Date published: 25th November 2025

The Renters’ Rights Act 2025 is the biggest shake-up of the private rented sector (PRS) since the Housing Act 1988. With major changes coming into force on 1 May 2026, landlords and letting agents need to act now to stay compliant and protect their investments.

This landmark legislation aims to give tenants more security and improve housing standards. While most landlords provide a good service, the Government says the PRS remains “the least affordable, poorest quality and most insecure housing of all tenures.”

Andrew Leakey, Partner & Head of Civil & Commercial Litigation at Jackson Lees, explains how the Act is designed to change that.

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What is Changing Under the Renters’ Rights Act?

The Act introduces several key reforms that will affect every landlord:

  • Section 21 abolished: “No-fault” evictions will go from 1st May 2026. Landlords must rely on updated Section 8 grounds for possession, such as rent arrears or selling the property.
  • End of fixed-term tenancies: All new and existing tenancies will become rolling periodic contracts.
  • Rent increase limits: Rent can only be raised once per year via a Section 13 notice, and tenants can challenge increases at tribunal.
  • Ban on bidding wars: Landlords and agents cannot accept offers above the advertised rent.
  • Right to request pets: Landlords cannot unreasonably refuse tenants with pets.
  • Decent Homes Standard: All rental properties must meet minimum quality standards, including damp and mould rules under Awaab’s Law.
  • Landlord Ombudsman and PRS Database: Mandatory registration and a new dispute resolution service will launch later in 2026.

When Do These Changes Take Effect?

  • Phase 1: 1 May 2026: Section 21 abolished, periodic tenancies introduced, rent increase limits enforced, bidding wars banned, and pet requests become law.
  • Phase 2: Late 2026: PRS Database and Landlord Ombudsman go live.
  • Phase 3: 2027 onward: Full enforcement of the Decent Homes Standard.

How Does the Renters Rights Act 2025 Affect Landlords?

If you own or manage rental property in Liverpool or the Wirral, you need to:

  • Update tenancy agreements to remove references to section 21 notices
  • Review possession strategies and train staff on new Section 8 grounds.
  • Budget for property upgrades to meet the Decent Homes Standard.
  • Prepare compliance documents for the PRS Database (EPC, Gas Safety, EICR).
  • Communicate with tenants about upcoming changes to avoid disputes.

Failure to comply could lead to invalid notices, tribunal challenges, and fines of up to £7,000 for breaches such as advertising fixed-term tenancies.

Need Expert Advice? We’re Here to Help

At Jackson Lees, we understand how complex these changes can feel. Our legal specialists can guide you through the Renters’ Rights Act, update your agreements, and help you stay compliant.

Please give us a call, request a callback or make an enquiry to find out how we can help.