UK housing reforms usher in pivotal year for renters

The UK is entering one of the most consequential periods for housing regulation in decades as governments across the four nations advance reforms that will reshape the economics of renting, investment and development through 2025 and into 2026.

In England, the Renters’ Rights Act represents a structural shift in the private rented sector.
Phased implementation during 2026 will bring an end to “no-fault” evictions, transition most tenancies to rolling periodic agreements and limit rent increases to once a year with two months’ notice.

Landlords and agents will be barred from soliciting rental bids above the advertised level, while requirements on rent paid in advance will be capped. Tenants will gain an enhanced right to request pets, and a national landlord database and Ombudsman service are planned for late 2026, signalling closer regulatory oversight.

HOUSING SUPPLY

These changes coincide with a renewed push on housing supply. The Planning and Infrastructure Act, which received Royal Assent in December, is intended to streamline consent processes and strengthen land assembly powers in support of a target of up to 1.5mn new homes.

Market participants will be watching how far planning reform translates into delivered projects against constrained local authority capacity and higher financing costs.

Tax policy is also in flux. In England and Northern Ireland, updated stamp duty thresholds mean first-time buyers will pay Stamp Duty Land Tax above £300,000 (for properties worth up to £500,000), while the £125,000 threshold remains for other buyers, implying higher liabilities for some transactions.

DIVERGENT DISTRACTIONS

Devolved administrations are moving in parallel but divergent directions. Scotland is preparing rent control zones and enhanced homelessness prevention duties; Northern Ireland plans tougher intervention powers for derelict and unsafe buildings; and Wales is advancing building-safety reform alongside changes to homelessness support and social housing allocation.

Trade body Propertymark said the breadth of regulatory change highlights the need for landlords, investors and consumers to engage closely with qualified agents and advisers as the policy framework for UK housing is redefined.

DRAMATIC CHANGE

Nathan Emerson (main picture, inset), Chief Executive at Propertymark, says: “The housing landscape has changed dramatically in 2025. From new rights for renters to major planning reforms and stronger safety rules, it has never been more important to use a qualified professional when considering moving house.

 “It is positive to see new protections introduced to help safeguard those who may find themselves in a vulnerable position regarding housing, as well as see plans to increase the supply of sustainable housing and keep pace with ever growing demand right the way across the entire UK.”

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