The Renters' Rights Act 2026 has abolished fixed-term Assured Shorthold Tenancies (ASTs). All new residential tenancies in England are now periodic — rolling month-to-month — from the very first day. For landlords accustomed to the certainty of a fixed term, this is a significant shift. Understanding how periodic tenancies work in practice is essential for managing your property and your tenants effectively.
What Is a Periodic Tenancy?
A periodic tenancy rolls from one rent period to the next — typically month to month if rent is paid monthly. There is no end date. The tenancy continues indefinitely until either the landlord or the tenant serves a valid notice to end it. Under the Renters' Rights Act, all new tenancies are periodic from the outset. There is no longer a fixed initial term.
Contractual vs Statutory Periodic Tenancies
Before the Act, periodic tenancies arose in two ways. A contractual periodic tenancy was written into the original agreement. A statutory periodic tenancy arose automatically under Section 5 of the Housing Act 1988 when a fixed-term AST expired without renewal. Under the new regime, the distinction is less relevant — all tenancies are periodic from day one. However, the terms of the original tenancy agreement continue to apply throughout the periodic tenancy.
How Tenants End a Periodic Tenancy
Tenants must give at least two months' written notice to end a periodic tenancy. The notice must be in writing and must expire on the last day of a rent period. For example, if rent is due on the 1st of each month, the notice must expire on the last day of a month. Tenants cannot be required to give more than two months' notice — any clause in the tenancy agreement requiring a longer notice period from the tenant is unenforceable.
How Landlords End a Periodic Tenancy
Landlords cannot end a periodic tenancy simply because they want the property back. Section 21 no-fault evictions are abolished. To recover possession, you must serve a Section 8 notice citing a valid statutory ground. The most commonly used grounds are: Ground 1A (selling — 2 months' notice, 12 months' ownership required); Ground 1 (moving family in — 2 months' notice); Ground 8 (rent arrears of at least 3 months — 4 weeks' notice); and Ground 14 (anti-social behaviour — immediate notice).
There is no minimum period before a landlord can serve a Section 8 notice — but Ground 1A (selling) requires 12 months of ownership. For all other grounds, the relevant facts must exist at the time of service.
Rent Increases in a Periodic Tenancy
You can only increase rent once per year. Increases must be notified via a formal Section 13 notice with at least two months' written warning. The notice must specify the new rent and the date it takes effect. Tenants have the right to challenge the increase at the First-tier Tribunal if they believe it exceeds the open market rent. You cannot increase rent by agreement outside the Section 13 process — any informal agreement to increase rent is unenforceable.
Deposit Protection in a Periodic Tenancy
The tenancy deposit must remain protected in a government-backed scheme throughout the tenancy. You do not need to re-protect the deposit when the tenancy transitions to periodic — provided the scheme, the parties, and the property remain the same. However, if you change scheme provider, you must re-protect and re-serve the Prescribed Information. At the end of the tenancy, the deposit must be returned within 10 days of agreement on deductions, or the dispute referred to the scheme's adjudication service.
Practical Tips for Managing Periodic Tenancies
The shift to periodic tenancies changes the rhythm of property management. Tenant retention becomes more valuable — a good long-term tenant is worth more than the flexibility of a fixed term. Conduct annual property inspections, respond to maintenance requests promptly, and communicate clearly about any planned rent increases well in advance of the Section 13 notice deadline.