Your guide to the biggest changes in private rented sector reform in over 30 years
If you're a landlord or tenant, you've likely heard whispers about new laws shaking up the rental market. The Renters’ Rights Act received Royal Assent in October 2025 and marks a landmark moment for how we experience the private rented sector.
Here's what you need to know: this isn't about winners and losers. It's about creating a fairer, more transparent rental market that works for everyone. Whether you're managing a portfolio of properties or raising a family in a rented home, these changes will affect you. Understanding them now means you can plan with confidence, rather than worry about what's ahead.
So, let’s cut through the jargon and talk about what matters.
When does it all happen?
The changes roll out in phases, starting soon. The core tenancy reforms are set to take effect from 1st May 2026, including the end of Section 21 and the shift to periodic tenancies. Later in 2026, we’ll see the introduction of the Private Rented Sector Database and the launch of a new Ombudsman scheme.
Further proposals – such as new property standards – are under consultation and may come into play from 2027 onward, though dates are still to be confirmed.
Understanding the end of Section 21
This is the headline that’s been making the rounds. From 1st May 2026, landlords will no longer be able to use Section 21 notices to evict tenants without giving a reason. For over 11 million renters in England, this brings greater peace of mind.
This doesn’t mean landlords lose the ability to regain possession. There are still valid grounds for ending a tenancy, such as needing to sell the property, move in a family member, or deal with rent arrears. But these must be handled through a more structured process under Section 8, ensuring transparency and fairness.
Tenants can now settle into their homes with more certainty, while landlords with well-managed properties and good relationships with tenants should see little disruption.
How tenancies are changing
From May 2026, assured shorthold tenancies and fixed terms will be replaced with rolling, periodic tenancies. These continue month-to-month until either party gives notice.
Tenants will be able to end their tenancy with two months’ notice at any time, offering flexibility when circumstances change. Landlords will need to follow new legal grounds for ending tenancies and meet specific criteria, especially in the early months of a tenancy.
If you currently have a fixed-term tenancy, it will automatically become a periodic tenancy on 1st May 2026. Landlords will also need to provide tenants with a government information leaflet explaining the reforms by 31st May 2026.
Rent: Fairness and transparency
A key change is that, from May 2026, landlords and agents cannot encourage or accept offers above the advertised rent. This means no more bidding wars - helping to prevent inflated prices in competitive areas.
Rent increases will still be allowed once per year, but tenants will have the right to challenge unfair increases through the First Tier Tribunal. The Tribunal can reduce or uphold the proposed rent, ensuring it reflects the local market. Tenants will also have greater protection from unexpected or sudden hikes in rent.
There will also be a limit on rent in advance. Once a tenancy has started, landlords will generally be limited to requesting no more than one month’s rent upfront, making the rental process more accessible.
Other important changes worth knowing
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Pets: Tenants can request permission to keep a pet, and landlords must consider it reasonably. You can still require pet insurance, but blanket “no pets” policies will be discouraged.
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Discrimination: It will be unlawful to refuse a tenancy based solely on whether someone has children or receives benefits. Every applicant must be considered fairly.
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Deposits: The cap remains the same - five weeks’ rent, or six if the annual rent exceeds £50,000.
What this means in practice
If you’re a landlord, you’ll need to:
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Familiarise yourself with the new possession grounds
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Keep clear records
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Prepare for the new PRS Database and Ombudsman requirements
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Ensure properties meet evolving safety and condition standards
If you’re a tenant, you’re gaining stronger protections:
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A more stable tenancy structure
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A fairer system for rent increases
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Protection from discrimination
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A clearer path to keeping pets
What happens next?
Some landlords may worry about losing flexibility or facing more paperwork to regain possession. These are valid concerns, and the government has promised court process reforms and digital systems to help.
Tenants may be concerned about landlords leaving the market. While some change is expected, the goal is to retain responsible, long-term landlords who see the sector as a sustainable investment, creating better quality housing for everyone.
Here in Northamptonshire, our lettings have always been built on respect and clear communication. These changes simply reflect and reinforce that ethos.
Getting the support you need
Prime Choice has been supporting landlords and tenants across Rushden, Kettering, Wellingborough and Corby since 1992. Legislative change is nothing new, and we’re ready to guide you through it.