The New Possession Mistakes That Trigger Renters’ Rights Act Fines

Renters' Rights Act Fines

Updated on June 26, 2026

Section 21 is Gone and Renters’ Rights Acts Fines Have Arrived

For most private landlords in England, 1 May 2026 is the date that changed everything. Section 21, the no-fault eviction notice that landlords have relied upon for nearly four decades, is gone. The Renters’ Rights Act 2025 is the biggest reform to renting in England for more than thirty years, and it came into force on 1 May 2026, bringing an end to Section 21 ‘no-fault’ evictions. What replaced it is a fundamentally different system, one where possession requires a legal reason, evidence to support it, and precise procedural compliance. Get it wrong, and the Renters’ Rights Act fines now in force are not trivial. 

This is not a situation where landlords can learn as they go. The enforcement framework is structured, funded, and operational. Understanding the new rules, including exactly which mistakes trigger Renters’ Rights Act fines, is now a baseline requirement for anyone letting residential property in England. 

If you are uncertain on the new rules and need to evict a tenant, it’s advisable to speak with our Tenant Eviction Solicitors.

What the Renters’ Rights Act Actually Changed 

The Renters’ Rights Act abolishes assured shorthold tenancies (ASTs) and ‘no-fault’ Section 21 evictions with them, and makes all short-term residential tenancies periodic, with a landlord only able to terminate them by citing a reason from an enhanced menu of grounds under Section 8 of the Housing Act 1988. 

In practical terms, this means every tenancy that existed as an AST on 1 May 2026 automatically converted to an Assured Periodic Tenancy (APT), a rolling, open-ended agreement with no fixed end date. Tenants can end the tenancy by giving two months’ notice, but landlords can end a tenancy only if they have a valid legal reason specified by law. 

All tenancies are now periodic assured tenancies and landlords must rely solely on Section 8 of the Housing Act 1988 to obtain possession by serving notice and making out one or more of the 37 specific grounds for possession set out in a revamped Schedule 2 to the Housing Act 1988. That is more than double the number of grounds previously available and each one comes with its own notice periods, preconditions, and evidentiary requirements. 

The Two-Tier Fine Structure: Breaches and Offences 

The Renters’ Rights Act fines operate on a two-tier model, and the distinction matters. 

The term ‘breach’ refers to non-compliance by landlords where the local authority may impose a civil penalty of up to £7,000 and there is no option to prosecute. The term ‘offence’ refers to non-compliance where a local authority may either prosecute or impose a civil penalty of up to £40,000. 

The maximum civil penalty rises to £40,000 for offences, including continuing or repeated breaches, and tenants can also apply for a rent repayment order of up to two years’ rent. Landlords face criminal prosecution with an unlimited fine as an alternative to civil penalties. 

A civil penalty under the Renters’ Rights Act does not require a court hearing to impose, councils may issue one directly. However, landlords and letting agents will have the right to make written representations before a penalty is finalised. If the penalty is not withdrawn following representations, the recipient may appeal to the First-tier Tribunal (Property Chamber), which has the power to confirm, vary or cancel the penalty. 

Crucially, local housing authorities are under a duty to take enforcement action and have been given enhanced investigative powers to assist them. The government announced additional funding of £41.12 million for local authorities to support their enforcement activities in April 2026, following £18.2 million provided in November 2025. This is not a passive regulatory regime. Councils are resourced and required to enforce. 

The Specific Mistakes That Trigger Renters’ Rights Act Fines 

1. Attempting to End a Tenancy Without a Valid Section 8 Notice 

Attempting to end a tenancy by any means other than the prescribed Form 3, whether orally, by serving a notice to quit, or by relying on a ground the landlord does not reasonably believe applies, will constitute a breach. Knowingly or recklessly misusing a possession ground, for example falsely claiming a family member intends to move in, is a criminal offence carrying a maximum civil penalty of £40,000 or, alternatively, prosecution with an unlimited fine. 

The statutory guidance puts this bluntly. Using a possession ground that the landlord “knew or should have known” could not be met attracts a penalty starting figure of £30,000. For a landlord who cuts corners or serves notice speculatively, the consequences are severe. 

Landlords must now serve a Section 8 notice using the new Form 3A. Using the old form, or any informal equivalent, will not suffice. 

2. Reletting During the 12-Month Restricted Period 

Two of the most commonly used new grounds, Ground 1 (landlord or family member intends to occupy) and Ground 1A (landlord intends to sell), come with a significant condition attached. If a landlord obtains possession under Ground 1 or Ground 1A, the landlord cannot offer the property for rent or licence for a period of 12 months from the date possession is obtained. The sanction for breach is a civil penalty of up to £40,000, with a starting point of £25,000. 

Reletting a property during the no-let period is marked at a starting figure of £25,000. That is not a theoretical number, it is the figure councils are directed to begin from before adjusting upwards or downwards based on aggravating or mitigating factors. 

3. Failing to Serve the Government Information Sheet 

This is the compliance mistake that has likely already caught out the most landlords. Landlords with existing tenancies that were ASTs on 1 May 2026 were required to send tenants the government Information Sheet by 31 May 2026. The penalty for not doing so is a civil penalty of up to £7,000. 

