How the Renters’ Rights Bill impacts private landlords

 

The landscape of renting in England is about to change dramatically. Under the impending Renters’ Rights Bill, the controversial Section 21 ‘no-fault’ eviction notice is being abolished – a move that will overhaul the way landlords regain possession of their properties and significantly increase tenant security. 

Here’s what landlords, agents, and tenants need to know. 

What is Section 21, and why is it being abolished? 

For decades, Section 21 of the Housing Act 1988 has allowed landlords to evict tenants without giving a reason, provided they followed certain rules in relation to notice and provision of information and documentation. Critics argue that, although the law had increased certain requirements which landlords needed to overcome, it still left renters vulnerable to sudden eviction. The concern was that unscrupulous landlords would utilise the Section 21 procedure against tenants who complained, requested repairs, or simply due to market rent increases. 

The Renters’ Rights Bill aims to rebalance the rental relationship by ending this “no-fault” mechanism and replacing it with a system based on valid, evidenced grounds for eviction. 

What’s changing under the new law? 

1. Section 21 notices abolished 

Landlords will no longer be able to evict tenants without cause. All evictions must be pursuant to Section 8 of the Housing Act 1988, often referred to as ‘fault grounds’ for the landlord to seek possession such as rent arrears or antisocial behaviour. 

2. End of fixed-term tenancies 

Traditional Assured Shorthold Tenancies (ASTs) – often issued for 6 or 12 months – will be phased out. All tenancies will become periodic, rolling month to month. This gives tenants the flexibility to leave with just two months’ notice and reduces the threat of non-renewal at the end of a fixed term. 

3. New eviction grounds and notice periods 

Section 8 grounds are being amended to include the following grounds for possession: 

Selling the property or the landlord wanting to live in the property: This is only applicable after the first 12 months of the tenancy and requires a 4-month notice period. 
Rent arrears: landlords must now show three months of arrears. The level of arrears is increased from the current two months presently required. The notice period for this ground is also increased from 2 to 4 weeks. 

4. No more accelerated possession process 

Previously, Section 21 allowed landlords to use a fast-track court process to regain possession without a hearing. That route will disappear with the abolishment of the Section 21. All evictions will now go through the courts. 

5. Applies to all tenancies 

Unlike earlier reforms, these changes will apply not just to new tenancies, but also to existing tenancies, ensuring the private rental sector transitions as a whole. 

What this means for landlords 

The end of Section 21 will mark the biggest change in landlord-tenant law in a generation. For landlords, this means: 

Tighter grounds for possession: A legitimate reason must now be given for all evictions. 
Reliance on Section 8: Landlords will need to understand the Section 8 process including correct notices and evidence. 
Likely delays: With increased notice periods and reliance upon the ‘fault’ grounds, grounds are open to be disputed and it is likely to take longer to recover possession of a property. 

There is concern in the sector that the court system may struggle to handle the increased volume of contested evictions, with landlord groups calling for reforms to court efficiency in parallel with the new law. 

When will the changes take effect? 

As of July 2025, the Renters’ Rights Bill is progressing through Parliament and is expected to receive Royal Assent in autumn 2025, with implementation likely to begin in early to mid-2026. A transition period is anticipated to help landlords and agents adapt. 

Final thoughts

For tenants, this bill provides for significantly increased security and peace of mind. For landlords, it represents a new era of regulation, evidence-based actions, and greater patience during possession claims. 

While the government insists the system will remain fair to responsible landlords, many in the sector are watching closely to see whether the courts can adapt – and whether landlords will remain confident in continuing to let their properties. 

Employment Law when buying an insolvent business

Employment Law when buying an insolvent business

 

It has been reported that Claire’s is due to call in administrators for its UK and Ireland business, putting around 2,150 jobs at risk. 

When a company becomes insolvent, one option is to sell it in whole or in part as a going concern. However, purchasing an insolvent business comes with unique legal and operational challenges, particularly in the area of employment law. 

TUPE and Insolvency

When buying an insolvent business, understanding obligations toward employees under the Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE) is crucial. While insolvency can modify TUPE’s application, employee rights are still largely protected.

Failure to manage employment risks properly can lead to significant liabilities and legal disputes after the acquisition.

How TUPE Works

Employees assigned to the business automatically transfer to the buyer on their existing terms and conditions.
Continuity of employment is preserved, even in insolvency cases.

Exceptions Under Insolvency

Regulation 8 provides exceptions where the company is in bankruptcy or similar proceedings aimed at liquidation; TUPE does not apply.
For businesses in administration or a Company Voluntary Arrangement (CVA), TUPE generally applies but may have modifications.

Modified TUPE Rules in Administration

When TUPE applies during administration, the buyer inherits employees, but certain liabilities can be limited.

Arrears of wages, holiday pay, and other debts may be covered by statutory schemes rather than the buyer.
There is greater flexibility to modify employee terms under relevant insolvency proceedings, but only within strict legal limits.

Pre and Post-Transfer Dismissals

Buyers must be cautious about dismissals around the time of transfer:

Dismissals solely due to the transfer are automatically unfair.
Valid Economic, Technical, or Organisational (ETO) reasons, such as redundancy, may justify changes.

Information and Consultation Obligations

Even during insolvency, employers must:

Inform and sometimes consult employee representatives about the transfer.
Failure to comply can result in protective awards up to 13 weeks’ gross pay per employee.

Liability can be joint and severable, meaning buyers could be responsible if the seller is no longer in existence.

 

Due Diligence and Risk Management

Thorough employment due diligence is essential when purchasing an insolvent business. Buyers should identify:

Transferring employees and their terms
Outstanding liabilities (e.g., unpaid wages, accrued holiday)
Pension obligations
Ongoing disputes or tribunal claims
Whether TUPE applies and under what conditions

Conclusion

Employment law can make or break the success of purchasing an insolvent business. Early legal advice, thorough due diligence, and a clear understanding of TUPE in insolvency contexts are essential to minimise risk and ensure a smooth transaction.

Associate

Gemma Durham