What’s changing?

The most important changes are:

• Virtually all fixed term private residential tenancies will be automatically converted into periodic tenancies – so they will not come to an end on the date that was originally agreed between the landlord and tenant, but instead will continue to run on a month to month, or week to week basis.
• Section 21 “no fault” termination notices will no longer be permitted. The landlord will only be able to terminate a tenancy under the revised grounds now set out under section 8 of the Housing Act 1988 (which may also have to be proved to the satisfaction of a County Court if a possession claim is required to recover possession).
• Any clauses in the tenancy that provide for the rent to be revised (such as open market reviews, or fixed increases or indexed increases) will be of no effect. The landlord will only be able to ask for a rent increase every 12 months (running from the last increase) by serving a section 13 notice – if the tenant agrees to the increase, it will take effect. If the tenant objects, it can apply to the First Tier Tribunal to determine what is the open market rent.

How the changes will affect portfolio management

If you’re a portfolio owner, you’ll need to rethink how you approach possession risk. In most cases, you won’t be able to terminate a tenancy and recover possession unless your tenant is in rent arrears or has committed a serious breach of the tenancy terms.

You also need to be prepared for a much slower possession process. If your tenant doesn’t leave voluntarily, recovery is likely to take significantly longer, with court hearing dates expected to be delayed as possession claims increase. As a result, you’ll need to place even greater emphasis on vetting prospective tenants to reduce the risk of problematic lettings.

Restrictions on rent reviews mean you’ll need to redesign your processes. You’ll no longer be able to implement an increase simply by relying on an existing review clause and issuing a letter. Instead, you’ll need to serve the correct statutory notice and be able to evidence that the proposed rent reflects the market rate.

You should also expect delays. The First‑tier Tribunal is likely to see a surge in tenant applications to determine rent, creating backlogs that could further slow the implementation of increases. The timing of your last increase will dictate when you can review rent again, making careful forward planning and date management essential.

• How you can prepare Amend your records to reflect that existing tenancies have no “end dates” and no contractual rent reviews.
• Be prepared to improve the collection and recording of any problems/issues with tenants’ behaviours – if it becomes necessary to go to Court to recover possession, the quality of your evidence of breaches will be vital.
• Plan how and when you’ll approach the rent review process for your portfolio. The new limitations will clearly have a significant effect on the prospects of increasing income from a portfolio.

A whole new regime

The Renters’ Rights Act 2025 requires you to adopt a new mindset as a landlord. You’ll no longer be able to rely on the comfort blanket of section 21 notices, without having to give a reason or justify your grounds for possession.

Instead, high‑quality portfolio management will depend on how well you manage risk day to day. That means robust record‑keeping, stronger communication between you and your managing agents, and realistic, evidence‑based rental assessments that stand up to scrutiny.

How we can support you

If you’re a real estate investor or landlord, we can help you understand the impact of the new regime on your portfolio.