The Renters’ Rights Act – hurry up and wait
Insight
The Renters’ Rights Act (the Act) received Royal Assent on 27 October 2025. In November last year, the Implementation Roadmap was published, setting out how it will be brought into force.
The Roadmap confirmed that the Act will be brought into force in three phases, and that the date on which phase one will commence is 1 May 2026. On this date, all new and existing tenancies within scope will take effect as new-style tenancies. Fixed terms of less than 21 years will no longer be possible, and all tenancies within scope will become periodic tenancies with a rent period not exceeding one month. The provisions banning contractual rent reviews, rental bidding and the ability to ask for more than one month’s rent in advance, as well as concerning discrimination (and pets) will all also come into effect. Last but (very much) not least, the way in which tenancies can be terminated will change: the last date for serving a section 21 notice is 30 April 2026. In this article we look at what rural estates should be thinking about now.
How rural estates are not the same
Estates tend to comprise a complicated mixture of tenures, often including informal occupations of uncertain legal status. Before 1 May, estates should as a first step work out which occupations will be affected by the Act:
Rent Act and Rent (Agriculture) Act (RA and RAA) tenancies: this is complicated and these occupations will need to be looked at on a case-by-case basis. As a rough rule, where you have an original tenant or their spouse in the property, the chances are that it will remain a RA or RAA tenancy and will not be affected by the Act. Where there has been succession and a family member (other than the spouse) is now in occupation under an assured tenancy (or assured agricultural occupancy), the Act will apply, subject to some quirks.
Service occupancy agreements (SOAs): estates that house staff or workers need to be careful. Although true SOAs are outside the Act (and will terminate automatically at the end of the employment), if the strict legal test for creating an SOA is failed, the occupation may end up being caught. As a reminder, the test is: a) there must be an express term in the employment contract that an employee must live in the property for the better performance of their duties; and b) it must genuinely be the case that this is required, ie not a sham. Whilst gamekeepers, gardeners or housekeepers may have possible SOAs, estate staff previously employed in forestry or agriculture are more likely to have RAA or assured agricultural occupancy protection.
Occupations outside the statutory code: sometimes called common law tenancies, these often arise where the rent is less than £250 a year (or £1,000 a year in London), or the tenant is a company. Such arrangements are outside the Act.
Longer fixed-term tenancies: many estates will offer longer terms to good tenants, and tenancies granted for a term of more than seven years but fewer than 21 years before Boxing Day 2025 will continue, unaffected by the Act (until the fixed term expires).
The point to watch here is the effect this has on repairing provisions. Often, longer-term tenancies will put repairing obligations on the tenant. However, when the existing fixed-term expires and the properties are re-let as new-style monthly periodic tenancies, because it will be a tenancy for less than seven years, the onus for repairs will flip to the landlord (by virtue of section 11 of the Landlord and Tenant Act 1985).
Dwellings let as part of agricultural holdings: although dwellings directly let as part of agricultural holdings are not affected by the Act, where cottages forming part of that holding are sub-let by the agricultural tenant, they will be caught (where those sub-lettings are within scope) and it is the agricultural tenant who will need to comply with the Act in respect of those lettings.
How to end tenancies after 1 May 2026
Section 21 will not be available after 1 May 2026, so if you have identified any occupations above that will be caught by the Act, and where you will need possession shortly, consider serving a section 21 notice now. Any section 21 notices served before 1 May will continue, save that 31 July 2026 will become the new long-stop date for commencing possession proceedings (where an earlier deadline is not already applicable). If, therefore, you serve a section 21 notice on the last day, wait two months for the notice to expire and the tenant then refuses to leave, you will only have one month within which to send the claim form for possession proceedings to court, and for the court to seal it. And with a glut of similar applications, the courts, which are already suffering delays, may become even slower, risking landlords missing deadlines through no fault of their own.
Although there are several new (and updated) grounds for possession which are relevant for rural estates, the fundamental problem remains that a tenant will be able to challenge the notice at court and the landlord will need to prove the reasons for eviction meet the legal requirements. Even where the landlord succeeds, this will delay and complicate matters considerably.
Demonstrating compliance
When phase two of the Act comes into force, landlords of affected tenancies will need to register both themselves (even if they use an agent) and their properties on the private rented sector database. Phase two is expected to be in force by late 2026.
We are currently waiting for regulations setting out precisely what needs to be registered, but it is likely to include landlords’ contact details, property details (such as number of bedrooms), and obvious compliance points such as electrical and gas safety, as well as Energy Performance Certificates (EPCs). Later still, when the ombudsman service is up-and-running, landlords will need to become a member of that too (estimated 2028). It will be a prerequisite of serving a valid notice to quit that the landlord and property must be correctly registered on the database and with the ombudsman – although presumably the commencement regulations for phase one of the Act will include transitional provisions, setting out the requirements for notices to quit served under the new system, but before the database and ombudsman are functioning.
In terms of both the database and ombudsman, watch out! These obligations will apply to landlords of regulated as well as assured tenancies, and their scope is therefore wider than tenancy reform.
Next steps
The government will publish an ‘information sheet’ in March 2026, which landlords will need to serve on tenants under existing tenancies that will convert under the Act, by 31 May 2026, explaining the new rules.
For new tenancies granted on or after 1 May 2026, the tenant must be given a written statement of terms (tenancy agreement) to cover various minimum standard terms – the draft regulations for this have just been published. Further, landlords cannot accept rent under new tenancies after 1 May until there is a signed tenancy agreement. Landlords should also ensure that new tenancy agreements do not contain any ‘banned’ terms, such as contractual rent reviews.
On which point, in advance of contractual rent reviews being banned and tenants being able to challenge proposed rent increases at tribunal, landlords may wish to start collating evidence of relevant comparables, so that it is readily to hand. Where it is a concern, estates may read the guidance regarding when it is reasonable to refuse a tenant’s request to keep a pet (if, for example, another tenant is allergic, but not if the landlord is concerned it will affect future rentals) and consider formulating a ‘pet policy’ in line with guidance. This may mean it is easier to ensure that tenants’ requests to keep pets are responded to in a timely and consistent fashion (the landlord has 28 days within which to respond).
Looking further ahead, make sure your record-keeping and paperwork is up-to-date now, so that it is ready to be registered on the database, when required.
This Act comes with teeth and landlords who fail to comply could face fines, and in the case of persistent breaches, even criminal sanctions. Although there will be a lead-in period for compliance, leaving it to the eleventh hour is rarely a good idea. Preparation should start now!
This article is part of our Rural Estates Newsletter 2026, click here to read the full edition.
This publication is a general summary of the law. It should not replace legal advice tailored to your specific circumstances.
© Farrer & Co LLP, February 2026