Renters' Rights Bill Receives Royal Assent

The Renters' Rights Bill has now received Royal Assent, becoming law as the Renters' Rights Act 2025 — marking the most significant reform to England's private rented sector in almost forty years. The Government describes the new law as a "historic rebalancing" of the relationship between landlords and tenants and a cornerstone of its Plan for Change.

While the legislation represents a major victory for campaign groups and tenant organisations, it also ushers in a period of transition and uncertainty for landlords. Ministers have said that implementation details will follow "in the coming weeks", leaving the sector waiting to see precisely when each provision will take effect.

The final version of the Renters' Rights Act has not yet been published.

End of Section 21 "No-Fault" Evictions

At the heart of the Act is the abolition of Section 21 of the Housing Act 1988 — the mechanism that currently allows landlords to recover possession of their properties without giving a reason once a fixed term has ended.

The Government argues that removing Section 21 will give tenants the confidence to challenge poor conditions or unreasonable rent increases without fear of retaliatory eviction. Under the new system, all assured tenancies will become periodic by default, meaning there will be no fixed terms. Tenants will have the right to end the tenancy with two months' notice, while landlords will rely on previous, new and updated grounds for possession via the Section 8 notice.

The Government insists these new grounds will protect legitimate landlord interests, such as selling a property or moving back in, while ensuring that renters enjoy far greater security.

Reaction from Government

Prime Minister Keir Starmer called the Act "the biggest leap forward in renters' rights in a generation" and said that "every family deserves the dignity of a safe and secure home."

Housing Secretary Steve Reed described the reforms as "tearing down the walls of injustice in the private rented sector" and delivering on a long-standing manifesto commitment. Housing Minister Matthew Pennycook added that the Act "levels decisively the playing field between landlord and tenant".

Reaction from Tenant Groups

Tenant organisations have celebrated the passage of the Bill as a "generational upgrade" in renters' rights.

Tom Darling, Director of the Renters' Reform Coalition - which includes Shelter, Generation Rent, Citizens Advice and ACORN - welcomed the abolition of Section 21, saying the practice had long forced tenants to tolerate poor conditions out of fear.

Ben Twomey, Chief Executive of Generation Rent, called it "a landmark day for renters across England" and urged the Government to announce an implementation date swiftly, so that renters' new rights could take effect "as soon as possible."

Pets, Discrimination and Decent Homes

The legislation goes beyond eviction reform. Tenants will gain a right to request a pet, which landlords cannot refuse without a good reason. It will also become illegal for landlords or agents to discriminate against tenants with children or those receiving benefits.

The Decent Homes Standard and Awaab's Law will both be extended to the private rented sector. These measures are intended to raise property standards and impose clear timeframes for addressing serious hazards such as damp and mould.

Rents, Deposits and "Bidding Wars"

To address affordability and perceived unfair practices, the Act will:

• Prohibit landlords and agents from inviting or accepting offers above the advertised rent, ending "rental bidding wars."
• Limit rent in advance by preventing landlords from demanding more than one month's rent upfront.
• Strengthen the ability of tenants to challenge excessive rent increases, particularly where used as a backdoor method of eviction.

Local Authority Enforcement

Local authorities will receive expanded enforcement powers and new duties to report on activity. Civil penalties will be increased, investigatory powers widened, and rent repayment orders strengthened - including the ability to pursue superior landlords and impose double maximum penalties for repeat offenders.

New Ombudsman and Landlord Database

The Act establishes a new Private Rented Sector Ombudsman, designed to provide quick, binding, and impartial resolution of tenant complaints. The Ombudsman will have the power to compel landlords to apologise, provide information, take remedial action, or pay compensation.

In parallel, a new Private Rented Sector Database will be created. This will require landlords to register and demonstrate compliance with their legal obligations, providing better transparency for tenants and helping local authorities target enforcement.

It's expected that the Ombudsman and Database will be introduced later after the other provisions have started.

Next Steps and Implementation

Although Royal Assent means the Renters' Rights Act is now formally law, most of its provisions will only take effect once commencement regulations are made. Ministers have promised further announcements in the coming weeks, setting out how and when the new system will be phased in.

For landlords, the coming months will be crucial. Understanding the new possession grounds, registration requirements and ombudsman process will be key to maintaining compliance and managing risk.

Equally, the reforms could reshape investment decisions in the private rented sector. The Government has said it wants the measures to encourage "continued investment", but industry groups have warned that poorly managed implementation could have the opposite effect if confidence falters.

Conclusion

The Renters' Rights Act represents a major turning point in the regulation of England's private rented sector. Its central aim - abolishing Section 21 and creating a fairer, more transparent system - has been sought for years by tenant campaigners.

However, as with any major reform, the real test will lie in implementation. Landlords will need to navigate a fundamentally different legal framework, while government and local authorities must ensure that enforcement and redress systems are workable and proportionate.

For now, the private rented sector stands at the threshold of the most comprehensive change since the Housing Act 1988 - a new era in which both landlords and tenants will need to adapt quickly to a transformed landscape.

As we always do, we will update subscribers with detailed guidance once the final version of the legislation is published. Tenancy Builder will also be ready for the new assured periodic tenancies that will become the norm once the Renters' Rights Act 2025 commences.