Newsletter
Preparing for the Renters’ Rights Bill: Our Proactive Approach
The government published what it calls a Guide To The Renters Rights Act on its official website. It runs to a cool 11,200 words – and that is without giving any implementation dates, now it finally goes live on 1st May 2026. https://www.gov.uk/government/publications/guide-to-the-renters-rights-act/guide-to-the-renters-rights-act
We’ve been actively assessing the implications of the forthcoming Act and identifying practical steps to minimise risks for landlords. This includes enhancing Rent Guarantee Insurance options, strengthening our internal compliance processes, and clarifying your key obligations as property owners.
Drawing on our financial services expertise, we operate a rigorous compliance framework, complete with detailed checklists and cross-verification at every stage. This ensures all regulatory and contractual requirements are met, giving you peace of mind that your interests are fully protected.
You benefit further from Alternative Estates’ Propertymark Protection (formerly ARLA), which includes:
Trade body oversight
Client Money Protection (CMP)
Annual independent client account audits
These measures combined with our proactive planning position you for compliance and resilience under the new legislation with more guidance to follow as the Act takes effect.
Renters Rights Act 2025
While the Act introduces new obligations for landlords, it also has restrictions on tenants. The headline change remains the abolition of no-fault (Section 21) evictions and no fixed term tenancies, but several key points stand out:
Notice Periods & Tenancy Termination
From 1 May 2026, assured periodic tenancies (APTs) will replace assured shorthold tenancies as the standard agreement for the private rented sector. This change forms a crucial part of compliance with the Renters' Rights Act 2025. Grounds for possession due to arrears: Now require 3 months of unpaid rent (up from 2 months) before notice can be served.
Tenant notice: Tenants may end a tenancy at any time with 2 months’ written notice. But they potential issue is that if they are buying somewhere they could potentially have combined mortgage and rent to pay for two months. Joint tenancies: Notice from one tenant applies to all, reducing flexibility for those wishing to stay unless the landlord agrees.
The UK Government has published the final version of the document, which sets out key changes for tenants ahead of reforms coming into force on 1 May 2026. Letting agents and landlords now have a clear legal duty to provide this document to relevant tenants, with a strict 31 May 2026 deadline and financial penalties for non-compliance. The Information Sheet explains how tenants’ rights and responsibilities will change under the new legislation. It must be issued to existing tenants by 31 May 2026, and failure to comply could result in fines of up to £7,000 per tenancy.
The Renters’ Rights Act Information Sheet 2026
Selling or Re-letting Restrictions.
Landlords cannot market for sale or re-let within the first 12 months of a tenancy.
If a sale falls through after notice is served, a 12-month restriction applies before the property can be re-let.
Mandatory Public Register
A national Landlord and Tenant Register will be introduced. This enables authorities to verify landlord details and cross-reference with HMRC and other agencies helping ensure tax compliance and proper documentation. Non-compliance penalties: Initial fine: up to £7,000 Subsequent breaches: up to £40,000 Tenants may claim up to 24 months’ rent repayment.
Decent Homes Standard (DHS)
Properties must be safe, well-maintained, free from serious hazards, damp, and mould, and fit for habitation. Tenants can apply directly to Private Rented Sector Landlord Ombudsman for free to complain about a landlord’s actions or behaviours. (Currently not the opposite way around landlords about their tenants)
We’ll keep you fully updated as soon as the Act is enacted, and guidance is finalised. In the meantime, we are regularly checking the criteria and updated guides to ensure compliance for all parties.
Rent Protection & Legal Expenses
We’re excited to introduce a stand-alone Rent Guarantee Insurance option, designed to integrate seamlessly with your existing tenancy agreements and our existing referencing.
While similar cover is often available via landlord buildings policies (e.g., Direct Line), this dedicated product arranged in partnership with Goodlord, offers enhanced protection tailored to our managed properties. It applies to new tenancies and existing ones where the tenant has maintained a perfect payment record over the last 12 consecutive months under our management.
After a thorough review of the terms and conditions, we believe this provides the strongest standalone coverage for both current and future tenancies.
Key Benefits:
100% of monthly rent paid until vacant possession is achieved.
No cap on the number of months covered.
Nil excess for claims made within the first 45 days.
Full legal expenses cover, including appeals and representation.
Property damage legal protection for disputes over £1,000+
Up to £1,000 on top of the deposit for damages
90% of rent for up to 6 weeks after vacant possession if re-let through us.
Coverage for squatter eviction and associated costs
Rent Protection Insurance Flyer
Full details and T&Cs: Rent & Legal Expense Protection Policy Wording
Please let us know your choice at your earliest convenience to secure coverage as there is a 60-day initial waiting period. To activate cover, please confirm your preference via to accounts@alternativeestates.co.uk with your property address in subject line and we will forward the declaration to e-sign.
Payment options (deducted from your monthly statement):
Annual: £320 + VAT = £384
Monthly: £30 + VAT = £36 (£432 annually)
We have also reached out to the tenants by providing the option to protect their rental payment and rental Life insurance. It’s obviously optional but its provides them an opportunity to cover themselves.
Company Compliance, Changes & Contacts
We’re pleased to confirm the successful transition from Alternative Estates & Financial Services Ltd to Alternative Estates Sales & Lettings Ltd, effective 2 January 2025. Ownership remains unchanged, but regulatory requirements necessitated separating our Sales & Lettings operations from our Mortgage & Insurance services into two distinct entities.
As part of this transition, we conducted a comprehensive review of every property, including title checks and statement updates, with TDS adjustments where required. Our earlier property health checks (completed in 2021/2022) assessed overall condition, anticipated repairs and upgrades, and provided market valuations for both sales and rental purposes. This was in anticipation for any future EPC regulations to be introduced as well as ensuring an overall snapshot of each property under management.
We maintain a robust inspection regime, combining regular physical visits (documented in writing to both tenants and landlords) with virtual inspections. These virtual checks require tenants to confirm the presence or absence of repairs, offering vital protection against retrospective claims as well as ensuring landlords maintain their properties.
All tenancy records, including current and historic, are retained for a minimum of 6 years. This includes gas safety certificates, EPCs, EICRs, signed receipt confirmations for initial guides and documentation provided to the tenants, and photographic inventories evidencing pre-tenancy condition.
We take pride in delivering a service that keeps arrears exceptionally low and ensures clear, recorded communication via messages and emails to prevent any misunderstandings.
The past 12 months have been busy with the company changes, and we appreciate your patience if responses have occasionally been delayed as we always aim to resolve issues promptly.
