting rents, rent reviews, serving section 8 and section 13 notices, managing property condition were designed around the old regime. Therefore, if those processes are not updated, landlords will do the wrong thing, from using incorrect paperwork to refusing an applicant in a way that is deemed discriminatory.

The focus will be a shift towards stable, compliant, well-managed tenancies rather than short tenancy terms with maximised rent in a competitive market.

Being ready means more than just reading a summary of the RRA 2025, it means auditing the property business, updating documents, investing in training and including compliance into the day to day running of a property portfolio.

The Landlord’s Action Plan

A structured Action Plan can turn what appears overwhelming into a series of manageable tasks and a good starting point is a full audit of existing practices. Landlords should gather all current tenancy agreements, renewal letters, notice templates, referencing criteria, marketing materials and internal procedures, and compare them against the new legal framework. This includes looking closely at clauses in the tenancy agreement which deal with fixed terms, rent in advance, pets, rent reviews, termination and possession grounds.

At the same time, each property should be mapped against current and the decent homes standard - ensuring gas and electrical safety, fire safety assessments, HMO licensing (where applicable), and issues such as damp and mould are addressed. The outcome of this exercise should identify which documents must change, which processes must be amended, and which properties require improvement to meet the standards relating to condition.

The next phase is to update documents and systems. The new tenancy must reflect the assured periodic tenancy model and remove clauses that conflict with the RRA 2025, such as requirements to pay more than one months’ rent in advance as a condition of granting the tenancy. Rent review clauses should reference the use of the section 13 notice.

Alongside this, internal processes must be adjusted. Advertising properties and the advertised rent must align with the restrictions on rental bidding and rent in advance. Property condition reports and property inspection should be formalised - central compliance register can be very useful, listing each property, key certificates, inspection dates and any outstanding works.

Communicating with Tenants

Whilst the Act offers greater security for tenants it also introduces changes tenants may not be aware of. So, tenants should receive explanations what changes are and how the Act affects them. Where tenancies are being converted to assured periodic tenancies, tenants should be told why a new form of agreement is being used, what it means and what has changed or not changed.

When the Act is implemented, landlords will the new tenancy system will apply to all assured shorthold tenancies - existing tenancies will become assured periodic tenancies, and all tenancies signed on or after the date of implementation will be governed by the new rules. Even though landlords will not need to change or re-issue tenancy agreements to existing tenants, they will need to provide tenants with a copy of an information sheet published by the government.

The landlord communicating clearly with the tenant will make life easier for both parties moving forward.

Updating Paperwork

With such significant changes taking place, it is clear that using out of date paperwork will not only be unprofessional, is one of the quickest ways to create problems. Every key document used within the tenancy process will need to be carefully reviewed, this includes tenancy agreements, rent review letters, Section 8 and Section 13 notices, welcome packs for tenants, standard emails, application forms and marketing materials.

The tenancy agreement is the starting point. Clauses that refer to a fixed term, rely on the Section 21 process, that permit high levels of rent in advance or impose blanket bans on pets will need to be removed or re-drafted. The agreement must refer to a rolling assured periodic tenancy that complies with the Act.

Renewal letters will no longer be required, however, covering letters dealing with rent reviews under the renters’ rights act and in line with the section 13 notice will be required.

Updated notice templates will be published by the government along with guidance notes; Notices that rely on the wrong statutory grounds or where the wrong form is used, will impact any claim for possession. Landlords should therefore ensure that all statutory forms are sourced when the government publishes them.

It is not wise to assume that all documents provided by a supplier has been updated automatically. Landlords should ask questions of providers and ensure that any templates are clearly labelled as being compliant with the Renters’ Rights Act 2025.

Because the changes are so significant, many landlords will instruct a one-off review by a specialist solicitor, especially if  managing a large portfolio. The cost of a review is likely to be high, but when compared to the cost of a failed possession claim or civil penalty for non-compliance, it will be worth it.

Property Condition – Hazard Free and Fit for Purpose

The Act is set to reinforce higher standards of property condition and enforcement. The message is clear, it must be safe, free from serious hazards and fit for human habitation which sits alongside the “decent homes” standard and Awaab’s Law in the private rented sector.

It will no longer be enough to deal with issues only when tenants complain. For example, damp and mould, inadequate heating, poor insulation, defective electrical installations, and unsafe stairs or flooring will attract scrutiny. Under the Act, local authorities are to be given strengthened powers to investigate and enforce, and can issue penalties where properties are not brought up to the required standard. They will have the power to enter properties with or without a warrant, inspect properties and request documents and information related to the tenancy.

