The UK rental market is about to experience one of its most significant shifts in years. From 1 May, Phase 1 of the Renters’ Rights Act officially comes into force – bringing with it new rules designed to create a fairer, more transparent renting landscape.
As an asset manager or landlord navigating an already complex property market, it’s crucial to understand what these changes mean for you and your tenants. Below, we break down the key reforms and what you need to prepare for.
What’s changing on 1 May?
1. Periodic tenancies become the norm
Fixed-term tenancies will be replaced by periodic tenancies, giving tenants more flexibility while still offering stability for landlords. Contracts will now roll month-to-month, simplifying tenancy transitions.
2. Section 21 “No-Fault” evictions abolished
One of the biggest shifts: landlords will no longer be able to evict tenants without a valid reason. This change aims to provide renters with more security and reduce unexpected displacement.
3. Cap on rent in advance
Tenants cannot be asked to pay excessive months of rent upfront. The cap (details expected from secondary legislation) is designed to make renting more accessible to those without large savings.
4. Anti-discrimination measures strengthened
The Act introduces tighter restrictions on discriminatory practices—particularly around renting to families, benefit recipients, or pet owners. Application processes must now be fully compliant and bias-free.
5. Ban on rental bidding
Landlords and agents can no longer encourage or accept bids above the advertised rental price. This measure aims to reduce competitive “rent auctions” and maintain transparency in pricing.
6. Annual rent increases only via Section 13 notices
Rent increases can only occur once per year, and must follow the formal Section 13 process – ensuring changes are fair and supported by evidence.
Need support navigating the changes?
The Renters’ Rights Act marks a major shift for landlords, tenants, and asset managers alike. Whether you’re reviewing your current portfolio, updating tenancy agreements, or simply want to understand how these reforms may impact your properties, the OB Private Lettings Team is on hand to guide you through every step.
If you have any questions about your existing tenancies, upcoming renewals, compliance, or market strategy, get in touch with us today. Our specialists will ensure you remain fully aligned with the new legislation while protecting both your assets and your tenants’ experience.
Contact info@obprivate.co.uk for tailored advice or support.
