The Renters’ Rights Act 2025: What It Means for Landlords, Tenants and Letting Agents

 

The private rented sector is entering a new chapter. The Renters’ Rights Act 2025 received Royal Assent on 27 October, officially becoming law in England. Although implementation will take place in stages, the direction of travel is now clear: more protection for tenants, stronger regulation for landlords, and greater accountability across the industry.

For letting agents, this is a defining moment to lead. Clients will be looking for calm, knowledgeable guidance, and a professional voice that explains what these changes really mean in practice.

Why the Act was introduced

The Renters’ Rights Act is the government’s long-awaited reform of the private rented sector. It was designed to address long-standing concerns about instability, unfair evictions, and uneven standards. The aim is to make renting fairer and more secure for tenants, while ensuring landlords can still manage their properties effectively.

In essence, the Act seeks to create a modern framework built on transparency and trust. It encourages longer, more stable tenancies, limits unnecessary eviction, and provides clearer rights of recourse for everyone involved.

The end of no-fault evictions

The most significant change is the abolition of Section 21, which previously allowed landlords to end a tenancy without giving a reason. Once the new system is in place, this type of “no-fault” eviction will no longer exist.

Landlords will instead need to use specific legal grounds to regain possession, such as selling the property, moving in themselves, or where there has been serious rent arrears or anti-social behaviour. The government has confirmed that these grounds will be strengthened to ensure landlords can still recover their property in legitimate cases.

For letting agents, this change means greater emphasis on documentation and compliance. Accurate records, clear communication, and proper notice procedures will become essential parts of day-to-day management.

The move to open-ended tenancies

The Act also brings an end to traditional fixed-term assured shorthold tenancies. All new and existing tenancies will gradually convert to periodic agreements, which continue indefinitely until either party gives notice.

Tenants will gain flexibility, as they will no longer be tied to a fixed term and can leave with reasonable notice. Landlords, meanwhile, will have to plan more carefully for when and how they wish to end a tenancy, since renewal dates will no longer provide natural exit points.

Agents will need to update their tenancy templates and internal processes. Renewal letters, break clauses, and notice procedures will all need to be revised to reflect the new model.

Rent increases and regulation

The Act introduces stricter rules on rent increases and greater transparency in how rents are set. Landlords will be limited to one rent increase per year, and any adjustment must reflect the local market rate. Tenants will also have the right to challenge increases they believe are unreasonable.

In practice, this means agents will need to maintain accurate market data and follow proper notice procedures when advising landlords on rent reviews. A well-managed, transparent rent review process will help reduce disputes and maintain good relationships with tenants.

A new Ombudsman and landlord registration

Another major reform is the creation of a national Ombudsman for the private rented sector. All landlords will be required to register, and tenants will have access to an independent complaints process.

This move aims to improve accountability and provide quicker, fairer resolution when problems arise. For letting agents, it’s a chance to highlight the benefits of professional management — well-organised records, clear procedures, and proactive communication will all help avoid escalation to the Ombudsman.

Implementation and next steps

Although the Renters’ Rights Act is now law, most of its provisions will not come into force immediately. The government is expected to roll out the changes gradually to give landlords, tenants and agents time to adapt.

This period offers a valuable opportunity for agents to prepare. Review all tenancy agreements, notice templates, and rent review procedures now, so that they are ready ahead of implementation. Communicate early with clients to explain what will change and what will stay the same.

What the Act means for landlords and tenants

For landlords, the reforms bring greater structure but also greater scrutiny. The end of Section 21 means you will need to manage tenancies more deliberately, relying on valid possession grounds and ensuring full compliance with notice rules. Proper documentation and planning will be crucial.

For tenants, the Act provides stronger security and a fairer renting experience. You will have more certainty that you can stay in your home unless there is a legitimate reason for eviction, and you’ll have more flexibility to move when needed.

Ultimately, the Act is designed to create a system that rewards good practice on both sides — stable homes for tenants, predictable returns for responsible landlords, and a clearer framework for all.

How letting agents can support their clients

Letting agents have a central role to play in guiding clients through this transition. This includes auditing current tenancies, advising on documentation updates, and helping landlords understand the new possession grounds and rent review rules.

Clear, consistent communication will be key. Landlords will need reassurance that they can still operate confidently under the new system, and tenants will look to agents for reliable information about their rights. By offering both, agents can strengthen trust and demonstrate their ongoing value.

The most successful agencies will be those that treat these changes not as a disruption, but as an opportunity to raise standards and build lasting relationships.

In summary

The Renters’ Rights Act 2025 represents a fundamental shift in how the private rented sector operates. It replaces the old framework with one designed for stability, fairness and professionalism.

For letting agents, the task now is to prepare — to review processes, educate clients, and stay one step ahead. Those who do will not only remain compliant but will emerge as trusted, indispensable partners in the new rental landscape.

If you’d like tailored advice on how to prepare your portfolio or update your tenancy agreements, get in touch. Our team can help you understand exactly what the Renters’ Rights Act means for you and ensure you’re ready for the changes ahead.