The Renters Rights Bill is now in its final parliamentary stretch. After clearing the Lords in July and bouncing back to the Commons in September, the Bill is in "ping pong" mode, with both Houses negotiating final wording. Royal Assent is expected late October or November 2025, with implementation likely spring 2026. For portfolio landlords and lenders, this is the window to get operationally ready.
Current Status: Nearly There
The Bill completed its Third Reading in the House of Lords on 21 July 2025. The Commons considered Lords amendments on 8 September, rejecting most non-government changes whilst accepting government amendments. The Lords will review the Commons' response on 14 October. After conference recess (mid-September to mid-October), expect Royal Assent by late October or early November 2025.
Key takeaway: Royal Assent before year-end is virtually certain. The debate now is about implementation timing, not whether this becomes law.
What Changes (No Surprises, But Confirmation Matters)
The structural reforms remain unchanged from earlier drafts:
Fixed-term ASTs abolished: All tenancies become rolling periodic from commencement. That three-year AST you grant in December 2025 will convert to periodic the moment the Act goes live.
Section 21 gone: No-fault evictions disappear entirely. Every possession claim runs through Section 8 grounds, which have been strengthened and clarified but require proper evidence and process.
Enhanced Section 8 grounds: Expanded grounds for landlord move-in (now includes landlord's children), sale, serious breaches, and rent arrears. The mandatory arrears threshold rises from two months to three months.
Protected period: Tenants get 12 months' protection from possession grounds 1 (landlord move-in) and 1A (sale). After that, landlords must give four months' notice.
Rent increases: Landlords can only increase rent via Section 13 notice (rent review clauses become void). Tenants get two months' notice, up from one month, and can challenge at First-tier Tribunal. Crucially, unsuccessful challenges now won't backdate increases, removing the previous incentive to lodge speculative appeals.
Timeline: Spring 2026 Is Your Planning Baseline
There is still no confirmed commencement date. Industry commentary and parliamentary briefings point to early 2026, with spring the sensible working assumption. Here's why:
- Royal Assent: Late October or November 2025
- Commencement window: Government has promised "sufficient notice" for landlords, agents, and courts to prepare, plus time for secondary legislation (database, ombudsman, Decent Homes Standard)
- Implementation: Most credible sources peg main provisions (AST abolition, Section 21 switch-off, Section 8 overhaul) to Q1 or Q2 2026
Important: Commencement can be staggered by statutory instrument. The new tenancy system and Section 21 abolition are priorities, but other provisions (ombudsman, database, Awaab's Law for PRS) may follow later in 2026.
Transition protection: Any valid Section 21 notices served before commencement should run their course, though landlords will have a limited window (likely two to three months post-commencement) to apply to court if the notice is still valid.
Possession Under Section 8: Evidence Is Everything
Without Section 21, every possession claim lives or dies on evidence quality. Courts will scrutinise:
- Contemporaneous records: Rent schedules, arrears chasers, inspection notes, repair logs
- Service proofs: Notice delivery, prescribed information, deposit protection
- Pre-action conduct: Mediation attempts, reasonableness (especially for discretionary grounds)
- Compliance file: Right to Rent, gas safety, EICR, EPC, HMO/selective licensing
Judges will check technicalities even on mandatory grounds and press reasonableness where grounds are discretionary. Sloppy paperwork becomes a gift to tenant defence lawyers.
File Hygiene Checklist: Complete by Year-End
Get these sorted now, before the scramble:
- Right to Rent: Copies, dates, follow-up renewals diarised
- Deposit protection: Protection within 30 days, prescribed information served, any variations documented
- Licensing: HMO or selective licences valid and conditions satisfied
- Safety: Gas Safety, EICR in date, smoke/CO alarms, correct How to Rent guide version logged
- EPC: Minimum standard met, renewal dates tracked
- Communications: Centralise all arrears chasers, breach letters, inspection notes, repair correspondence in one place per tenancy
If you can't prove it, it didn't happen. Courts won't take your word for it.
Lender Covenants: Get Ahead of the Conversation
Periodic tenancies and reliance on Section 8 introduce timing and outcome variability. Lenders are already signalling sensitivity around:
- DSCR assumptions: Longer possession timelines may trigger reassessments
- Void and arrears overlays: Risk models are being recalibrated
- Margin ratchets: Expect pricing or covenant pressure at refinance if your portfolio looks messy
Proactive landlords should brief lenders now on arrears management processes, evidence discipline, and file hygiene improvements. Frame it as risk mitigation, not a problem. This is as much a relationship exercise as a legal one.
Practical Actions: Next 90 Days
- Portfolio triage: Segment units by arrears risk, compliance gaps, tenant stability
- Template overhaul: Refresh Section 8 notices, covering letters, pre-action protocols
- Evidence discipline: Introduce checklists at let-up, mid-tenancy, breach stages
- Court readiness: Line up solicitors or counsel with contested Section 8 experience
- Communication plan: Build tenant-friendly arrears workflows to demonstrate reasonableness
- Lender dialogue: Share your updated possession strategy, KPIs, and compliance posture
Key Government Amendments Accepted
Two important clarifications made it through:
Rent in advance for existing tenancies: Landlords whose tenancies pre-date the Act can continue requiring rent in advance for as long as that tenancy runs. This won't apply to new tenancies post-commencement.
Rent increase backdating: The government amended the Bill so rent increases following unsuccessful First-tier Tribunal challenges are not backdated. This removes the previous incentive for tenants to lodge speculative appeals purely to delay rent increases.
What Didn't Make It (But Was Close)
Several Lords amendments were rejected by the Commons on 8 September:
- Pet damage deposit: Removed (landlords can't require pet insurance or a separate deposit)
- Reduced restricted period: Ground 1A restricted period stays at 12 months (Lords wanted six months)
- Expanded student ground: Extension of Ground 4A to cover one- and two-bedroom student properties was rejected
These amendments had cross-party and industry support but fell foul of the government's majority. Landlords will need to work within the original framework.
Enforcement: Local Authorities Get More Muscle
Local authorities gain new powers to impose civil penalties up to £7,000 for breaches, with multiple penalties possible for repeat offences. Councils will have powers to enter premises without a warrant and require production of documents when investigating breaches.
Expect the ombudsman service to launch soon after Royal Assent, with landlords given notice of sign-up deadlines. The ombudsman can order apologies, action, or compensation where landlords acted unreasonably.
With council budgets stretched, enforcement quality will vary by area, but the direction of travel is clear: more scrutiny, higher stakes for non-compliance.
--------------
This article reflects the status of the Renters Rights Bill as of late September 2025. Check the UK Parliament Bills page for live updates and GOV.UK guidance for implementation details as they emerge.
