What the Renters’ Rights Act Means for Sheffield Landlords and Tenants

Written By:
Jamal Khan
January 5, 2026

Introduction

The Renters’ Rights Act has now been passed and represents one of the most significant reforms to the private rented sector in a generation. While many of the key changes will be implemented from May 2026 onwards, the direction of travel is now clear. At Highgates we are committed to helping Sheffield landlords and tenants understand how these changes will affect the local rental market, what they mean in practice, and how both sides can prepare.

1. A New Tenancy Framework: Periodic Tenancies

Under the Renters’ Rights Act, the familiar fixed-term assured shorthold tenancy (AST) will be replaced with assured periodic tenancies for both new and existing agreements. This means tenancies will not have a set end date. Tenants will be able to stay in their home as long as they want, provided they give two months’ notice when they decide to leave. This offers renters greater security and flexibility, and it changes how landlords plan and manage their properties.

For landlords, there can be uncertainty around when a tenancy might end, however we can help you understand how this might work for your portfolio, manage expectations, and steps to encourage longer-term tenancies.  

2. No Fault Evictions Are Ending

Perhaps the most talked-about reform is the abolition of Section 21 “no-fault” evictions as we know them today. From May 2026, landlords will no longer be able to serve a Section 21 notice to end a tenancy without a clear reason. Instead, landlords must rely on reformed Section 8 grounds for possession, which will still allow them to regain their property for valid reasons such as rent arrears, anti-social behaviour, or needing to sell the home.

This change is intended to give tenants more stability while still providing landlords with a clear legal framework to recover their property when genuinely needed. Understanding these new grounds and how they apply is something we can guide you through.

3. Rent Increases and Bidding Practices

The Act also introduces new rules around rent increases and how properties are marketed:

  • Rent increases are limited to once per year and must be served with at least two months’ notice. Tenants will have the right to challenge a rent increase at the First-tier Tribunal if they believe it is above the local market rate.
  • Bidding wars for rent will no longer be permitted. Landlords and agents must list a clear asking rent and cannot encourage offers above that price. This is designed to make the process fairer and more transparent for renters.

If you are a landlord, we can help you set rents that are both compliant and competitive in Sheffield’s market.

4. New Protections Around Discrimination and Pets

The Renters’ Rights Act also expands protections for renters:

  • Discrimination against tenants because they have children or receive benefits is prohibited. Landlords and agents must treat inquiries and applications fairly.

Tenants have the right to request permission to keep pets, and landlords must consider these requests within a reasonable timeframe set out in the legislation, providing a reasoned response if they refuse.

These changes reflect a broader shift toward fairness and inclusivity in lettings, and we can advise on how best to approach tenant requests within the new legal framework.

5. Enforcement and Support Systems

Future phases of the legislation will introduce a Private Rented Sector database and a Landlord Ombudsman to streamline dispute resolution and transparency. These bodies will help tenants make informed choices and support landlords in demonstrating compliance.

6. Decent Homes Standard and Awaab's Law

Later phases of the Renters’ Rights Act will also introduce minimum property quality standards to the private rented sector. This includes plans to extend the Decent Homes Standard and Awaab’s Law to privately rented properties, subject to further consultation and longer implementation timelines. These changes will focus on improving conditions, addressing serious hazards such as damp and mould, and raising overall housing standards.

We are closely following these developments and can help you prepare for ongoing changes as they come into force.

Conclusion

The Renters’ Rights Act brings substantial reforms that affect both landlords and tenants in Sheffield. Greater tenancy security from May 2026 onwards, new rules on rent, marketing, and eviction, and updated protections for renters are all part of a rental market that aims to be fairer and more transparent. With our guidance, you can navigate these changes confidently, whether you are letting out property or renting for the first time.

Take the first step towards understanding how these reforms affect you. Contact us today for personalised advice or a free property valuation to make informed decisions in the changing rental landscape.