A proactive inspection process is therefore essential. Before granting a tenancy, landlords should carry out property visits focused not only on decor but on health and safety issues. Landlords must ensure that gas and electrical safety checks are up to date, that smoke and carbon monoxide alarms are functioning, and that any issues, for example, water ingress, mould, loose handrails or damaged flooring, are dealt with.

It is important to document these property inspections, take photographs of defects and of remedial work as this will form part of an audit trail that can be invaluable if a complaint arises or an inspection is carried out by the local authority. It is important to remind tenants about their obligations and ensure they understand how to report repairs. This is the starting point for landlords who will have to adhere to strict time-frames under Awaab’s Law and ensure they are compliant

Where a property is not up to standard or requires significant repairs, landlords should consider whether it remains viable to let at all. In a more heavily regulated environment non-compliant properties pose a growing risk.

Adhering to the Rules - Advertised Rent and Bidding Wars

One key feature of the new legislation is the government’s move to prevent bidding wars. The Act is designed to promote transparency and fairness in how rent is advertised and agreed. In practice, this means that where a landlord or agent advertises a property at a particular rent, it is no longer acceptable to invite prospective tenants to submit higher offers.

Landlords and agents must ensure that adverts state the rent amount – for example, “£1,500 per calendar month” – and that they do not suggest that offers above that amount will be accepted. Wording such as “offers over” will not be acceptable. If market conditions suggest that a higher rent is achievable, the correct approach is to set a higher advertised rent and not to encourage bidding.

The Act also limits rent in advance as a condition of being granted a tenancy. For new assured periodic tenancies, landlords may not make it a term of the agreement that more than one month’s rent must be paid up front.

Non-compliance has serious consequences. Landlords who have historically relied on six or twelve months’ rent in advance for applicants with a poor credit rating or for overseas tenants, will need to look instead to more sophisticated referencing, guarantors or insurance-based solutions.

Advertising and rent-setting should therefore be reviewed together. Rent should be set at a level that reflects the condition, location and market forces, supported by evidence of comparable lets.

The Referencing Process and Preventing Discrimination

Referencing remains an essential part of managing risk and landlords must now be consistent in a way that is fair and non-discriminatory. The Act reinforces the fact that landlords must not  discriminate against applicants who are  in receipt of  benefits or those with children.

Landlords need to review their criteria and make sure that they are based on objective, factors such as income, credit history, affordability, rather than on assumptions about benefit status or family status. Phrases such as “no DSS”, “professionals only” or “no children” must not be used, except where there is a clear legal reason, for example, in certain types of specialist accommodation.

A consistent referencing procedure should be applied to all applicants and that procedure may include credit checks, verification of income or employment, references from previous landlords, affordability calculations and, where appropriate, the use of guarantors. The key is that the same process is applied to everyone. If an application is refused, there should be a clear note of the reasons – for example, “insufficient income relative to rent” or “unsatisfactory reference from previous landlord”, rather than vague comments that could be discriminatory.

It is also wise to train staff in equality and discrimination law, so they understand both the legal constraints and consequences of treating an applicant unfairly.

Lets with Pets

Ever since the idea of introducing this element to statute, there has been a lack of understanding about what the government’s intentions were. This is not a blanket ban on a landlord and their ability to refuse pets, it gives a tenant the ‘ right to request’ a pet.

Landlords must understand that requests to keep pets will need to be considered on their merits. A flat refusal is not enough.

The best approach is to develop a pet profile and a standard set of pet clauses setting out the rules around behaviour, noise and hygiene, and any situations where pets may be inappropriate. The tenancy will impose specific and clear obligations on the tenant, such as keeping the pet under control, cleaning up after it, taking reasonable steps to prevent damage and permitting additional inspections.

Insurers should be informed where properties are let with pets, and landlords should check if their cover extends to pet-related damage. Inventory reports at the start and end of the tenancy must be detailed in properties where pets are permitted, so that any damage can be measured fairly. The key is to manage the risk and to avoid arbitrary decisions.

Into the detail of the Assured Periodic Tenancy

At the heart of the new Act is the Assured Periodic Tenancy. For new lets, once the provisions are in force, landlords will be granting a rolling periodic tenancy and not a fixed term. These tenancies will indefinitely until brought to an end by the tenant or by the landlord relying on a statutory ground for possession.

The implications are serious. The model of a six or twelve-month fixed term, followed by a decision whether to renew or to serve a Section 21 notice, will no longer exist. Instead, tenants will enjoy increased security, on the proviso they pay the rent and comply with their obligations. The landlord will only be able to recover possession if one of the grounds under Section 8 can be relied on, for example, serious rent arrears, a significant breach, or a landlord needing to sell the property.

