The Renters’ Rights Act 2025 came into force on 1 May 2026. It’s the biggest change to tenancy law in decades, and there’s a lot of noise about it: some of it accurate, much of it not.
This guide cuts through the noise. It covers what’s actually changed, what the rules now say (not what Facebook thinks they say), what you need to do immediately, and what’s coming next. No outrage, no spin, just a clear briefing.
Six things changed on 1 May 2026 that affect every Wirral landlord with a private tenancy:
1. Section 21 is abolished. You can no longer serve a no-fault eviction notice. The route that allowed landlords to end a tenancy without giving a reason, used by many landlords simply to manage their own plans, is permanently gone.
2. All ASTs became periodic tenancies. Every existing assured shorthold tenancy automatically converted to an assured periodic tenancy on 1 May. There are no more fixed-term contracts. Existing tenancy agreements don’t need to be rewritten, but the legal framework governing them has changed.
3. Tenants can leave with 2 months’ notice, at any time. No more being tied to a fixed term. A tenant on month three of what used to be a twelve-month contract can give notice and leave in two months. This is the trade-off for the security tenants now have.
4. Landlords need a legal ground to end any tenancy. Possession is now via Section 8 only, which means specific, evidenced grounds. Some are mandatory (the court must grant possession if the ground is proven), some are discretionary (the court can consider whether it’s reasonable).
5. Rent increases are limited to once per year. Via the Section 13 process only. Any contractual rent review clauses (RPI-linked, CPI-linked, anything written into the tenancy) are void. Tenants can challenge increases at a First-tier Tribunal if they believe the proposed rent is above market rate.
6. Tenants have new rights. The right to request a pet (you can only refuse on reasonable grounds within 28 days). The right to request certain property improvements. These are not rights to demand. They’re rights to request, with a proper response required.
No notice period will bring it back. The last valid Section 21 notices were those served before 1 May 2026, and even those have a hard deadline: if you served a Section 21 before 1 May 2026, you must have issued possession proceedings by 31 July 2026. After that date, the notice lapses and the route is permanently closed.
If you’re still hoping to rely on a Section 21 notice served before 1 May, check your dates now. The window is closing.
This is the new mandatory possession ground for landlords who want to sell. Here’s how it works:
If the tenant doesn’t leave voluntarily when the notice expires, you’ll need to apply to the county court for a possession order. The court process adds time (currently several months in many areas) and cost.
The alternative for selling is to sell with the tenants in place. The tenancy transfers to the buyer, who becomes the new landlord. No notices, no court process, rent continues to completion. For more detail on how that works and the real maths behind each route, see our guide to selling a house with tenants.
The rules are identical to Ground 1A: 4 months’ notice, 12-month protected period, mandatory ground. You need to demonstrate a genuine intention to move in, or have a close family member (spouse, civil partner, parent, grandparent, sibling, child, or grandchild) move in.
After giving notice under Ground 1, you cannot re-let the property for the same 12-month restricted period. Using this ground to cycle through tenants is an offence.
The Section 13 notice process is now the only legitimate way to increase rent. Here are the rules:
If you served a valid Section 21 notice before close of business on 30 April 2026:
If you’re in this position, don’t wait. The 31 July deadline is a hard stop.
If you haven’t already: serve the Information Sheet.
The government’s Renters’ Rights Act Information Sheet 2026 must be given to every assured tenancy tenant. The deadline was 31 May 2026. If you haven’t done it, do it now. The penalty for non-compliance is up to £7,000. The sheet must be the exact PDF downloaded from the link above; you cannot send a link by email or text.
Review your compliance paperwork.
The enforcement landscape has changed. Local councils now have strengthened powers and civil penalties of up to £40,000 for serious or repeat offences. Before anything else, check that each property has:
Check your notice position.
For any tenancy where you may need possession in the next 12 months (for a sale, for personal use, or because of a problem tenant), review which grounds apply and when they become available. If your tenant has been in place for more than 12 months, Ground 1A is available to you now for a sale.
Update your rent increase process.
If you’ve been relying on contractual clauses to increase rent, those clauses are now void. All future increases must use the Section 13 notice process. If your next planned increase is coming up, check the notice period requirements.
