Rent Increases: The New Rules and Limits

The Renters’ Rights Act introduces a new, fairer framework for rent increases. These changes are designed to limit how often and by how much rent can be raised, while still allowing landlords to adjust rents in line with the market, provided they follow the correct process.

The aim is to protect tenants from unpredictable increases and to give landlords a clear, standardised procedure that’s legally robust.

• One rent increase per year:

  Landlords can now only increase rent once every 12 months. 

• Two months’ notice required:

  At least two months’ written notice must be given before the new rent takes effect.

• Use of Section 13 notice:

  The only valid way to increase rent under the new system is by serving a Section 13 notice, using the prescribed government form.

  • Rent review clauses in tenancy agreements will no longer be valid.

  • The notice must set out the proposed new rent and the date it will start.

• Tenants can challenge increases:

  Tenants have the right to refer any proposed increase to the First-tier Tribunal if they believe it is above the market rate. 

• Tribunal powers:

  The Tribunal can reduce rent to market value if it finds the proposed amount excessive, and in cases of hardship, can defer the increase by up to two months.

• Rent payments:

  Rent periods must be monthly or less, and landlords cannot require rent in advance beyond one month’s payment. Tenants may still choose to pay more voluntarily. 

For landlords, this reform is about clarity and compliance. The new system replaces informal or automatic rent reviews with a transparent, legally defined process.

For tenants, it brings predictability and fairness, allowing them to plan their finances and challenge unreasonable rent hikes without fear of eviction.

Ultimately, these measures encourage a more stable rental market, reducing disputes and the administrative burden of inconsistent rent review clauses.

• Familiarise yourself with the Section 13 rent increase notice and ensure you’re using the latest government version.

• Record when rent was last increased to comply with the 12-month rule.

• Provide at least two months’ notice before the proposed increase takes effect.

• Avoid informal rent changes, only the Section 13 process is legally valid.

• Keep evidence of local market rents to justify proposed increases if challenged.

1. Can landlords include rent review clauses in tenancy agreements?

No. Rent review clauses are no longer enforceable under the Renters’ Rights Act. All increases must be made via a Section 13 notice.

2. How much notice must be given before a rent increase?

At least two months’ written notice before the new rent applies.

3. How often can rent be increased?

Only once every 12 months, even if a new tenant moves in or the tenancy renews.

4. Can tenants refuse to pay the new rent?

Tenants must continue paying their current rent while challenging the increase at the First-tier Tribunal. If the Tribunal upholds the increase, they may need to backdate the difference. 

5. What happens if landlords raise rent informally?

Any increase made outside the Section 13 process will be invalid, and tenants will not be obliged to pay it.

The new rent increase rules bring structure and transparency to the process. Landlords retain the right to adjust rents, but within a clear framework, one increase per year, two months’ notice, and a standard government form.

Tenants, in turn, gain the security of knowing they can challenge unfair rises while continuing to rent without fear of eviction.