Early impacts from the Renters’ Rights Act

Almost six months on from the first Renters’ Rights Act reforms, Director of Marketing, ATE and Broker Sales, Andy Talbot examines the impact on landlords so far

A year of major legal reforms that landlords cannot afford to ignore

This article first appeared on Insurance Business

It’s almost six months since the first measures of the Renters’ Rights Act were implemented, in May. While most of its provisions have already been introduced, there are still some reforms to come.

Key among them is the mandatory Private Rented Sector (PRS) Database which is due to open for business on December 15, with the deadline in 2027 by which landlords must register rented properties varying from region to region.

It’s still too early to say whether the broader legislation has had the intended impact or if there have been any significant unanticipated consequences, but ARAG has a finger on the pulse of the private rented sector through the many thousands of landlords we insure.

Immediate impact

Unsurprisingly, the first half of the year saw a significant uptick in calls to our legal advice helpline, from landlords seeking guidance on what they needed to do to stay compliant, and when they needed to do it.

Our landlord and tenant claims teams were also very busy issuing proceedings on Section 21 notices served before May 1, when the path for no-fault eviction was abolished. The July 31 deadline by which court proceedings on existing notices had to be issued has now passed, but the subsequent legal work on hearings continues, and can be lengthy and complex.

Repossessions continue

Across the market, government data show a modest (6%) increase in landlord possession claims in the second quarter, compared to the same period in 2025. But the total was still lower than its peak in last year’s third quarter.

The median time from claim to getting a court order has improved marginally over the same timeframe, but the latest data obviously don’t reflect that modest surge in claims. A clearer picture will emerge with the next release from the Ministry of Justice, due in November.

The timeliness of proceedings also varies regionally. Our own experience that landlords seeking possession face longer delays in London is perhaps unsurprising, given that official data show that London boroughs accounted for 8 of the 10 local authorities with the highest rate of private landlord claims.

Section 8 steps up

While Section 21 may have been abolished, the different grounds that can be used for repossession under Section 8 were increased under the Renters’ Right Act.

So far, our experience shows that landlords are using grounds 1 and 1a - to sell the property or for the landlord or a family member to move in - as well as rent arrears, as grounds for repossession, under Section 8. Landlords must now wait four weeks after serving a Section 8 notice for rent arrears, before they can issue proceedings, and the rent must now be 3 months behind, rather than two.

Long-term impacts

Whether the Renters’ Rights Act will significantly change standards and practices in the private rented sector remains to be seen. So many factors influence the rental market, from interest rates to housing supply, that it may be difficult to assess marginal developments, but there certainly hasn’t been the severe shock to the system that some predicted.

Landlords have been understandably cautious about the implementation of the Act. There has certainly been much for them to learn and some important new regulations to navigate. However, with access to the right support and advice, good landlords have clearly taken the new legislation in their stride.

Disclaimer: all information in this article was correct at time of publishing.

News and Press

Stay up to date with our latest news, insights, and press releases.