New Rules on Rent Increases

From 1 May 2026, rent increases are strictly regulated. You can only increase rent once per year, using the formal Section 13 notice process with at least 2 months' notice. Existing contractual rent review clauses (such as RPI or CPI increases) are voided. Tenants can challenge above-market increases at the First-tier Tribunal.

Currently, many landlords use contractual rent review clauses — for example, annual increases linked to RPI or CPI, or a fixed percentage uplift. The Renters' Rights Act 2025 replaces all of this with a single, standardised process:

• Section 13 only: All rent increases must follow the formal Section 13 notice procedure. No exceptions.
• Once per year: You can only increase rent once in any 12-month period.
• 2 months' notice: You must give the tenant at least 2 months' written notice of the proposed increase.
• Existing clauses voided: Any contractual rent review clause in an existing tenancy agreement (RPI-linked, CPI-linked, fixed percentage, or otherwise) is overridden and has no effect from 1 May 2026.
• Advertised rent cap: The rent you advertise when re-letting a property sets a ceiling — you cannot then charge more than the advertised amount.

The new rules mean you need to think differently about rent:

• Get the initial rent right: With increases limited to once per year and subject to tribunal challenge, setting the right rent from the start is more important than ever.
• Market evidence matters: Any increase should be justifiable by reference to comparable market rents. If a tenant challenges at tribunal, you need evidence.
• Tribunal can only reduce: If a tenant challenges your proposed increase at the First-tier Tribunal, the tribunal can reduce the amount — but cannot increase it above what you proposed.
• Hardship delay: The tribunal can delay the start date of an increase if the tenant would suffer undue hardship, giving them time to adjust.
• No retrospective increases: If you miss the Section 13 process or get the notice wrong, you cannot backdate the increase.

• 1 May 2026: New rent increase rules come into force. Existing contractual rent review clauses are voided.
• Minimum 2 months' notice: Required for every Section 13 rent increase
• Once per 12 months: No more than one increase in any rolling 12-month period
• Tribunal deadline: Tenants must apply to the tribunal before the proposed increase takes effect

Q: My tenancy agreement has an annual RPI increase clause. Does this still apply?

A: No. From 1 May 2026, all contractual rent review clauses are overridden. You must use the Section 13 notice process instead, regardless of what your tenancy agreement says.

Q: What happens if the tenant challenges my increase at tribunal?

A: The First-tier Tribunal will assess whether the proposed rent exceeds the market rate. They can reduce the rent to market level, but cannot increase it above what you proposed. They can also delay the start date if the tenant would suffer hardship.

Q: Can I increase rent when a new tenant moves in?

A: You set the rent when you advertise the property. The rental bidding ban means you cannot accept more than the advertised amount. Once the tenancy starts, you must wait 12 months before the first Section 13 increase.

Q: What evidence should I keep for a rent increase?

A: Keep records of comparable rents in your area, the condition and features of your property, any improvements you've made, and a copy of the Section 13 notice with proof of service.

• Review your current rent levels against the local market — are they realistic?
• Check whether your tenancy agreements contain rent review clauses that will be voided
• Familiarise yourself with the Section 13 notice process and prescribed form
• Start keeping records of comparable rents in your area (useful evidence if challenged at tribunal)
• Plan any increases well in advance to allow for the 2-month notice period
• Talk to your agent about their approach to annual rent reviews and market evidence