The Information Sheet is only valid when downloaded from the government page. Landlords must give the exact PDF found on the government website. Emailing or texting a link to the PDF is not valid service. 

Freedom of Information data reveals a concerning compliance gap: the government-issued Information Sheet was downloaded approximately 153,000 times in the four weeks following its March 2026 publication, yet an estimated 2.3 million private landlords are required to serve this document to eligible tenants. The numbers suggest a substantial portion of landlords may already be exposed. 

4. Advertising Without a Stated Rent or Inviting Rental Bidding 

The Renters’ Rights Act prohibits landlords and letting agents from advertising or offering a proposed rental property unless they state the specific rent sought, and any rental advertisement must contain details of the rent sought. Non-compliance can result in a civil penalty of up to £7,000 for a first offence or up to £40,000 for a second offence. 

The prohibition on rental bidding, inviting or accepting offers above the advertised rent, operates in the same space. A breach of the pre-tenancy payment rules can result in a civil penalty of up to £5,000 for a first offence. The fine can increase to £30,000 if another breach occurs within five years. 

5. Failing to Provide Written Tenancy Terms 

An amendment to the Housing Act 1988 (Section 16D) requires landlords to provide their tenants with written information before the tenancy agreement is signed. Failure to do so is a breach carrying a civil penalty of up to £7,000. More serious or repeated violations may trigger penalties of up to £40,000 or prosecution. 

How Councils Calculate the Fine 

The government guidance does not provide a single national fixed fine schedule. Instead, it includes illustrative starting-point penalty amounts that local authorities may adopt when building their own civil penalty policies. 

A local authority is able to impose fines on landlords, letting agents, or anyone acting on the landlord’s behalf. They need to be satisfied beyond reasonable doubt that a breach or offence has taken place before taking action. Local authorities must gather evidence and give notice that they will issue a fine. Landlords then have 28 days from the day the notice is issued to make written representations. 

The guidance allows councils to retain revenue from civil penalties to support further enforcement activity. This creates a self-funding model that did not exist with the same clarity before. Enforcement teams that once struggled with budget constraints may now be encouraged to act more frequently and more assertively. 

What Landlords Should Do Now 

“The eviction reforms are designed to strengthen tenant protections and increase scrutiny of landlords seeking possession. Landlords who attempt to circumvent the new rules or use possession grounds improperly may face substantial penalties. Careful planning and strict compliance with the legislation will be critical when seeking to recover possession of a rental property.” Raminder Uberoi, Managing Partner, Starck Uberoi Solicitors 

The advice is precise and worth following. With the abolition of no-fault evictions and the ability to obtain possession on an accelerated basis simply by serving notice gone, all claims for possession must now be supported with evidence in order to make out the ground or grounds being relied upon. As such it will be more important than ever that landlords maintain robust record-keeping processes. 

Practically, this means: 

  • Use the correct form. Landlords must now serve a Section 8 notice using the new Form 3A. There is no shortcut, and the wrong form will not protect against enforcement action. 
  • Only cite grounds you can substantiate. Landlords should familiarise themselves with the revised Section 8 grounds for possession. They should understand which possession grounds are mandatory and which are discretionary, and the evidence required for each. 
  • Observe the notice periods. Key changes include longer notice periods for landlord sale or occupation — four months, after a 12-month minimum tenancy — and stricter criteria for serious rent arrears: three months unpaid. 
  • Document everything. Rental payments should be accurately logged to prove non-payment. If the ground for possession is a property sale, you may need a solicitor’s letter as evidence. 
  • Do not relet after using Ground 1 or 1A without legal advice. The 12-month restricted period carries some of the highest starting-point penalties in the entire framework. 

The combination of higher civil penalties, a duty rather than a discretion for councils to enforce, tenant-led rent repayment orders, and the prospect of criminal prosecution means that non-compliance is no longer an affordable risk. For landlords and letting agents, the imperative is clear: understand your obligations in detail, act within them from day one, and keep documentation to demonstrate compliance. 

Our Offices

Our Brentford Solicitors, are located on the High Street in a grand three-story building, just a short distance from Brentford County Court. Our Belgravia solicitors are located Just a 5-minute walk from Victoria tube station in Grosvenor Gardens. Our Ealing solicitors are only a short walk from both Ealing Broadway and South Ealing and our Richmond Solicitors have the pleasure of overlooking the picturesque Richmond Green. Finally, our Solicitors in Canterbury are located in the within the UNESCO World Heritage Site of Canterbury Cathedral. Our partner, Raminder Uberoi, can also offer a Notary Public Service at any of our London offices. 

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What is the maximum Renters' Rights Act fine a landlord can receive?

Where a local authority determines that a landlord has committed an offence, they may either prosecute or impose a civil penalty of up to £40,000. In the most serious cases, criminal prosecution carries the potential for an unlimited fine. Civil penalties and rent repayment orders can also run simultaneously. 

No. Section 21 was abolished on 1 May 2026. If a notice was served before that date, a landlord could still use it to start court proceedings up to whichever date came first — six months after the notice was served, or 31 July 2026. After 31 July 2026, courts will not accept new Section 21 possession claims, and any unfiled notices will lapse.

 

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