Assured periodic tenancies require careful drafting. The agreement must set out the rent, the period, the tenant’s and landlord’s obligations, the rent review process, a pet policy, the arrangements for inspections and repairs, and how the tenancy can be bought to an end. The tenancy should also be aligned with the Act’s restrictions on rent in advance and unlawful rental bidding.

For existing fixed-term ASTs, landlords should pay close attention to the dates on which fixed terms expire and plan renewals or variations in good time, rather than allowing conversions to happen without appropriate documents being served.

Reviewing Rent and the Test of Reasonableness

Rent reviews under the Act is about reasonable and justifiable adjustments. While the Act does not introduce a system of rent control, it places clear emphasis on fairness and reasonableness.

Landlords  will ensure that any proposed rent increase can be explained, which means keeping a record of comparables, reviewing rental prices, taking into consideration improvements made to the property, and noting any significant changes in costs. When an increase is proposed, the tenant must receive a written statutory notice that states the current rent, the proposed new rent and the date from which it will apply. The tenancy agreement must set out how often rent can be reviewed – no more than annually and in line with a rent date / anniversary date.

Good practice should prevail. Landlords should be willing to discuss the increase with the tenant. They should also consider the tenant’s history: a long-standing tenant who has paid reliably and looked after the property may justify a more measured approach to increase.

Landlords should not attempt to increase rent without notice, or multiple times in a 12 month period. They should not tie increases to unrelated matters such as pets, nor should they increase the rent to counteract a complaint from the tenant.

Tenants have the right to challenge a rent increase via the First-tier Tribunal (FTT) and if the FTT determine the increase is acceptable and it has taken several months to reach this decision, the landlord will not have the right to back date the rent increase.

Section 8 and Section 13 Notices

Abolishing the use of Section 21 means that landlords must rely on the Section 8 notice and the use of statutory grounds for possession. Given that a Section 8 notice requires a hearing if the tenant fails to vacate, now more than ever attention to detail is crucial.

Under Section 8, a landlord seeking possession of an assured periodic tenancy means relying on one or more statutory grounds.The notice must specifiy the grounds, the facts relied upon, along with the correct period of notice. And because the Section 8 is evidence based, keeping accurate and up to date records – pre-tenancy and during the tenancy – is paramount. Without strong, detailed and clear evidence, it will be difficult for the court to ascertain whether or not to grant possession.

Alongside the Section 8, landlords will need to rely on the Section 13 notice where they intend to increase the rent for periodic tenancies. The notice must be in a prescribed format and must give the tenant 2 months notice in line with a rent due date / anniversary date. It is important to note that, mistakes in the form or timing can invalidate the increase and can cause significant delay.

Ducks in a Row

The Renters’ Rights Act 2025 strengthens the hand of enforcement bodies. Local authorities will have greater investigatory powers, including the ability to request documents, inspect properties and pursue civil penalties where landlords fall are not compliant. “Getting one’s ducks in a row” is not a cliché; it is a necessary discipline.

A compliant landlord will be able to produce a complete, orderly file, application and referencing records, the signed tenancy agreement, deposit protection information, gas and electrical safety certificates, inspection reports, repair records, rent statements, rent review notices and any notices served under Section 8 or Section 13. They will also be able to show that advertising the property complied with the rules, that no forbidden bidding practices took place, that rent in advance was restricted, and tenants were not discriminated against.

Achieving this requires systems. Regular internal audits, clear standard operating procedures, training and periodic external reviews all form part of a compliance culture. Landlords should set internal deadlines for completing key tasks, such as updating all tenancy templates, bringing every property up to standard and phasing out old Section 21 processes.

The Renters’ Rights Act 2025 marks a significant shift in the private rented sector. It brings an end to the use of Section 21, replaces fixed-term ASTs with assured periodic tenancies, puts in place tougher rules on rent in advance and rental bidding, and gives local authorities stronger enforcement powers.

For landlords the challenge is to move from awareness to implementation. That means navigating change through a structured action plan, recognising the importance of preparation, updating processes and documentation, communicating clearly with tenants, ensuring properties are hazard-free and fit for purpose, advertising and setting rent lawfully, conducting referencing fairly, approaching pets, reviewing rent in a way that passes the test of reasonableness, and using Section 8 and Section 13 notices correctly with appropriate specialist support.

Those who act early, invest in systems and training, and adopt a culture of fairness and transparency will be well placed to thrive in the new environment. Those who delay or use old habits will find themselves exposed to legal, regulatory and financial risk.

The task is to ensure that every aspect of the letting operation is aligned with the new rules and that, in every sense, your ducks are firmly in a row.