The Renters’ Rights Act 2026 – Key Changes and Practical Impact

Residential Real Estate
Real Estate

Sarah Gallagher, Tilly Kelly
May 2026

Introduction:

The Renters’ Rights Act 2026 (RRA), which came into force from 1 May 2026, introduces significant reform to the private rental sector in England. It’s core objective is to rebalance the landlord – tenant relationship by improving security, fairness and transparency for the tenant, while also preserving landlords’ ability to regain possession where justified.

The RRA applies to both existing and new tenancies and establishes a new, standardised framework for residential letting. This article summarises the key changes introduced as a result of the RRA, together with the practical advantages and disadvantages for both landlords and tenants.

High Level Changes

Section 21 Notices:

A Section 21 notice is a mechanism under the Housing Act 1988 which allows a landlord to recover possession of a property at the end of an assured shorthold tenancy without needing to establish any fault on the part of the tenant.

Section 21 notices have now been abolished; landlords must now rely on statutory grounds under Section 8 of the Housing Act 1988 to regain possession of their rented Property. This ends the ability for landlords to apply a “no-fault” eviction, significantly increasing tenant security.

End of Fixed-Term Tenancies:

Assured Shorthold Tenancies (ASTs) have been abolished and replaced with rolling periodic tenancies (typically monthly).

Tenancies now continue indefinitely unless terminated in accordance with Section 8 grounds as mentioned above.

Tenants may end a tenancy by giving two months’ notice.

Restrictions on Rent Increases:

Landlords are limited to increasing rent once a year, following the statutory Section 13 process. Any rent increases must reflect the open market rate (the price if the property was to be newly advertised).

Tenants can then challenge this increase at tribunals if they believe it does not reflect the open market rate before the new rent starts. Landlords cannot then use a “no-fault” eviction under S21 to evict any tenants who challenge a rent increase.

Financial and Letting Restrictions:

Rent in advance is capped at one month, and requests for large upfront payments are banned.

Rental bidding wars have been prohibited, meaning landlords and agents must not encourage or accept offers above the advertised rent.

Anti-Discrimination Measures:

Landlords must not discriminate against prospective tenants on the basis of their receiving benefits or having children under the age of 18. However, landlords may still select tenants based on legitimate criteria, provided these are applied lawfully.

Blanket bans on “Pets”:

Tenants have a right to request a pet; Landlords must consider requests reasonably and cannot impose blanket bans.

Regulatory Changes:

Introduction of:

Private Landlord Ombudsman for dispute resolution – A new independent body established to provide tenants and landlords with a quicker, low-cost forum for resolving disputes without the need to go to court.
Private Rented Sector database – A central register requiring landlords to record details of their properties and compliance, aimed at increasing transparency, accountability and regulatory oversight within the private rental sector.

These are expected to be rolled out later this year.

Advantages and Disadvantages

From a Tenant Perspective:

Pros:

Greater security – Tenants cannot be evicted without a valid legal reason, reducing the risk of sudden homelessness.
Increased flexibility – Rolling tenancies allow tenants to leave at any time with 2 months’ notice, rather than being tied to fixed terms.
Protection against unfair rent practices – Caps on frequency of rent increases and tribunal rights enhance affordability and transparency.
Improved Access to Housing – Ban on discrimination, rent in advance being capped, and bidding wars lowers the barriers to access the rental market.
Improved living conditions and rights – Future reforms with the introduction of the Private Landlord Ombudsman and Property Rented Sector Database, aims to raise housing standards and accountability for landlords.

Cons:

Potential reduced supply of rented housing – Early market responses suggest some landlords (specifically those with a smaller portfolio) may exit the market, reducing rental availability.
Possible upward pressure on rent – Reduced supply combined with additional constraints on landlords could lead to increased rent cost.
Reduced predictability in long-term pricing – although increases are limited annually, there is no overall rent increase cap.

From a Landlord Perspective:

Pros:

Clearer and more standardised framework – A single tenancy model simplifies administration and reduces complexity.
Defined grounds for possession – Strengthened Section 8 grounds allows recovery of possession in legitimate circumstances.
Improved sector regulation – the Ombudsman and database may increase trust and transparency in the market.

Cons:

Reduced flexibility in managing tenancies – Loss of Section 21 removes a key tool for regaining possession quickly.
Greater reliance on the courts – All evictions now require a legal ground and court process likely increasing time, cost and uncertainty.
Increased regulatory burden – New compliance obligations (documentation, rent rules, anti-discrimination) increase administrative requirements.
Greater financial risk exposure- Delays in possession (especially in arrears cases) may lead to prolonged loss of income.
Reduced certainty due to tenant notice flexibility – Tenants can leave at any time on two months’ notice, giving landlords less certainty over tenancy duration and future rental income.

Overall view:

The Renters’ Rights Act represents a fundamental shift in the balance of power within the private rented sector:

It moves away from a contractual, landlord-led system towards a regulated, security-focused model for tenants.
The reforms prioritise housing stability and fairness but introduce commercial and practical challenges for landlords.

The long-term success of the regime is likely to depend on: