Renters’ Rights Act 2025

London Property Market Update – September 2025

What The End Of Section 21 Means For Landlords And Tenants In East And South East London The Renters’ Rights Act 2025 is now law and will completely change how renting works in England. It confirms the abolition of Section 21 “no fault” evictions and replaces fixed term assured shorthold tenancies with a new system of periodic tenancies that can only be ended on specific legal grounds. GOV.UK+2macfarlanes.com+2 For landlords and tenants in East and South East London, this is the biggest shift in a generation. Areas such as Whitechapel, Stratford, Lewisham, Greenwich, Southwark, Barking and Dagenham and Newham already have intense rental demand, and the new rules will shape how those local markets work from 2026 onwards. This guide explains the key changes in the Renters’ Rights Act 2025, the timeline, and the practical steps landlords and tenants should take now. 1. What is the Renters’ Rights Act 2025? The Renters’ Rights Act 2025 is the legislation that grew out of the earlier Renters Reform Bill. It received Royal Assent on 27 October 2025 and is now on the statute book as a full Act of Parliament. GOV.UK+2Bills Parliament+2 The headline aims are to: End Section 21 “no fault” evictions. Move to periodic tenancies that roll until either side ends them on proper grounds. Strengthen tenant protections around rent increases, discrimination and poor standards. Introduce new enforcement tools, a landlord database and an ombudsman to deal with disputes. GOV.UK+2GOV.UK+2 For the official overview, see the government’s own [guide to the Renters’ Rights Act]GOV.UK and the full Act text on [legislation.gov.uk]Legislation.gov.uk. 2. When do the new rules start? The government has published an implementation roadmap which confirms that the new tenancy regime begins on 1 May 2026, in Phase 1 of the reforms. GOV.UK+2Gowling WLG+2 Key timing points: 1 May 2026 – all existing and new private tenancies in England switch to the new periodic system. Section 21 can no longer be used for new notices on that date. Goodlord Blog+4GOV.UK+4Propertymark+4 Up to 30 April 2026 – landlords can still serve valid Section 21 notices under the old rules. NRLA+1 Up to 31 July 2026 – the courts will continue to process Section 21 cases where the notice was served before 1 May 2026 and the claim is issued in time. After that, Section 21 will effectively be dead. NRLA+2Passle+2 Late 2026 and beyond – later phases will bring in the landlord database, new ombudsman and the private rented sector Decent Homes Standard. The Negotiator+2BCLP+2 Landlords in East and South East London therefore have a short window to prepare their portfolios and processes before May 2026. 3. Key changes at a glance Here are the main changes that matter for London landlords and tenants. Abolition of Section 21 “no fault” evictions Section 21 notices will be abolished from 1 May 2026. Landlords will only be able to recover possession using specific grounds under Section 8, such as serious rent arrears, anti social behaviour, wanting to sell, or needing to move in themselves. BCLP+4GOV.UK+4Local Government Lawyer+4 All tenancies move to periodic Fixed term assured shorthold tenancies will go. All private tenancies will become open ended periodic tenancies, with tenants able to give notice and leave, and landlords able to seek possession only on legal grounds. GOV.UK+2Propertymark+2 Limits on rent increases and bidding wars Rent increases will be limited to once per year, using a formal process that tenants can challenge at tribunal if the increase is clearly above market. “Bidding wars”, where tenants are pressured to offer above the advertised rent, will be banned. The property must be offered at the listed price. The Sun+3GOV.UK+3Goodlord Blog+3 Protection from discrimination Landlords and agents will not be allowed to refuse tenants purely because they receive benefits or have children. This is particularly relevant in London where many renters rely partly on benefits to meet high rents. GOV.UK+2Goodlord Blog+2 Rules on rent in advance and deposits The Act will cap how much rent can be taken in advance at the start of a tenancy, normally one month, which will help with affordability for many London renters. Deposit rules under existing legislation continue to apply. Goodlord Blog+2Maskells+2 Right to request pets Tenants will gain a clearer right to request a pet, and landlords will not be able to refuse unreasonably, although they can require sensible conditions or pet related insurance. GOV.UK+2mhclgmedia.blog.gov.uk+2 Landlord database, ombudsman and Decent Homes Standard Later phases will introduce: A national database of private landlords and properties. A private landlord ombudsman to deal with complaints without immediate court action. Application of the Decent Homes Standard to the private sector, with Awaab’s Law style time limits on serious hazards. BCLP+4GOV.UK+4NRLA+4 4. What this means for landlords in East and South East London Landlords in boroughs such as Tower Hamlets, Newham, Southwark, Lewisham, Greenwich and Barking and Dagenham are operating in some of the busiest rental markets in the country. Many of these areas have high proportions of private renters and strong demand from students, key workers and professionals. Talbots Law+2Local Government Lawyer+2 Under the Renters’ Rights Act 2025: Possession becomes more evidence based. You will need clear documented grounds, such as serious arrears or plans to sell, before you can regain possession. Poor paperwork and weak processes will be punished. Pinsent Masons+2NRLA+2 Turnover becomes slower and more deliberate. Tenants gain more security, so strategies based on constant churning and re-letting at higher rents will be harder to sustain. Compliance risk rises. Councils will gain new powers and funding to enforce standards, although recent analysis shows enforcement capacity varies widely across England. The Guardian+2Local Government Lawyer+2 Good management becomes essential. Proper referencing, clear tenancy agreements, accurate records and professional handling of arrears and repairs will be key to keeping control. For landlords with portfolios in East and South East London, the Act is not a reason to exit the market, but it is a clear signal to professionalise. 5. What this means for tenants in East and South East London Tenants in areas