What are the new rules for landlords?

This article was last updated in January 2025.

It looks to be another ever-changing year for landlords, especially as the Renters’ Rights Bill will likely receive royal assent in 2025. So, what are the new rules for landlords? 

As well as understanding the basics of what is required from you as a landlord when you set up your property for renting out, you’ll need to know what the new regulations for landlords are.

What rules should you already know as a landlord? 

As a landlord, it’s important to stay up-to-date with the latest rules and regulations that affect your rental properties. Here are some of the new rules for landlords that you should know about in 2025:

Tenant Fees Act

The Tenant Fees Act came into effect on 1st June 2019 and prohibits landlords from charging certain fees to tenants. This includes fees for referencing, credit checks, and inventory checks. Landlords are also restricted from taking more than five weeks’ rent as a security deposit unless the annual rent exceeds £50,000.

Electrical Safety Standards

From 1st July 2020, landlords in England are required to have the electrical installations in their rental properties inspected and tested by a qualified electrician every five years. The inspection report must be provided to tenants within 28 days of the inspection and a copy must be kept by the landlord. With the five year cycle ending in 2025, it’s important to get booked in as early as possible to avoid missed deadlines.

Gas Safety Regulations

Landlords in England are required to have a Gas Safe registered engineer inspect their rental properties every 12 months to ensure that gas appliances, fittings and flues are safe to use. A copy of the Gas Safety Certificate must be provided to tenants within 28 days of the inspection and a copy must be kept by the landlord.

Right to Rent

Landlords in England are required to check the immigration status of their tenants to ensure that they have the right to rent a property in the UK. This applies to all tenants over the age of 18, regardless of whether they are named on the tenancy agreement. Failure to comply with these regulations can result in fines and even imprisonment.

The fines related to right to rent increased in February 2024. Fines for the first breach increased from £80 per lodger and £1,000 per occupier to up to £5,000 per lodger and £10,000 per occupier. Repeat breaches will now be fined up to £10,000 per lodger and up to £20,000 per occupier.

HMO Licensing

If you are renting out a property that is occupied by three or more tenants who are not members of the same household, you may need to obtain a House in Multiple Occupation (HMO) licence. Previously, licensing was only required for properties with three or more storeys and occupied by five or more tenants. New rules now include properties of one or two storeys. Here is the full HMO guidance from the UK government.

Following further amendments in April 2024, accountability changes to the HMO licensing have been made. Rather than just the immediate landlords being responsible, the superior landlords are also accountable for ensuring the property is licensed properly.

EPC Rating

Landlords are required to provide an Energy Performance Certificate (EPC) for their rental properties, which shows the energy efficiency rating of the property. From 1st April 2020, rental properties in England and Wales must have an EPC rating of at least E. Failure to comply with these regulations can result in fines of up to £4,000.

Smoke and Carbon Monoxide Alarms

Landlords in England are required to install smoke alarms on each floor of their rental properties and carbon monoxide alarms in any rooms that contain a solid fuel-burning appliance, such as a coal fire or wood-burning stove. These alarms must be tested and checked at the start of each tenancy.

What are the new rules for landlords? 

So if you’re feeling pretty confident with all the existing rules on the landlord checklist, make sure you’re up to date with all the new rules and adjustments which are listed below. 

Landlord licensing

Your local authorities are having more of a say over landlord conduct and tenant agreements. In particular landlord licensing.  

More local authorities are broadening their landlord licensing rules to include standard, single-tenancy buy-to-lets.

Traditionally, additional and selective licensing schemes have only applied to Houses in Multiple Occupation (HMOs).

However, you might find your local council requiring you to apply for a license in the near future. 

Minimum Energy Efficiency and EPC changes

Make sure you get on board with the government’s push toward net zero by 2050. This movement includes changes to rules on the Minimum Energy Efficiency Standard (MEES) for privately rented homes in England and Wales.

In 2024, the MEES was an Energy Performance Certificate (EPC) rating of ‘E’. However, be prepared for this to change to a higher rating. Properties with an ‘F’ or ‘G’ rating can’t legally be let.

From 2030, the minimum rating for existing properties will be C. Landlords with a lower rating will need to make changes between now and then to remain compliant. Check out our handy guide for tips and tricks to help improve your EPC rating.

The Renters’ Rights Bill

The Renters Reform Bill didn’t make it through before the change in the UK government in the 2024 general election. Labour are trying to introduce their own version of the bill, which is now titled Renters’ Rights Bill.

The bill is likely to receive royal assent in 2025. Most of the changes are similar to what was proposed in the Renters Reform Bill. We’ve listed the top changes you should take note of.

The end of section 21 evictions

Landlords won’t be able to end a tenancy for no reason. These types of evictions are currently called section 21 evictions and will be banned.

How can you end a tenancy instead?

You can still regain possession of your property. Landlords need to apply for possession of a property through section 8. 

You’ll need to prove why the tenancy can not continue with sufficient communication. Within the correspondence, you’ll have to prove reasonable time scales in place that give the tenant the chance to correct any wrongdoing.

The Bill also proposes to support landlords more. It sets out to offer more support for grounds for repossession over properties. This should make it easier for landlords who wish to sell or move into their rental properties. The bill looks to help landlords who are dealing with antisocial tenants or tenants in arrears.

All tenancies will be periodic

The Bill proposes to end fixed-term tenancies – with all tenancies instead becoming periodic from day one.

Tenants can give 2 months’ notice to the landlord at any time of the tenancy under the Renters Rights Bill. This includes immediately on day one.

No blanket tenant bans

As a landlord, you won’t be able to blanket ban tenants who claim benefits, or those wishing to rent with children.

A new landlord ombudsman and property portal

There’ll be a creation of a mandatory Private Renters Ombudsman.

As it stands, letting agents are required to belong to one of two ombudsman schemes but landlord membership is voluntary.

The Bill proposes a single ombudsman for all landlords, whether they use an agent or self-manage, and membership would be mandatory.

A new property portal would also be created, aimed at giving tenants more detailed information about a property before they commit to a tenancy.

Making Tax Digital

Although Making Tax Digital for landlords was due to come into force from April 2023, this has now been put back until 2026.

Landlords with an annual rental income of more than £50,000 will need to use Making Tax Digital from that point. This involves filing digital tax returns every quarter instead of annually.

Capital gains tax

Capital gains tax may be due if you decide to sell a rental property for more than you paid for it.

The tax-free allowance for capital gains tax reduced to £3,000 in April 2024.

Changes to electrical safety measures for rentals

In 2025, updates will be (if not already) applied to enhance electrical safety measures further. This will include

• Enhanced earthing requirements – aimed to prevent electric shocks
• Updated wiring standards – aim to improve safety and durability
• Advanced consumer units – must have better circuit protection features
• Compulsory surge protection devices – aims to protect against voltage spikes
• Smart technology integration – aimed to promote the use of smart meters

This could see some landlords paying more in capital gains tax if they decide to sell.

Even if you’re an experienced landlord, these updates may mean that you have to make adjustments. If you happen to have any more questions, you can always visit our advice page. Make sure you have your insurance policy set up from the get-go. Call us on 01788 818 600 to discuss your landlord insurance needs. Let us deal with your landlord contents insurance and buildings insurance so you can carry on with what matters.