Matthew Pennycook on Transforming the Private Rented Sector

2026 is a historic year for the private rented sector. Next week the first phase of the Government’s reforms will be implemented as we switch on the new tenancy regime provided for by the Renters’ Rights Act. In doing so, we will have finally begun the process of transforming the sector to the benefit of England’s 11 million private renters and the millions of responsible landlords who provide high-quality homes and a good service to their tenants.

The Government recognises that good landlords are integral to a well-functioning private rented sector. I would like to thank Ben Beadle and the wider NRLA team for the robust but constructive challenge they provided throughout the passage of the Renters’ Rights Act which helped ensure the legislation will work for responsible landlords.

As NRLA members, I know you are committed to high standards. The Act will provide you with tangible benefits in the form of simpler regulation and clear and expanded possession grounds, so that landlords are able to regain their properties quickly when necessary. 

Importantly, strengthened local authority enforcement powers will be brought to bear on the minority of unscrupulous landlords who exploit, mistreat or discriminate against renters, helping to improve the reputation of the sector as a whole.

The Act will also empower renters by providing them with greater security, rights and protections so that they can stay in their homes for longer, build lives in their communities, and avoid the risk of homelessness.

And it will ensure that we can drive up the quality of privately rented housing so that renters have access to good-quality and safe homes as a matter of course.

In the first phase of our reforms, we will implement the new tenancy regime. This will apply to both new and existing tenancies and will come into force on 1st May.

We will move to a simpler tenancy structure where all assured tenancies are periodic, and section 21 ‘no-fault’ evictions will be abolished. In addition, the practice of landlords demanding large amounts of rent in advance from tenants will be brought to an end; rental bidding will be prohibited; and tenants will be given strengthened rights to request a pet.

If you haven’t already done so, I strongly encourage you to read the implementation roadmap we published in November last year which can be found on gov.uk here. This sets out how the Act will be implemented, as well as the support the Government intends to provide to support to the sector. The roadmap makes clear that we intend to bring the Act into force in three distinct phases.

Later phases

In the second phase from late 2026, we will introduce our innovative Database of PRS properties to bring together key information for landlords, tenants, and councils. The Database content will inform tenant choices when entering new tenancies; will help landlords understand their obligations and demonstrate compliance; and will support councils in targeting enforcement. In this phase we will establish a Landlord Ombudsman for the PRS to improve dispute resolution, settling issues between tenants and landlords without costly court proceedings.

Phase three will focus on raising standards through the extension of Awaab’s Law, with the timescale for this subject to consultation. We will also introduce a modernised Decent Homes Standard to the private rented sector from 2035.

'Responsible landlords have nothing to fear'

I know from officials in my Department who attended the NRLA conference last November that some landlords had concerns around implementation. Longstanding concerns around issues such as court capacity were aired and new concerns were raised about the possibility of making inadvertent mistakes.

I appreciate fully that changes of this magnitude are inherently unsettling. This is, after all, the most significant package of reforms to the sector in almost four decades. However, I want to reassure you that responsible landlords have nothing to fear from the changes we are making, and that we are committed to ensuring you have the required guidance and support needed to navigate the transition.

Shortly after Royal Assent, we published a full package of gov.uk guidance for landlords which can be found here. Developed with landlord groups and tested with individual landlords, this guidance explains landlords’ new rights and responsibilities under the Act and tells you what you need to do before 31st May to make sure you are complying with the legislation.

We have also launched a communications campaign across social media and radio, including working with influential landlord voices, to raise awareness of the Act and make sure landlords know what they need to do and when. As part of this, we have established a campaign site where you can access resources and FAQs.

Landlord engagement

As they did in Liverpool last year, my officials continue to engage with landlords and landlord bodies to understand and respond to outstanding concerns and provide the information necessary for landlords to prepare. I am grateful to the efforts being made by the NRLA to proactively support their members as we move toward implementation.

I am acutely aware, as I have been since we first introduced the Bill to the Commons, that the measures in the Act will place demands on parts of the state that the sector relies on. To ensure a smooth implementation of the Act these must be ready. We continue to support the justice system with funding to make sure that the courts and tribunals have the resources and capacity they need to cope with any increased demand that results from the changes we are making.  

Thank you

As a responsible landlord, you have a vital role to play in implementing these historic reforms. I want to thank all those good landlords who provide safe, secure and affordable homes for their tenants. I look forward to our continued work together to ensure a smooth implementation of this transformative Act and seeing our vision of a fair and thriving PRS come to fruition.

Matthew Pennycook MP

Minister of State for Housing and Planning

Article first published in NRLA members' magazine, Property.

Photo credit: ©House of Commons