At The Property Hive, we’re here to help you stay compliant while protecting your investment.
Here’s a clear breakdown of what the new rules mean for you following the implementation on the 01st of May 2026.
1. Rent Increases Limited to Once Per Year
Under the proposed reforms, landlords will only be permitted to increase rent once every 12 months for periodic tenancies. This creates greater stability for tenants and ensures a more predictable rental structure.
If you’re planning an increase, timing will be crucial — you’ll need to wait a full year from the last increase (or from the start of the tenancy if no increase has been applied).
2. Section 13 Process Becomes Standard
Rent increases must be carried out using the formal Section 13 notice procedure.
This means:
* Providing tenants with at least two months’ notice
* Serving the correct prescribed form
* Ensuring the proposed rent reflects the current market value
Informal rent review clauses or automatic increases in tenancy agreements will no longer apply.
3. Market Rent Only
Landlords must ensure that any increase reflects the open market rate. Tenants will have the right to challenge a proposed increase if they believe it exceeds market value.
Disputes can be referred to the First-tier Tribunal (Property Chamber), which will determine the appropriate market rent. Importantly, the tribunal cannot set a rent higher than what the landlord proposed, and the rent cannot be changed while the tribunal is deliberating or backdated.
4. Abolition of Fixed-Term Tenancies
With the removal of fixed-term assured shorthold tenancies, all tenancies will move to a periodic structure. As a result:
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Rent increases can no longer be built into a fixed-term renewal.
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All increases must follow the formal statutory process.
This represents a shift in how landlords plan annual rent reviews.
5. What This Means for Landlords
While the new rules provide greater tenant security, they also require landlords to be more strategic and organised:
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Review rents annually and in line with market conditions
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Keep clear records of previous increases
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Ensure all notices are served correctly
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Seek professional guidance to avoid compliance risks
Incorrectly issued notices could delay increases and impact rental income.
How The Property Hive Can Help
Navigating legislative change can feel complex — but you won't have to do it alone.
At The Property Hive, our experienced team ensures your rental income remains competitive while keeping you fully compliant with the latest regulations.
If you’d like to know more or have any questions, give The Property Hive a buzz today.
Further guidance can be found on the government's website.
