The Renter’s Rights Bill became an Act last week after it gained Royal Assent, but little has changed except the name.
Landlords face the same uncertainties around rent increases, repossession rules and what happens if they try to sell. The new unknown is when the reforms will take effect, with the National Residential Landlords Association calling for a minimum lead time of six months.
Here is a guide that attempts to answer some of the questions landlords will have.
In prime London markets, rents continue to edge higher as more landlords explore a sale, and supply continues to drop. The number of new rental listings in prime central and outer London in Q3 2025 was 8% below the five-year average, Rightmove data shows.
Average rents in prime central London rose 1.9% in the year to October, which was the biggest increase since August 2024. In prime outer London, the increase was 2%.
As property values continue to fall ahead of the Budget on 26 November, one positive result for landlords is that rental yields are rising.
In prime central London, average gross yields were 4.5% in October, which is the highest level they have been since June 2006.
Property taxes have been the subject of intense speculation ahead of this month’s Budget as Chancellor Rachel Reeves attempts to plug a £30 billion back hole to meet her own fiscal rules.
One proposal floated in the media is to charge National Insurance on rental income. The idea aligns with suggestions made by Torsten Bell when he was head of the Resolution think tank. He is now an MP and a key architect of the Budget.
The risk for the government is that such a move proves to be inflationary, as more landlords decide to sell or pass on the cost to tenants.
Meanwhile, tenant demand remains robust, which will keep upward pressure on rents. The number of new prospective tenants registering in London in September was 10% higher than the same month last year, Knight Frank data shows.
Demand has been supported by the pre-Budget uncertainty, said David Mumby, head of prime central London lettings at Knight Frank.
“Speculation about a host of possible tax rises in the Budget is drowning out any noise around the Renter’s Rights Act for landlords,” he said. “For tenants, the gloomier things feel, the more they prioritise liquidity and cash in the bank and that is supporting strong demand in the lettings market.”
