What changed under the Renters' Rights Act on 1 May 2026

The Renters' Rights Act is the biggest shake-up of private renting in England since 1988. It stopped being theoretical on 1 May 2026. Section 21 no-fault evictions are gone, every assured shorthold tenancy has converted to a periodic tenancy, and the way you raise rent, advertise a property and answer a pet request is now set by statute. The rules carry civil penalties of up to £40,000, so the cost of drifting along on old habits is real.

This article is general information rather than legal advice. The detail of your own tenancy agreements matters. But here is what landlords in England need to know now the Act is fully in force and which parts are still to come.

What changed on 1 May 2026

The Act received Royal Assent on 27 October 2025. The government brought the main tenancy reforms into force together on 1 May 2026. Fixed terms are banned. Existing assured shorthold tenancies converted automatically into periodic assured tenancies on that date with no new agreement needed. Every new letting is periodic from day one. Tenants can now end a tenancy with two months' notice at any point.

Landlords had until 31 May 2026 to give existing tenants the government's official information sheet explaining the changes. If that duty passed you by, it is worth correcting now rather than leaving a compliance gap on the file.

Getting the property back on the grounds that matter

With section 21 abolished, possession runs through specific legal grounds. The official guide to the Renters' Rights Act sets out the full table, but three matter most to everyday landlords:

1. Ground 1A lets you seek possession to sell with four months' notice but cannot be used in the first 12 months of a tenancy. If you rely on it, you cannot re-let or re-market the property for 12 months afterwards, so a sale that falls through becomes expensive.
2. Ground 1 covers you or close family moving in, on the same four months' notice and the same 12-month protected period at the start of a tenancy.
3. The mandatory rent arrears ground now requires three months of unpaid rent rather than two (13 weeks where rent is paid weekly or fortnightly), with four weeks' notice.

We look at the selling side in more detail in our separate article on selling a buy-to-let with tenants still in it.

Rent rises, bidding and advance payments

Rent can now only be increased once a year via a formal section 13 notice with at least two months' warning. Rent review clauses in old agreements no longer have any effect. Tenants can challenge an increase at the First-tier Tribunal before the new rent starts. The tribunal cannot set a figure higher than the one you proposed, so a well-evidenced market rent is the strongest position.

Advertising has changed too. Every listing must state a specific asking rent. You cannot invite, encourage or accept bids above it. Breaching the bidding ban carries a civil penalty of up to £7,000. Rent in advance is now capped at one month, payable only between signing and the start of the tenancy.

Pets, standards and what is still coming

Tenants now have a formal right to request a pet. You have 28 days to respond and cannot refuse unreasonably, though a superior lease that bans pets acts as a valid reason to say no.

Not everything in the Act is live yet, and it pays to know the difference. The private rented sector database begins a regional rollout from late 2026. Once it reaches your area, registration will be mandatory. An unregistered landlord will be unable to get most possession orders. The new landlord ombudsman is expected to become compulsory around 2028. The Decent Homes Standard and Awaab's Law for private rentals sit further out still, subject to consultation. Treat those as confirmed reforms to plan for, not current rules.

What getting it wrong now costs

Councils can issue civil penalties of up to £7,000 for initial or minor breaches, rising to £40,000 or criminal prosecution for serious or repeat non-compliance. Rent repayment orders have doubled and tenants can now claim back up to 24 months' rent rather than 12.

As a worked example, suppose your tenant pays £950 a month, and a tribunal makes a maximum rent repayment order against you. That is £950 multiplied by 24, a repayment of £22,800 before any separate civil penalty is added. On a property netting perhaps £3,000 a year after costs, one bad compliance failure can wipe out years of profit.

The bottom line

Since 1 May 2026, every tenancy in England is periodic, possession needs a legal ground, rent rises follow the section 13 route once a year, and penalties for cutting corners run to £40,000 and 24 months' rent. The database and ombudsman are coming next, so build compliance into the routine now. And if the new regime has you thinking about buying more property or selling up, the legal work matters more than ever. It takes two minutes to compare conveyancing quotes from firms that handle tenanted property every week.