By Lewis Brown, Managing Associate
Both England and Wales’ rental market is poised for one of the most sweeping overhauls in decades.
The Renters’ Rights Bill, introduced by the previous Government, is set to redefine the legal framework for private landlords and tenants alike.
While the Bill continues its path through Parliament, one thing is clear: change is coming. And for landlords, particularly those managing significant portfolios or relying on rental income as a business investment, early preparation is key.
At Swinburne Maddison, we act for landlords across the North East and beyond. With the legal landscape shifting, now is the time to get ahead of what may become the new normal.
The end of ‘No-Fault’ evictions
Perhaps the most talked-about proposal is the abolition of Section 21, the mechanism that allows landlords to end tenancies without giving a reason. If passed, this change will mean all future evictions must be based on specific, legally defined grounds.
These include persistent rent arrears, antisocial behaviour, or circumstances where the landlord needs to sell the property or house a close family member. Even these grounds will carry stricter notice requirements and evidential burdens. For instance, eviction for rent arrears will only be mandatory if a tenant is three months behind, not two.
In practice, this will demand a more cautious and structured approach to tenant management. Referencing, documentation, and communication will take centre stage in safeguarding a landlord’s position.
Goodbye to fixed-term tenancies
Under the proposed changes, assured shorthold tenancies will become periodic by default, doing away with the traditional six or twelve month fixed term. Tenants will be able to leave with just two months’ notice from the outset.
While this offers renters greater flexibility, it introduces uncertainty for landlords. Financial forecasting becomes more complex, and greater tenant turnover may bring increased void periods, re-letting costs, and agency fees.
Landlords will need to adjust their business models to reflect shorter average tenancy lengths, and be agile in their budgeting.
Controlling rent increases
The Bill also sets its sights on rent regulation. Rent increases will be limited to once every 12 months, must reflect market value, and require at least two months’ written notice. Crucially, tenants will have the right to challenge increases via the First-tier Tribunal.
Although this aims to ensure fairness and prevent backdoor evictions, it will curtail a landlord’s flexibility. Strategic rent planning, factoring in inflation, maintenance costs, and tax implications, will become a crucial part of property management.
What’s next?
The Bill is expected to pass in mid2025, with new rules applying to all new tenancies shortly thereafter. Existing tenancies will likely transition by late 2026, giving landlords time to review and realign their agreements.
But don’t wait. Those who act now, by reviewing tenancy agreements, updating internal policies, and seeking specialist legal advice, will be in a stronger position to adapt and thrive under the new regime.
The bottom line
The Renters’ Rights Bill is more than just legal reform-it marks a cultural shift in how landlords operate. For some, it will require a complete rethink of their approach to tenant relationships and portfolio management.
At Swinburne Maddison LLP, we’re already working with landlords to help them navigate these changes. Whether you own a single buy-to-let or manage a large property portfolio, our team is here to support you with pragmatic, commercially-minded advice.
To discuss how the Renters’ Rights Bill may affect your business, contact Lewis Brown at lewis.brown@swinburnemaddison.co.uk, or call 0191 384 2441.