Principle warns landlords to be ready for big legal changes in rental sector

Jaime Duffy, business development manager for lettings at Principle, explained that “big changes” for the rental sector are coming up as emerging new legislation enters its latest stage in Parliament.

She said this meant landlords needed to maintain clear records, up-to-date compliance and robust documentation to clearly evidence their operations.

Ms Duffy was commenting after MPs rejected the Lords’ attempted amendments to the Renters Reform Bill.

She said: “The latest ‘ping-pong’ stage on 8 September saw the Commons push back most of the Lords’ amendments.

“The result is that the Bill’s main shape is now fixed, with big changes to the rental sector clearly coming.

“Key takeaways for landlords are that Section 21 is going, which means no-fault evictions will be abolished, and all tenancies will become periodic.

“Possession will still be possible, but only on defined grounds, such as genuine sale, landlord move-in, arrears or anti-social behaviour.

“Rent increases will be limited, with only one rent review a year, using the Section 13 process, with tenants able to challenge at tribunal.

“Higher property standards will also be demanded, with landlords needing to meet Decent Homes-style standards, join a redress scheme, and register properties on a new PRS portal.

“Implementation will be phased, with reforms likely to roll out from 2026 in stages, with the portal and redress first, Section 21 later.

“What this means in practice is that rent reviews and possession claims won’t be about ‘what you say’ as a landlord but what you can evidence.

“The emphasis will shift from flexibility to proof and process, and to protect their position landlords will need clear records, up-to-date compliance and robust documentation.”

Ms Duffy said Principle was already preparing for these changes, with proactive measures in place across its fully managed, rent collection and tenant find services.

She explained this included compliance oversight, ensuring every property is up to date with EPCs, gas and electrical safety, licences, deposit protection, and “How to Rent” guides.

She said: “We’re making sure evidence-led management is adopted, keeping full records of arrears, communications and inspections to safeguard landlords in possession cases.

“We’re also introducing portal readiness, collating all property information in a central, accessible database, ready for submission when the PRS portal launches.”

Ms Duffy promised Principle would continue to closely track the Renters Reform Bill’s progress, keeping landlords fully informed with regular briefings to help them make clear and confident investment decisions.

She added: “The end of Section 21 is coming, but with the right management and compliance in place, landlords can still let with confidence.

“Principle is here to ensure landlords are protected, compliant and positioned to thrive in this new landscape.”

Principle’s fully managed service for landlords includes:

• compliance checks and certification (gas, electrical, EPC, licensing)

• rent collection and arrears management with full paper trails

• serving the correct notices in line with new legal frameworks

• preparing for the PRS portal with all documents stored and organised, and

• keeping landlords updated on legislative changes, so they don’t get caught out.