In short: selling is still entirely possible. The route has changed, but the destination is the same.
Selling with tenants in place has become the path of least resistance for many landlords. The tenancy transfers to the buyer, no notices are needed, and rent continues until completion. The buyer pool is investors only, and the price will be below vacant possession value (typically 10–20% below), but the cost and time saved on the alternative can make this the better net result.
Gaining vacant possession via Ground 1A is the longer route. Four months’ notice, court proceedings if contested, a timeline of 6–12+ months if anything goes wrong. For properties where the full market price significantly exceeds tenanted value and the tenant is likely to be cooperative, it may still be worth it.
We’ve covered both routes in detail, with the real maths behind each one, in our guide to selling a house with tenants.
The regulatory bar has risen. Landlords who run tight, compliant operations will handle this fine. Landlords with gaps in their paperwork, compliance failures, or outdated practices are now exposed to meaningful financial penalties.
The practical upside: as other landlords exit, supply tightens and remaining landlords face less competition for tenants. Wirral rents are already running at £845 a month, up 6.5% year-on-year. That dynamic continues to favour landlords with well-maintained, compliant stock in locations with strong demand.
Good tenants are also more valuable than they’ve ever been. Under the old rules, a difficult tenant could be moved on with a Section 21. That route is now gone. Landlords who screen carefully, maintain properties properly, and build good tenant relationships are the ones who’ll hold problem-free portfolios in this environment.
The Renters’ Rights Act affects landlords across England, but the impact isn’t uniform. The Wirral’s specific property mix matters.
The older terraces and ex-council stock that make up a significant part of the Wirral BTL portfolio are already at or near the regulatory boundaries on EPC ratings. The Act’s current phase doesn’t mandate EPC ratings beyond the existing E minimum, but that’s coming, and properties currently rated D or E are sitting on a compliance time bomb. For landlords with older stock in areas like Birkenhead, Tranmere, or Rock Ferry, the question isn’t just about the Renters’ Rights Act. It’s about the full regulatory direction of travel.
The stronger Wirral market dynamic is that demand is genuine and growing. As landlords exit, the remaining supply tightens. Rents are rising. For landlords with compliant, well-located stock and reliable tenants, the Wirral market still supports viable BTL returns, particularly for those without significant mortgage debt.
The Renters’ Rights Act is being implemented in three phases. Phase 1 came into force on 1 May 2026. Here’s what’s ahead:
Phase 2, late 2026: The Private Rented Sector Database launches. Registration will be mandatory for all landlords, requiring payment of an annual fee and submission of key property information. The PRS Landlord Ombudsman also launches in Phase 2. Membership will eventually be compulsory, with a target date of around 2028.
EPC C minimum for rented homes: Confirmed, not just anticipated. The government’s Warm Homes Plan (published January 2026) sets a compliance date of 1 October 2030, with upgrade costs capped at £10,000 per property. For the Wirral’s older housing stock, that cap is a real number to plan around. Landlords with properties rated D or below should be budgeting for it now, not waiting for the mandate.
Making Tax Digital: In force for landlords with rental income over £50,000 from April 2026. Threshold drops to £30,000 from April 2027. Quarterly digital record-keeping, not an annual return. If you’re above the threshold and haven’t set up MTD-compatible software, it’s urgent.
April 2027 property income tax rates: 22% basic, 42% higher, 47% additional. The direction of travel on landlord taxation is clear. Factor it into your forward planning.
The regulatory environment for landlords in 2026 is genuinely more complex and more demanding than it was five years ago. That’s not a reason to panic. It’s a reason to know the rules properly and run a tight operation. The landlords who’ll struggle are the ones who don’t.
If the Act has you questioning whether holding on still makes sense, our honest assessment of whether being a landlord is still worth it lays out the full picture: the case for selling and the case for holding. And if you’ve decided to sell, the CGT implications are worth understanding before you commit.
If the new rules have tipped the balance, tell us about your rental. We'll give you a realistic figure, tenants in place or not, so you're deciding on actual numbers.
Michael and Paul grew up, live and work on the Wirral. Through Jones & Quinn Investments, they help local homeowners sell without the usual back and forth, matching them with a buyer from their network.
