Landlords are facing growing enforcement risks as local authorities and tenants make greater use of financial penalties and rent repayment claims, industry leaders have warned.
Discussion at the recent National Landlord Investment Show in London highlighted a shift in how housing regulation is being applied, with enforcement becoming more frequent and financially significant as the sector prepares for the Renters’ Rights Act.
Two mechanisms in particular are now being used more widely: Rent Repayment Orders (RROs) and civil penalties issued by councils. Both are increasingly being deployed as standard enforcement tools rather than as measures of last resort.
RROs allow tenants to reclaim rent where landlords have failed to meet legal requirements, most commonly around licensing.
RISE IN CLAIMS
Industry speakers noted a rise in claims, driven by greater tenant awareness and the growth of no-win, no-fee firms supporting applications. In shared properties, multiple tenants can bring claims simultaneously, increasing the financial exposure for landlords.
At the same time, local authorities are making greater use of civil penalties in place of prosecution. These can be issued more quickly and with a lower evidential burden, enabling councils to act faster against non-compliance. Fines can be substantial and may escalate in cases of repeat breaches.
DISPROPORTIONATE IMPACT
The changing enforcement landscape is expected to disproportionately impact self-managing landlords and those less familiar with evolving legal requirements. Assumptions that minor breaches will not lead to serious consequences are increasingly being challenged.
Approaches to enforcement also vary between local authorities, with some allowing time for remediation while others move directly to financial penalties. This inconsistency is adding to the complexity for landlords operating across different areas.
RENTERS’ RIGHTS ACT
The renewed focus on enforcement comes ahead of further regulatory change under the Renters’ Rights Act, which is set to reshape tenancy structures and strengthen tenant protections across the private rented sector.
Industry bodies are urging landlords to review compliance processes and seek updated guidance as the regulatory environment tightens, with further education initiatives planned in the coming months to support the transition.
The next National Landlord Investment Show takes place in Southampton F.C at St Mary’s on 14th April 2026.
Tickets and more information HERE.
KEY HIGHLIGHTS
- Renters’ Rights Act Training: Prepare Now, Avoid Costs Later by Susie Crolla (Managing Director, Guild of Letting and Management)
- Getting RRA Ready: Preparing for the New Tenancy Framework led by Anna Hughes and Carly Jermyn from Woodstock Legal Services
- Biggest Landlord Challenges of 2026 (and how to overcome them): Panel featuring Kate Faulkner OBE
- Portfolio Growth and Defence in the New World. What’s your strategy for 2026? led by Leaders
- Landlord Tax Planning in 2026: Sean Hughes from Comprehensive Tax Planning
- Making Tax Digital for Income Tax – Get Ready: led by Dominick Riley, (HMRC Making Tax Digital Policy Lead)
