Renters Rights Act - sections 1-32

In this news update we will detail briefly the changes to be made to assured shorthold tenancies under sections 1-32 of the new Renters Rights Act.

Tenancy Period

The Housing Act 1988 will be amended so that all assured tenancies will be periodic from the outset, with the rent period not to exceed one month. Any contractual term which is inconsistent with these requirements will be of no effect. A tenant may terminate the tenancy at any time by giving two months notice.

Possession

Significant amendments are made to Schedule 2 of the Housing Act 1988, which details the grounds upon which the landlord may rely to otbain a Possession Order. The more important amendments include the following.

Ground 1 is substituted in whole. New Ground 1 provides for a mandatory ground for possession where a landlord seeks to recover possession to enable occupation by themselves or by specified family members; it is only available after a minimum 12-month period; and provision is made to prohibit letting or advertising the property for letting for at least 12 months after obtaining possession, breach of which prohibition would be enforceable by local authority prosecution or financial penalty.
New Ground 1A allows the landlord to sell the property, subject to a 12-month minimum period since the letting began with the same anti-abuse provision as in Ground 1 above.
Ground 1B will make the similar provision for social landlords, without either the minimum or the anti-abuse provisions.
Ground 2 (possession by mortgagee) is amended to remove the requirements for notice of mortgage before letting (which could in any event have been dispensed with by the court) and for the mortgage to have pre-dated the grant of the tenancy.
New Grounds 2ZA and 2ZB apply where a landlord seeking possession is a tenant under a superior lease and the landlord under the superior lease seeks to recover possession.
New Grounds 2ZC and 2ZD apply where the landlord has become the landlord by virtue of s.18, 1988 Act (where an intermediate tenancy has come to an end).
Ground 3 (holiday lettings) is abolished.
New Ground 4A will apply where the landlord of an HMO seeks to recover possession of a property at the end of the academic year where all the tenants were full-time students at the commencement of the tenancy (whether or not any of the tenants are still full-time students).
New Grounds 5A, 5B, 5C and 5D make provision for circumstances in which accommodation was provided in connection with employment or some other specific purpose which employment/purpose has now ended.
New Grounds 5E and 5F make provision for possession in respect of supported accommodation.
New Ground 5G will apply where the tenancy was granted pursuant to s.193, Housing Act 1996 (accommodation for the homeless owed the main housing duty) and the local authority has informed the landlord that the accommodation is no longer required under that provision.
New Ground 5H will apply where a registered provider of social housing or a charity seeks possession of “stepping stone” accommodation (i.e. accommodation provided for a limited period to help the tenant transition to independent living).
New Ground 6A will apply where the landlord requires possession because of local authority enforcement action (e.g. possession required pursuant to prohibition order or refusal of HMO licence). On the making of such an order, the court may order the landlord to pay compensation to the tenant in respect of any damage or loss sustained in consequence of the order for possession.
Ground 7 is amended to prevent an order for possession being made against someone to whom a tenancy has devolved under a will or on intestacy if that person was occupying the property as their only or principal home, unless the tenant who died was themselves someone on whom the tenancy devolved under a will or on intestacy. There are exceptions for “special” tenancies, including social housing, supported accommodation or when the tenant who died was being housed under s.193, Housing Act 1996.
Ground 8 is amended so as to increase the required arrears to 13 weeks or 3 months (from 8 weeks or 2 months). Arrears attributable to delay paying universal credit are to be disregarded.

Rents

All assured tenancies will now be subject to the annual rent increase procedures in s.13 Housing Act 1988; contractual rent increase provisions will be of no effect.

This means that in order to increase the rent the landlord will have to serve notice in the prescribed form, proposing a rent to take effect at a future date (itself calculated by reference to, among other things, the date of any previous rent increase, the commencement of the tenancy and the rent periods under the tenancy).

The new rent will take effect unless the tenant refers the matter to the FTT or the parties agree a lower rent. If the rent is referred to the FTT, it must assess the market rent. That assessed rent will take effect from such date as the FTT may direct, which not must be earlier than the date of the application.

New Duties on Landlords

These include a duty:

to give a written statement setting out the terms of the tenancy and such other matters as may be prescribed.
not to offer a fixed term assured tenancy;
not to serve notice to quit in respect of an assured tenancy;
not to purport to bring the tenancy to an end by oral notice;
not to serve a purported notice of possession which is not in accordance with s8 Housing Act;
not to rely on a ground for possession without a reasonable belief that the landlord will or may be able to obtain possession on that ground.

Contravention of any of these duties entitles the local housing authority to impose a financial penalty of up to £40,000 or to prosecute.

Other Reforms

It will be an implied term of the tenancy that a tenant may keep a pet with the consent of the landlord, such consent not to be unreasonably withheld.

A guarantor will not be liable for the rent after the death of the person whose rent has been guaranteed.

The existing provisions governing protection of tenancy deposits under assured shorthold tenancies will apply to all assured tenancies.

Oliver Kew

Published on 26/11/2025