Renters Rights Act goes live – landlords warned over compliance risks

Legal experts highlight overlooked obligations that could trigger fines, as brokers and landlords adjust to the new legislation

Renters Rights Act goes live – landlords warned over compliance risks

The Renters Rights Act has now come into force, bringing sweeping changes to the private rental sector, but attention is already turning to the practical steps landlords must take to avoid costly mistakes.

While much of the focus has centred on headline reforms such as the abolition of Section 21 and the shift to rolling tenancies, legal experts warn that more routine compliance requirements could pose an immediate risk.

Scott Goldstein, property disputes partner at Payne Hicks Beach, said landlords should not assume the main work is complete.

“Today, as the Renters' rights act enters law, many landlords will think the heavy lifting is done, but the seemingly mundane task of serving the Information Sheet to existing tenants by 31 May 2026 is just as critical,” he said.

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The requirement applies to all existing tenancies and must outline key changes, including the end of fixed terms, updated possession grounds and new tenant rights.

“Providing written terms of the tenancy, if there had previously been a verbal agreement, is also now mandatory,” Goldstein added.

Failure to comply could carry significant financial consequences.

“Miss it and what looks like a straightforward piece of paperwork can quickly become a £7,000 per property fine. This could be a major trap for the average private landlord with two to four properties who could face costs of up to £28,000 - a very expensive oversight.”

The warning comes as the sector adjusts to the new regime.Early market reaction has suggested the changes are unlikely to trigger immediate disruption, but may accelerate longer-term trends already underway.

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Danny Belton, head of TMG Club at The Money Group, previously said the reforms are not expected to trigger a significant reaction from landlords.

“What I'm sensing is that whilst there are changes from the 1st of May, I don't think these are serious enough for a number of landlords to panic,” he said.

However, he added that the changes still create a clear reason for brokers to re-engage with landlord clients.

“But any change that is of some degree of magnitude, which this is, warrants the broker to get in touch with landlord just to have the conversation, just to check in and that can simply lead to new business.”

The immediate opportunity may lie in helping clients navigate the practical implications of the new rules, particularly where compliance requirements are easily overlooked.