Learn the other five critical updates – deposit caps, fair-access rules, pet permissions, Awaab’s Law extensions and a new ombudsman – to safeguard your portfolio.
Following on from the previous article about rent and possession found here, this is the second piece in our two-part series that explores the broader reforms set to reshape the landlord–tenant relationship – particularly the obligations placed on landlords and the evolving legal landscape.
Now that we’ve examined the changes relating to rent and possession, it’s time to turn our attention to other significant developments. These include reforms around tenancy deposits, the right to keep pets, the growing issue of rental bidding wars, and the introduction of Awaab’s Law. We also consider what remains uncertain and conclude with a final reflection from the author.
Deposit Caps and Rent in Advance: What’s Changing?
Another change that will be felt immediately in letting offices is the cap on rent in advance. Demanding large sums up-front will be prohibited; the general position will be that no more than one month’s rent (or 28 days where relevant) can be required once the agreement is signed and before it starts. Deposit caps themselves are not being rewritten by this Bill: the Tenant Fees Act 2019 continues to limit most deposits to five weeks’ rent (or six where the annual rent is £50,000 or more). If a Landlord’s documentation currently “front-loads” rent to manage risk on marginal applicants, the Landlord will need to rethink its approach and referencing thresholds.
Pets and Tenancy Rights: A New Statutory Framework
Tenants will gain a statutory right to request permission to keep a pet, and landlords must not unreasonably refuse. Guidance on what counts as “reasonable” will follow, and head-lease restrictions and property type will remain relevant. Notably, an earlier idea that landlords could insist on pet-damage insurance was dropped during the Bill’s passage. The practical response is to move away from blanket rules and adopt a transparent, case-by-case policy supported by stronger inventory and check-out processes.
Ending Discrimination and Bidding Wars in the Rental Market
The Bill bans discriminatory practices in advertising and selection. “No DSS” and “no children” style exclusions will be unlawful, with local authorities given powers to investigate and levy civil penalties. Rental bidding will also be prohibited. Landlords will publish an asking rent and will be obliged not to solicit or accept bids above it. Both changes call for staff training and for careful housekeeping of marketing templates, portal settings and internal emails.
Awaab’s Law, Ombudsman and PRS Standards: What Landlords Must Do
Expect a tighter regulatory spine. The Decent Homes Standard is due to be applied to the PRS, and the Government intends to extend Awaab’s Law time limits for investigating and remedying serious hazards into the sector through regulations. A new PRS Landlord Ombudsman will offer binding redress, and the PRS Database will require registration of landlords and properties. Rent Repayment Orders are being strengthened, including against superior landlords in some scenarios. The direction of travel is clear: better record-keeping, faster responses to health-and-safety issues, and greater transparency for tenants.
What remains uncertain
Two moving parts matter most. First, the precise commencement date for the one-day switch to the new tenancy system; secondly, the detailed guidance that will sit underneath the Act – particularly on the evidence needed to meet grounds for possession, reasonable refusals for pets and the exact time limits and enforcement mechanics when Awaab’s Law is extended to the PRS. These matters will be set out in secondary legislation and official guidance after Royal Assent. Until then, plan on the basis above and be ready to slot in the detail when it lands.
Five Key Actions Landlords Should Take Now
For most Landlords and agents, preparation falls into a few sensible steps:
- Refresh your document suite so you are ready to issue periodic assured tenancy agreements, and update section 8 notice packs (including the 12-month bar and four-month notice for sale/occupation grounds).
- Standardise your section 13 process with a standing market-evidence bundle and a clear Tribunal playbook; diarise the annual limit and the notice period across the portfolio.
- Audit your marketing and onboarding to remove bidding mechanisms and any language or filters that risk direct or indirect discrimination; strip out rent-in-advance provisions above one month.
- Publish a simple, fair pet policy and train staff on applying it; upgrade inventories and check-outs to manage risk.
- Build a PRS compliance checklist: database registration, ombudsman membership, deposit protection and a damp/mould protocol with time-bound triage and photographic logs.
Final word: Preparing for the New Tenancy Landscape
The changes are significant, but they are manageable with early, deliberate planning. If Landlords update their documents, keep accurate records of rent, bring their marketing into line, and get their compliance house in order for the database and the ombudsman, Landlords will be relatively well placed when section 21 finally disappears.
As ever, this note is a general overview of the position in England as at 31 July 2025 and is not a substitute for advice on a particular tenancy, property or dispute. If you would like a portfolio-wide audit or template pack tailored to your brand and risk profile, we can help.
How we can help
Please contact us to speak to one of our property law specialists who can help you audit your tenancy documents, update your compliance workflows, and prepare for the new PRS standards. Whether you manage a single property or a large portfolio, we offer tailored legal support to keep you ahead of the curve.
