What England’s Renters’ Rights Act Means for You

At a Glance

The new Renters’ Rights Act 2025 introduces major changes to improve housing stability and financial security for tenants in England. By ending no-fault evictions, limiting rent increases, and enforcing fairer landlord practices, the Act aims to make renting more predictable and affordable for millions of renters. The aim is to provide additional support to renters on low or irregular incomes, supporting better budgeting and long-term financial planning.

All About England’s New Renters’ Rights Act 2025

England’s new Renters’ Rights Act 2025 is set to bring some of the biggest changes to the rental market in decades. This reform is aiming to give tenants more protection and stability by making renting safer for millions of renters.

The Renters’ Rights Act 2025 has brought the following into law:

Rent increases will be limited to once per year, and landlords will need to serve formal notice before raising the rent.

Landlords will be required to publish an asking price and are banned from “rental bidding”, meaning tenants cannot be pressured into paying more than the advertised amount.

A “protected period” means new tenants cannot face eviction to enable a property sale or landlord move-in for at least 12 months, giving you greater housing security.

All of this means no unexpected rent increases, surprise move-out costs or sudden replacement of tenancy. If someone is struggling on a tight budget, especially with the rising costs living, having more security around your housing expenses should be a weight off. 

This should allow for better plan monthly costs and reduce risk of arrears.

In this blog, we’ll explain what the new Renters’ Rights Act 2025 could mean for renters or tenants. We’ll explore how it could impact your monthly budget and why it’s a positive step forward for tenants across England.

Understanding the New Renters’ Rights Act

The new Renters’ Rights Bill is a major reform, aimed at improving life for tenants in England. It replaces older laws that left renters vulnerable to sudden rent hikes or eviction without reason.

The Act introduces fairer renting rules, aimed at increasing tenant security. One of its main goals is to balance the relationship between landlords and tenants, giving renters more control and confidence.

It also includes new standards for property conditions, notice periods and rent increases. The Act has been designed to make renting more stable and transparent, as well as more financially manageable.

What This Reform Means for Tenants with Low or Irregular Income

For tenants with low or irregular income, the Renters’ Rights Bill offers much-needed stability. By ending “no-fault” evictions and limiting rent increases to once a year, it helps renters stay in their homes longer and manage costs more predictably.

This is especially important for people whose incomes may be unstable or change each month, as it reduces the risk of sudden financial strain or homelessness. 

The Act also gives tenants stronger rights to challenge unfair treatment, creating a safer, more balanced system that supports vulnerable renters.

How the Law Could Help Save Money

The Renters’ Rights Act 2025 could help tenants save money in many ways. For instance, by setting fair rules around rent increases, it prevents landlords from raising prices without warning or unfairly, giving greater security.

The law also helps renters avoid costly, short-notice moves by reducing the risk of sudden evictions. With more secure tenancies, renters can make longer term financial decisions.

Measures within the Act also aim to improve property standards, meaning fewer tenants are left having to pay out of their own pockets for maintenance issues. 

These tenant rights encourage more predictable renting costs, helping people manage their finances more effectively.

The End of “No-Fault” Evictions and What It Means for Stability

One of the most significant shifts under the new Renters’ Rights Act is the abolition of “no-fault” evictions (often known by the legal term Section 21 of the Housing Act 1988), where landlords could ask tenants to leave the property with just two months’ notice, with no reason given.

Now, landlords need to present just-cause grounds, such as rent arrears, damage to property or sale of the home. There will be a clearer, more formal process, protecting renters’ rights.

For renters, especially those with lower incomes or less stable credit, this offers real stability, meaning:

They won’t have to move suddenly just because the landlord wants the property back, which helps avoid the costs and disruption of a forced relocation.

Tenants have the option to remain in one place long enough to plan financially. This allows them to build a consistent rent payment history, and avoid costs and stress associated with moving.

With the threat of arbitrary eviction reduced, the government hopes the bill gives renters more confidence and home security.

As a renter, if someone is trying to stabilise their finances and build better credit, this reform aims to remove uncertainty and protect from potential budget shocks.

Looking For Support Getting Your Finances Back on Track? Think Salad

The Renters’ Rights Act 2025 aims to give tenants a stronger foundation to build financial stability. 

Staying in one home for longer can help tenants build a positive rental and payment history, potentially helping build better credit over time. For those on lower or variable incomes, this consistency can make a big difference when planning for the future.

At Salad, we believe that everyone deserves fair financial opportunities and responsible access to credit. Whilst the Renters’ Rights Act aims to provide increased security to millions of UK tenants, we know that accessing money when your budget doesn’t line up, can be incredibly stressful.

That’s why we use an Open-Banking-based assessment to evaluate the real financial situation of every applicant.

 You can trust us to keep your financial data safe and eligibility checks won’t impact your credit score as we use Open-Banking in our initial assessment. If successful, we report your loan to the CRA’s (Credit Reference Agencies). However, your credit score won’t hold you back from being eligible.