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How will Landlords manage Rent Increases after the Renters' Rights Bill?

The Renters’ Rights Bill introduces new regulations to ensure that rent increases are fair, transparent, and not used as a tool for indirect eviction. While landlords retain the ability to adjust rents, the Bill includes safeguards to protect tenants from unjustified rental hikes.

So how can landlords increase the rent on their property? 

Rent Increases to Market Rate

Landlords can still raise rents to align with local market conditions. However, tenants now have the right to challenge increases they believe are excessive. These disputes are handled by a First-tier Tribunal, which will assess whether the proposed rent is reasonable.

Use Section 13 Notices to increase rent

All rent increases must be issued through a formal Section 13 notice. This ensures the process is legally valid and gives tenants proper notice and documentation.

One Increase Per Year

Under the Renters' Rights Bill landlords can only put the rent up once every 12 months. This provides predictability for tenants and helps landlords plan rent reviews more strategically.

Minimum Two Months’ Notice

Landlords must give tenants at least two months’ notice before any rent increase takes effect. This aligns with the new system of periodic tenancies, which replaces fixed-term contracts and allows tenants to leave with two months’ notice at any time.

Section 8 for Regaining Possession

With the abolition of Section 21 ‘no-fault’ evictions, landlords must now use Section 8 to regain possession. Valid grounds include selling the property, moving in yourself, or serious breaches of tenancy. The grounds for possession have been strengthened to support legitimate landlord needs.

Avoiding Unlawful Rent Increases

The Bill includes protections against using rent increases as a form of indirect eviction. Ensure that any rent adjustment is justifiable and not retaliatory, especially following disputes or complaints.

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