The Renters’ Rights Bill is edging closer to becoming law. While some agents and landlords continue to bury their heads in the sand, those paying attention know that the biggest changes to the private rental sector in decades are just around the corner.
At Rocket Property Management, we’re helping our clients get ahead. Here's what we know, what it means for you, and how to prepare.
The Key Changes Landlords Must Understand
While the headlines have focused on the abolition of Section 21, there are two equally significant changes that landlords should be acting on now:
1. No More Fixed Term Tenancies
Once the Bill becomes law (expected late 2025 or early 2026), all residential tenancies will automatically become periodic assured tenancies. That means:
• Fixed-term contracts will no longer be allowed.
• Any existing fixed-term agreements will convert to rolling month-to-month tenancies overnight.
This will fundamentally shift how landlords operate. Tenants will have far more flexibility to leave - and landlords will need greater confidence in who they’re putting in their properties.
2. Rent in Advance Will Be Banned
You’ll no longer be able to collect more than one month’s rent upfront, regardless of circumstance. Even overseas tenants without a UK guarantor will fall under this rule.
This change could catch many landlords and agents off-guard - particularly those relying on multi-month rent in advance as a workaround for referencing or risk concerns.
Why Some Agents Aren’t Ready (And Why That Matters)
You might be wondering - if this is so significant, why aren’t all agents preparing?
The answer is simple: many agents rely on upfront fees, earned from long fixed-term tenancies and large rent-in-advance agreements. Changing to a month-by-month model requires a shift in how they get paid - and some just aren’t willing (or able) to adapt.
At Rocket, our business model is already aligned with these upcoming changes. We collect fees monthly, work with fully referenced tenants, and prioritise long-term viability over short-term wins.
Other Key Reforms in the Renters’ Rights Bill
Alongside the two headline reforms, here are a few more changes landlords need to know about:
No Bidding Above Asking Price
Letting adverts will no longer be allowed to invite or accept offers above the advertised rent. Breaching this rule could result in a £7,000 fine.
Expect asking prices to increase - and make sure your agent understands the implications.
Notice Periods and Selling
Landlords will still be able to ask tenants to vacate if they want to sell or move in - but there are restrictions:
• You can’t re-let the property for 12 months if you serve notice to sell.
• That could mean long void periods - something mortgage lenders haven’t fully factored in yet.
Rocket’s Advice for Landlords: Prepare Now
With these changes likely to be implemented within the next 6–12 months, landlords should:
• Avoid long fixed-term tenancies - they’ll be overridden soon.
• Review rent-in-advance policies - focus on well-referenced tenants instead.
• Make sure tenants are on market rent - now is the time to lock in fair rates.
• Choose an agent who’s ready - we’re already operating in line with the Bill.
We’ve already seen big agents start to offload parts of their business, anticipating the operational challenges ahead. At Rocket, we’re not just ready - we’re ahead of the curve.
FAQs: Renters’ Rights Bill
What is the latest update on the Renters’ Rights Bill?
The Bill is currently with the House of Lords but expected to pass into law late 2025 or early 2026. Key reforms include the abolition of fixed-term tenancies and banning rent in advance.
Is the Renters’ Rights Bill law yet?
Not yet. It’s in the final stages of scrutiny, with most proposed amendments likely to be rejected. The government is expected to enact it by early 2026.
How soon will Section 21 be abolished?
Section 21 will be abolished as soon as the Bill becomes law - likely within the next 6–12 months.
What is the new tenancy law in the UK?
All tenancies will become rolling periodic assured tenancies. Landlords won’t be able to issue fixed terms or collect more than one month’s rent upfront. Letting adverts must also comply with new rules banning rental bidding.
Final Word: Are You Ready?
If your current agent hasn’t mentioned any of this - ask why.
Rocket Property Management is already helping landlords prepare for the changes. We reference thoroughly, review rents strategically, and operate with full transparency.
Want to know how this will affect your property? Get in touch - we’ll walk you through it.
