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What the Renters' Rights Bill Means for UK Property Investors in 2025

Ainsley Vanzyl

by Ainsley Vanzyl

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4 min read

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With the Renters’ Rights Bill set to become law later this year, many landlords and investors are wondering how these reforms will affect the buy-to-let landscape. While change can often feel uncertain, the reality is that these updates are designed to professionalise the sector, improve tenant confidence, and create a more stable long-term rental market.

For investors, this presents new opportunities. A fairer, more transparent system can help attract and retain quality tenants, reduce void periods, and ultimately support sustainable returns. In this blog, we’ll break down what’s changing, what it means for you, and how we're here to guide you through it all.

Key Takeaways for Property Investors

  • Section 21 ‘No-Fault’ Evictions Are Being Abolished: Landlords will need a valid reason to end a tenancy, encouraging longer-term tenancies with stable rental income.
  • All Tenancies Will Become Periodic: More flexibility for tenants, but also a shift towards consistent, high-quality property management.
  • Rent Increases Limited to Once a Year: Helps avoid frequent turnover and improves tenant satisfaction.
  • Ban on Large Upfront Rent Demands: Opens the market to a wider tenant base, particularly young professionals and first-time renters.
  • Tenants Can Request to Keep Pets: Enhances tenant retention and satisfaction, pet-friendly properties are increasingly in demand.
  • New Ombudsman Scheme Introduced: Offers a streamlined route for resolving disputes, reducing legal costs and time.
  • Landlord Database Rolled Out: Transparency and professionalism will be key, properties in good condition with responsible management will stand out.

Understanding the Renters’ Rights Bill

The Renters’ Rights Bill is a landmark reform aimed at creating a more secure and transparent rental market for tenants, while raising standards across the sector. While headlines often focus on what landlords can’t do anymore, the bigger picture is about creating a more stable and attractive environment for long-term investment.

A Shift Toward Professionalism

The end of Section 21 "no-fault" evictions means landlords will need valid legal grounds to regain possession of their properties. This might sound like a loss of control, but it’s actually part of a wider push to professionalise the sector, weeding out poor practices and encouraging long-term tenant relationships. With reliable tenants staying longer, landlords can reduce costly void periods and build more consistent returns.

Rent Regulation That Supports Sustainability

Under the new rules, rent can only be increased once per year, and tenants must receive adequate notice. Rather than harming profitability, this change is about predictability. Investors who price their rentals fairly and keep properties in good condition will remain competitive and avoid the churn that often comes with sudden or excessive rent hikes.

More Inclusive, Transparent Renting

The bill also includes measures to ban the requirement for large upfront rent payments, make it easier for tenants to request pets, and establish a national landlord database. While these may seem like added responsibilities, they’re actually opportunities to stand out. Tenants are actively seeking pet-friendly homes and ethical landlords. Investors with modern, well-managed properties are well positioned to benefit from this shift.

Why This Benefits Investors in the Long Run

The rental market is growing, and tenants are increasingly looking for high-quality homes with trustworthy landlords. By improving standards and trust, this bill could help reduce tenant turnover and boost demand for properties that offer security, comfort, and professionalism. Though the reforms require some adjustment, investors focused on quality homes and long-term growth, especially in thriving regional markets, are likely to find these changes align with a more stable and professionalised rental sector.

How Rothmore Property Supports Your Investment Goals

At Rothmore Property, we specialise in sourcing investment opportunities in London, Manchester, Liverpool and Birmingham, four of the UK’s most dynamic property markets. With over 60 developments in prime, high-demand locations, we offer investors access to properties with strong long-term growth prospects and high rental yields.

Whether you're taking your first step into buy-to-let or expanding a seasoned portfolio, our team provides tailored support from strategy to completion, including financing, conveyancing, and property management. Our in-house experts stay ahead of legislative changes, so you don’t have to. We’ll ensure your investments remain compliant, profitable, and future-ready.

A Stronger, Smarter Rental Market

Rather than seeing these reforms as a threat, smart investors will recognise the long-term advantages of a modernised rental system. With greater protections in place, tenants are likely to stay longer, treat properties with more care, and contribute to a healthier rental economy. Well-located, well-managed homes will continue to thrive.

If you’d like to learn more about how the Renters’ Rights Bill might affect your investment plans, or explore new opportunities in the UK’s most promising markets, our team is here to help.

Contact us today to discuss your goals and discover the best options on the market.
 

Frequently Asked Questions

Yes, under the new rules, landlords will no longer be able to evict tenants without a valid reason (Section 21 will be abolished). However, you’ll still be able to regain possession using legitimate grounds such as rent arrears, anti-social behaviour, or selling the property. The aim is to reduce arbitrary evictions and support long-term tenancies.

Rent can only be increased once every 12 months, and it must be fair and in line with market rates. This change promotes predictability for tenants but also encourages landlords to set realistic, sustainable rents from the start.

Absolutely. You can (and should) still conduct reference checks, affordability assessments, and credit checks. The bill doesn’t remove your ability to ensure prospective tenants are suitable and reliable.

Tenants will have the right to request permission to keep a pet, and landlords must not unreasonably refuse. Reasonable conditions (like pet insurance) may be applied. This change could open up a broader tenant pool and increase tenant retention.

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