What You Need to Know About the Renters Reform Bill

Renters Reform Bill Progresses: Key Considerations for Landlords in Prime Central London

The Government’s long-anticipated Renters Reform Bill is now entering its final legislative stages and is widely expected to receive Royal Assent this autumn. However, it’s important to note that not all measures will be implemented immediately.

While core reforms including changes to tenancy structures and possession processes may begin to take effect later this year, more technical and administratively complex components (such as the landlord and agent database and Decent Homes Standard) are now forecast to follow in 2026 or 2027, according to guidance from Propertymark.

At Hanover Residential, we’re closely monitoring developments to ensure our landlords remain fully informed and strategically positioned ahead of regulatory changes. Below, we outline key steps landlords may wish to consider now.

1. Strategic Conversations with Your Lettings Advisor

The proposed legislation introduces greater regulatory oversight and cost implications that may impact landlord operations particularly in multi-let properties and student accommodation. Specific considerations include:

Extended void periods in niche markets
Longer possession timelines, particularly where legal proceedings are involved
Restrictions around advance rental payments prior to tenancy commencement
Introduction of new registration and compliance costs

Significantly, civil penalties for non-compliance will be extended, with fines ranging from £7,000 for first offences to £40,000 for serious or repeat breaches and the most severe cases potentially subject to criminal prosecution.

We strongly recommend engaging with your lettings consultant to review your portfolio strategy and risk profile in light of these potential developments.

2.Assessing Property Standards Ahead of Regulation

The anticipated extension of the Decent Homes Standard into the private rental sector will raise the bar for minimum property conditions. While final criteria are pending, early indicators suggest the following requirements:

Properties to be in a sound state of repair
Reasonable levels of thermal comfort and energy performance
Kitchens less than 20 years old, bathrooms under 30
Free from hazards such as mould, structural issues, or gas safety concerns

For clients with legacy assets or older conversions in central London, it may be prudent to begin reviewing specifications and capital improvement plans.

3.Internal Process Review and Compliance Preparation

For managing agents, process updates and team training will be key to maintaining compliance under the new framework. At Hanover Residential, our teams are already engaging with specialist training programmes to ensure we remain ahead of legislative change and to provide our clients with best-in-class advisory support throughout.

If you are a landlord with holdings in Prime Central London, we invite you to speak with your dedicated Hanover advisor to discuss what the Renters Reform Bill could mean for your portfolio. Our role is to ensure you remain compliant, protected, and well-positioned in a shifting regulatory landscape without disruption to long-term asset performance.