The Renters’ Rights Act Just Changed the Game: Here’s What It Means for You

Good morning,

While you were mapping out your Week 1 budget, the UK rental market just experienced its biggest shake-up in 30 years.

The Renters’ Rights Bill didn’t just pass, it became law.

And in 58 days, your entire playbook as a landlord changes.

But here’s what most people will miss, this isn’t a story about landlords losing power. It’s about professionals finally gaining ground.

If you play this right, you’re not surviving the change, you’re thriving because of it.

Let’s dive in.

In this newsletter, you'll find...

• This Week’s Biggest News…….

• The Renters’ Rights Act Just Changed the Game: Here’s What It Means for You

• Property Listings

• The Contrarian Play

• What's Next?

• Feedback

This Week’s Biggest News…….

1. The Renters' Rights Bill received Royal Assent and became the Renters' Rights Act 2025. This is officially the biggest shake-up of England's rental sector in 30+ years.

2. British lenders approved 65,944 mortgages in September - the highest since December 2024. This contradicts all other data showing market caution ahead of the Budget.

The Renters’ Rights Act Just Changed the Game: Here’s What It Means for You

While you were getting into the rhythm of Week 1 of the 36-Day Budget Playbook, something massive happened.

I’m talking about the biggest shake-up to the UK rental market in over three decades.

On October 27 2025, the Renters’ Rights Bill officially received Royal Assent. It’s not a rumour, not a line in a Budget speech — it’s now law.

And unlike the Budget coming up in November, where everyone’s still guessing what the Chancellor might pull out of the hat, this one’s locked in.

The government has already published the full rollout timeline, and the first wave of changes lands in just 58 days. December 27 2025.

So, let’s unpack what’s really happening here and more importantly, what it means for you as an investor.

What Just Became Law

The Renters’ Rights Act 2025 is no small update; it’s the largest overhaul of the private rental sector since 1988. It’s rewriting the rulebook for landlords.

Here’s the short version of what’s about to change:

Coming December 27 2025:

• Councils get enhanced investigatory powers.

• Landlords face mandatory reporting and new compliance checks.

• Enforcement teeth get much sharper.

Then, around Q2 2026 (Spring/Summer), we hit the real headline reforms:

• Section 21 “no-fault” evictions, gone for good.

• All tenancies become periodic. Meaning no more fixed terms for your protection.

• Tenants can leave with two months’ notice.

• Rent increases must go through formal Section 13 notices, goodbye to casual text-message rent rises.

• Rent Repayment Orders double from 12 to 24 months for violations.

• And yes, quarterly or termly rent payments are banned — monthly only from now on.

Let that sink in.

If you sign a 12-month tenancy today, by mid-2026 it automatically converts into a rolling periodic one. Your tenant can choose to leave with 2 months’ notice. But you can’t just ask them to leave unless you meet strict Section 8 grounds.

The balance of power in the landlord-tenant relationship has just shifted.

The Landlord Exodus Is Getting Real

This isn’t just theory or politics. The data already shows what’s happening.

In the past two years, around 150,000 landlords have left the market. Another 93,000 are expected to exit in 2025 alone. That’s a 6 percent annual decline in the total landlord population.

Fresh data from RICS last week showed landlord instructions falling 38 percent, the lowest since May 2020. Tenant demand, meanwhile, is down only 1 percent.

You can already see where this is heading. The gap between supply and demand is widening, and it’s not closing anytime soon.

Rightmove’s October data confirms it. Rental stock is up 9 percent compared to 2024, but tenant demand has dipped 14 percent. Normally, that would mean lower rents. But not this time.

Record Rents Tell a Different Story

The national average rent has just hit £1,385 per month, the highest ever recorded. That’s a 3.1 percent increase year-on-year. London rents have jumped to £2,736 per month, also a record.

The Guardian recently reported that private rent now eats up 44 percent of the average UK salary.

So how are rents rising when landlords are leaving?

Because the ones leaving aren’t being replaced. The drop in landlord instructions means fewer new properties entering the rental pool.

The small bump in available stock simply reflects properties sitting on the market longer, not more landlords joining in.

RICS is already forecasting another 3% rent increase in 2026 because supply just isn’t keeping up.

Record Rents Tell a Different Story

Here’s the part that most people will miss. This new law is not the end of property investment. For professional investors, it’s an opportunity.

The 93,000 landlords leaving in 2025? Most of them are small operators with one or two properties. Many are accidental landlords who inherited homes or got stuck renting during market downturns.

They’re not running property as a business.

Industry analysts are already saying the market is being left with a “more professional cohort.” In plain English, that means serious landlords are taking over as the amateurs bow out.

The numbers back it up.

Limited company buy-to-let registrations are up 23 percent year-on-year, reaching a record 680,000.

Larger portfolios of 10 or more properties are growing in market share.

Northern landlords, especially in Wales and the North East, are expanding while southern investors pull back.

The Renters’ Rights Act is accelerating that split. It raises the bar. It rewards landlords who treat property as a business, not a side hustle.

If you’re running your portfolio professionally, this shift plays to your strengths.

Property Listing

The Contrarian Play

While most headlines shout about a landlord crisis, the smart investor sees what’s really happening.

Right now, property supply is at a decade high, sales agreed are down 3 percent, and buyer demand is down 8 percent. Landlord instructions are down 38 percent, yet rental yields have climbed to a 13-year high at 7.5 percent.

In Wales, yields are averaging 8.84 percent. In the North East, 9 percent.

The average investor sees regulation and runs for the exit. The professional sees regulation and starts planning the next move.

This is your moment to separate from the crowd. The next year will belong to the landlords who adapt, professionalize, and build systems that thrive under the new rules.

Because while everyone else is panicking, you’ll be positioning yourself for higher yields, stronger portfolios, and long-term stability.

What’s Next?

Your 60-Day Action Plan

You now have two countdowns running in parallel.

• 28 days until the November 26 Budget

• 58 days until the first Renters’ Rights provisions go live

Here’s what you should do before the year ends.

Before December 27:

1. Review your tenancy agreements. Any fixed term you sign now will become periodic in Q2 2026. Start preparing for shorter tenant notice periods.

2. Audit your property standards. Councils will soon have stronger investigatory powers, so make sure you’re compliant with Awaab’s Law on mold, damp, and safety hazards.

3. Document everything. Informal rent agreements are over. Get used to issuing Section 13 notices and maintaining paper trails.

4. Focus on tenant quality. Since fixed terms won’t protect you, choose tenants carefully and build relationships that encourage them to stay longer.

5. Move all rents to monthly payments if you haven’t already. Quarterly or termly setups will soon be prohibited.

Before Budget Day:

Keep executing Week 2 of the 36-Day Playbook. That means re-evaluating your regional exposure, identifying motivated sellers, and preparing cash reserves for post-Budget opportunities.

In Q1 2026:

Position yourself for the next supply crunch. With nearly 100,000 landlords leaving, instructions down 38 percent, and rents still rising, the equation is simple. Less supply plus steady demand equals higher rents and fewer competitors.