Rent Increases Under the Renters’ Rights Bill: What Landlords and Tenants Need to Know
The Renters’ Rights Bill introduces new rules for rent increases in the UK. Learn what landlords and tenants need to know about limits, notice periods, and fair rent practices
Rent Increases Under the Renters’ Rights Bill: What Landlords and Tenants Need to Know
What’s Changing About Rent Increases?
From early 2026, the Renters’ Rights Bill will introduce stricter controls on how often and how much landlords can increase rent in England’s private rented sector.
Under the new rules:
Rent can only be increased once every 12 months
Increases must be fair and in line with market rates
The rent increase must be proposed using a Section 13 notice
Tenants can challenge the increase via the First-tier Tribunal if they believe it’s excessive
These reforms aim to protect tenants from sudden or exploitative rent hikes, particularly those used to pressure tenants into leaving without a formal eviction.
Current System vs. New Rules
Under current rules:
Fixed-term tenancies allow rent increases only at renewal (unless stated otherwise in the contract)
Periodic tenancies allow rent increases via a Section 13 notice, often with limited restrictions
There’s little to prevent landlords from issuing frequent increases (e.g., every 6 months)
Under the new law:
Rent increases will be limited to once per year only, no matter the tenancy type
No backdoor rent manipulation through frequent re-signing of fixed-term agreements (which are also being abolished)
Landlords must follow the formal Section 13 procedure, giving tenants at least one month’s notice
What This Means for Landlords
This reform means landlords must plan rent increases carefully. Key implications include:
No flexibility to raise rent more than once per year, even if market conditions change quickly
You must provide evidence that the new rent reflects the current open market value (e.g., similar local properties)
Documentation becomes crucial—if challenged, you’ll need to justify your proposed rate at tribunal
Section 13 notices must be used correctly; any errors could delay or invalidate the increase
Additionally, landlords can no longer use rent hikes as a tool for informal eviction—e.g., pricing tenants out to force them to leave.
What This Means for Tenants
Tenants stand to benefit significantly:
Greater rent stability and predictability—they can budget more confidently
Protection from excessive or retaliatory increases—especially after requesting repairs or filing complaints
Right to challenge any rent increase they believe is unfair or above market value
Tenants can apply to the First-tier Tribunal to assess whether a rent increase is reasonable. The tribunal will look at comparable local rents, property condition, and tenancy terms to decide whether the landlord’s proposed increase is valid.
Balancing Rights and Responsibilities
The government’s goal is to create a fairer rental system that doesn’t penalize good tenants with sudden or frequent financial pressure. That said, landlords still retain the right to increase rent—just in a more structured, transparent, and legally enforceable way.
The key is market evidence. As long as a landlord can justify a proposed rent based on local comparisons, the tribunal will usually side with them.
However, rent increases cannot be used as a form of coercion or retaliation, and landlords should avoid raising rent significantly above local averages without good reason.
Practical Tips for Landlords
Review local market rents annually—stay informed so your proposed increases remain competitive and legal
Use Section 13 properly—ensure notices are accurate, with clear dates and amounts
Keep records of communications and inspections—this supports your position in the event of a dispute
Update rent forecasting models—plan around annual increases only
Final Thoughts
This reform seeks to stabilize the rental market by introducing fairness and transparency in how rents are set and raised. While it does limit flexibility for landlords, it also encourages better planning, more respectful landlord-tenant relationships, and a healthier rental ecosystem.
Early preparation is key. By adjusting rent increase policies now, landlords can transition smoothly when the law comes into force in 2026.
About LuArl Nest Estate Agents
At LuArl Nest, we believe in clear, honest service for both tenants and landlords.
Whether you’re looking to rent your next home or find the perfect tenant, our team is here to guide you every step of the way.
📧 Contact us today at info@luarnest.co.uk or visit www.luarnest.co.uk to find out how we can help you!