On 27 October 2025, the Renters’ Rights Act 2025 received royal assent, marking the biggest reform to the private rented sector in decades.
Following on from my previous article, which outlined the Government’s proposed changes under the Renters Rights Bill, we now know the exact changes the Government have made, aiming to strengthen tenants’ security and imposing greater obligations on landlords and agents.
Abolition of assured shorthold tenancies and section 21 notices
As promised, the new Renters’ Rights Act 2025 (“the Act”) abolishes assured shorthold tenancies. Going forward all tenancies are to be periodic, with rent periods not exceeding one month. This means a tenancy will continue indefinitely until either party gives notice or one of the statutory grounds for possession applies.
The abolition of Section 21 Notices brings “No fault” possessions to an end. Landlords must rely on one of the lawful grounds for possession that are set out in the Act, such as breach of tenancy and rent arrears.
Amendments to existing possession grounds
The Act amends the existing Section 8 Notice, purported to provide clearer and fairer procedures.
Changes to ground 8 (rent arrears)
Ground 8 (rent arrears), now requires three months’ arrears before a notice can be served and the notice period has increased from two to four weeks, giving tenants more time to resolve financial difficulty.
Introduction of ground 6B (redevelopment)
A new Ground 6B allows a landlord to recover possession for redevelopment, but the tenant may be entitled to compensation for such sum as would appear sufficient for damage or loss sustained as a result of the landlord obtaining possession.
The previous statutory requirements to enable a landlord to serve a Section 21 Notice, are now required for a landlord to rely on any of the existing or new grounds.
New possession grounds
The Act introduces several new grounds for possession, including where a landlord intends to sell their property.
Other key changes under the Renters’ Rights Act 2025
Other key aspects of the new Renters’ Rights Bill include:
- A new Private Rented Sector Database. Landlords must register and demonstrate compliance before relying on possession grounds.
- Applying decent homes standards. Extending safety and habitability requirements.
- Rent and payment controls. Limiting rent increases to once per year and capping advance rent to one month.
- Penalties for misuse. Landlords who knowingly misuse a possession grounds may face rent repayment orders.
- Changes to the meaning of “residential landlord”. The Act proposes to broaden the scope of who is considered a residential landlord, meaning more tenancies will not be considered an “assured tenancy”.
Notice requirements for tenants
The Act also amends the Protection from Eviction Act 1977, requiring tenants to give at least two months’ notice, when ending their assured tenancy, aligning notice obligations more closely between landlords and tenants.
Implementation changes
With more cases proceeding under the Section 8 route, this is likely to increase pressure on an already strained court system.
A new ombudsman is proposed to provide an impartial process and binding decision for both landlords and tenants.
What happens next?
Although the Act is now law, the changes are not yet in force. On 14 November 2025, the Government set out a roadmap for implementation and proposed that many of the provisions will come into force in stages throughout 2026.
Phase 1, from 1 May 2026
This phase includes:
- Abolition of Section 21 Notices
- End of assured shorthold tenancies
- Amendments to key possession grounds
- Ban on bidding wars
Phase 2, late 2026
This phase will introduce the:
- Private Rented Sector Database
- Landlord Ombudsman
Phase 3, date TBC
The final phase will implement:
- Decent Homes Standard
- Awaab’s Law
These remain subject to consultation.
Existing Section 21 Notices and possession proceedings served before the relevant provisions come into force will remain valid until concluded. The Act’s changes will not apply to tenancies that become periodic before the implementation date.
Preparing for change
Landlords should review their compliance with current legislation to ensure they can rely on possession grounds in future. Tenants should familiarise themselves with their new rights and the strengthened protections under the Act.
Giving you the full picture
If you would like more advice on the Act, your tenancy agreement or regaining possession of your property, please get in contact with our specialist team.
