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Transition to periodic tenancies

Historically, Assured Shorthold Tenancies (ASTs) have been the most common type of tenancy agreement in the private rented sector.

They typically offered landlords a high degree of flexibility, including the ability to regain possession of their property at the end of a fixed term or via a Section 21 notice—otherwise known as a “no-fault” eviction, which is set to be abolished.

Fixed-term tenancies will be replaced with periodic tenancies, which will enable tenants to stay in their home until they decide to end their tenancy. Tenants will now be required to give 2 months’ notice - this is extended from one month's notice if rent is paid monthly, or 4 weeks' if rent is paid weekly.

Key takeaways

What you need to know

  • ASTs will be phased out and replaced with periodic tenancies.
  • Tenants can leave with two months’ notice at any time.
  • Landlords will still be able to evict tenants, but must now specify grounds for ending a tenancy.

What's changing?

Under the Renters’ Rights Bill, all new tenancies will be periodic from the outset, effectively ending the use of fixed-term ASTs.

What this means

  • Tenancies will roll on a month-to-month basis (or week-to-week, depending on how rent is paid).
  • There will be no automatic end date to a tenancy.
  • Tenants will be able to leave with two months’ notice at any time.
  • Landlords will still be able to end a tenancy, but will now have to specify legal grounds for doing so. 

Why is this changing?

The government’s aim is to create a more balanced and secure rental market. By removing fixed terms and “no-fault” evictions, tenants gain greater housing stability, while landlords retain the right to regain possession under fair and transparent conditions.

This change is designed to

  • Reduce the risk of sudden displacement for tenants.
  • Encourage longer-term tenancies.
  • Improve tenant confidence in asserting their rights (e.g. requesting repairs) without fear of retaliatory eviction.


 

What this means for landlords

Landlords will need to adjust their letting practices, but crucially, it will still be possible to regain possession of a property. The Renters’ Rights Bill simply means the process is changing.

Under the new legislation

  • No more fixed-term contracts: all agreements will be open-ended until notice is given by the tenant or landlord. 
  • Clear documentation: tenancy agreements must reflect the new periodic structure.
  • Understanding possession grounds: landlords must be familiar with the updated legal grounds for ending a tenancy, such as selling the property or tenant misconduct.

Got a question about your rental property?

If you have any questions for our team about the Renters' Rights Bill and what it means for you as a landlord, please contact your nearest lettings branch or fill in your details below and we'll get back to you. 

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