This article by Mark Chick was originally published by the FPRA on 30 May 2025.
The original Renters (Reform) Bill was introduced to the House of Commons on 17 May 2023 by the then Secretary of State for Levelling Up, Housing and Communities, Michael Gove. The Bill was intended to create a fairer, more secure, and higher quality private rented sector but it hadn’t made it into law by the time the Conservatives were ousted.
On 11 September 2024, Labour reintroduced the legislation (with some additions) as The Renters’ Rights Bill, and it passed through the House of Lords at Committee Stage in May. The Bill now moves to Report stage (expected in early June) and will progress to Third Reading before returning to the Commons for consideration of amendments before receiving Royal Assent.
When it becomes law later this year it will change the rental landscape forever, ushering in a new era of security for renters moving forwards.
Many of the measures in the Renters’ Rights Bill were included in the original Renters (Reform) Bill. As the biggest change to private tenancies in over 30 years, the reforms will affect both landlords and tenants. The aim is to rebalance the rights and obligations of both, delivering on Labour’s manifesto commitment to transform the experience of private renting, including by ending Section 21 ‘no fault’ evictions.
Labour promises the bill will improve the current system, giving renters “much greater security and stability so they can stay in their homes for longer, build lives in their communities, and avoid the risk of homelessness.”
The key proposals of the Renters Rights Bill include:
Abolition of evictions under Section 21 Housing Act 1988
Section 21 “no fault” evictions are to be abolished. The current section 21 procedure allows landlords to seek possession without having to give a reason for wanting to repossess the property or prove fault on the tenant’s part. Under the new Bill, private tenancies can only end if the tenant chooses to end it or if the landlord has a valid ground for possession under Section 8 Housing Act 1988.
These changes could lead to an increase in the number of section 21 proceedings issued by landlords before the Act comes into force.
End of fixed term tenancies
The Bill proposes that all assured tenancies will be periodic and there will no longer be shorthold or fixed term tenancies. This means that all assured tenancies will be rolling without a specified end date.
Rent review clauses will be removed from tenancy agreements and landlords will not be able to include increases in line with the Retail Price Index. Yearly increases are still allowed and rent increase clauses can be introduced by using the section 13 notice procedure, although this can be challenged by tenants.
Strengthening of mandatory grounds
The existing framework under Section 8 will be reformed to strengthen the current mandatory grounds and reformed to include further grounds. Some of the key amendments are:
A new Ground 1A will be added where a landlord can seek possession if they intend to sell the property (this cannot be activated within 6 months of the start of the
tenancy, with exceptions)
A new Ground 8A will strengthen the landlord’s position in relation to rent arrears. This ground can be relied on if within a 3-year period ending with the date the notice is served, at least two months/8 weeks rent was unpaid for at least 1 day on three separate occasions (this does not apply to tenant’s receiving Universal Credit).
The current Ground 14 relates to anti-social behaviour of the tenant and will be amended from “likely” to cause nuisance or annoyance to “capable” of causing nuisance or annoyance. This lowers the threshold for landlords to prove anti-social behaviour of the tenant.
Under these changes, landlords can still recover their property and repossess their property where tenants are at fault (e.g. anti-social behaviour and repeat rent arrears)
Right for tenants to request a pet
This is good news for animal lovers as tenants will have the right to request to keep a pet in their rented property and the landlord must not unreasonably refuse consent to this. As a condition, the landlord will be entitled to request that the tenant takes out sufficient insurance or pays the landlord a reasonable premium for maintaining insurance for any damage caused by the pet.
The request for additional insurance currently conflicts with the Tenant Fees Act. The Bill proposes to insert an exception into this Act so that pet insurance becomes an exception to these rules.
New Ombudsman and portal
There is a proposed new Ombudsman that private landlords must join where tenants can submit complaints about them / the property. The Ombudsman will have the authority to force landlords to take remedial action, issue apologies or pay compensation of up to £25,000.
A Landlord Redress Scheme is also proposed to be set up which will be compulsory for all landlords to join and failure to register as a member will result in a civil penalty of up to £5,000 or a criminal penalty of up to £30,000 for repeated breaches.
It is important to note that although the Bill has completed its second reading in the House of Lords, it is not yet in force. Having received its second reading in the House of Lords the Renters Rights Bill now moves to the Report Stage. After this it will receive a third reading in the House of Lords and once this is completed the Bill will be sent to the House of Commons for consideration of any amendments before receiving the Royal Assent.
Updates can be found here. In terms of timings, it is possible we could see the Bill become law this summer, with commencement likely to be later this year. It is thought that the government would like to see this legislation become law before the first anniversary of Labour’s election victory in early July.
Landlords will need to keep abreast of rental reforms as improvements to their properties may need to be made to meet minimum standards. Tenants will have more flexibility to end tenancies, for example, for poor quality properties or breach of landlord duties. Until the Bill is passed, current legislation should be adhered to.
Contact our Landlord & Tenant team
If you have a query concerning leasehold property, then please contact our expert Landlord & Tenant team by emailing leasehold@bishopandsewell.co.uk or call on +44(0)20 7631 4141.
The above is accurate as at 20 May 2025.
The information above may be subject to change.
The content of this note should not be considered legal advice and each matter should be considered on a case-by-case basis.
