Rent Increases, Bidding Bans & Rent in Advance Rules
From 1 May 2026, rent can only be increased once per year, bidding wars are banned and rent in advance is restricted to one month. Landlords must review their rent strategy and marketing practices before the new rules take effect.
Book a Rental ValuationThe Three Key Changes
Rent Increases — Once Per Year
Rent can only be raised once a year using the statutory Section 13 process. Informal increases or contractual shortcuts are no longer effective. Tenants can challenge increases they consider unfair at the First-tier Tribunal.
Rental Bidding Wars Banned
Landlords and agents must not invite, encourage or accept offers above the advertised rent. The advertised rent is the maximum lawful rent. Casual wording or "best offers" discussions can create compliance issues.
Rent in Advance — One Month Maximum
Landlords cannot require more than one month's rent upfront. Large advance payments used to screen tenants are prohibited. Existing payment workflows may need to be updated before 1 May 2026.
How the Section 13 Rent Increase Process Works
From 1 May 2026, all rent increases must follow the statutory Section 13 process. This means landlords must serve a formal notice on the tenant proposing the new rent. The tenant then has the right to challenge the proposed increase at the First-tier Tribunal if they consider it excessive.
Serve a Section 13 Notice
The notice must be in the prescribed form and must give the tenant at least one month's notice of the proposed increase. The new rent cannot take effect until the notice period has expired.
One Increase Per Year
Rent can only be increased once in any 12-month period. Landlords cannot serve multiple notices in quick succession to achieve a larger increase.
Tenant Can Challenge
If the tenant considers the proposed increase excessive, they can apply to the First-tier Tribunal to determine the market rent. The Tribunal will set the rent at the open market rate.
Plan Ahead
Landlords who set rents below market rate and then try to increase them informally will find this no longer works. Rent strategy must be right from the outset.
How Managed Lettings Helps
Rent strategy and increases handled correctly
Our managed lettings service handles rent reviews, Section 13 notices and all aspects of rent management in full compliance with the new rules. We ensure rents are set correctly from the outset and increases are processed using the correct statutory process.
View managed lettingsFrequently Asked Questions
Can I include a rent review clause in the tenancy agreement?
No. Contractual rent review clauses are no longer effective under the Renters' Rights Act. All rent increases must follow the statutory Section 13 process, regardless of what the tenancy agreement says.
What if I want to increase rent more than once a year?
You cannot. The Renters' Rights Act limits rent increases to once per year. If you try to increase rent more frequently, the increase will not be effective and the tenant can challenge it.
Can a tenant refuse a rent increase?
A tenant can challenge a proposed rent increase at the First-tier Tribunal. The Tribunal will set the rent at the open market rate. If the proposed increase is at or below market rate, the Tribunal is likely to uphold it.
What is the penalty for accepting more than one month's rent in advance?
Accepting more than one month's rent in advance from 1 May 2026 may constitute a breach of the Renters' Rights Act. Landlords should update their payment processes before the new rules take effect.
Book a Rental Valuation
Tell us about your property and we will explain how our managed service handles rent increases under the new rules.
Prefer to call? 01244 757352