Section 21 Abolished: What Renters Reform Means for You in 2026

The abolition of Section 21 -- the so-called "no-fault eviction" -- is one of the most significant changes to private rented sector law in a generation. After years of debate and multiple false starts, the Renters (Reform) Act has reshaped the landscape for both tenants and landlords in England. Here is what you need to know in 2026.

What Was Section 21?

Section 21 of the Housing Act 1988 allowed landlords to end an assured shorthold tenancy (AST) without giving any reason, provided they gave at least two months written notice. It was widely used to remove tenants at the end of a fixed term, and critics argued it created deep insecurity for renters -- who could face eviction even if they had paid rent on time and maintained the property perfectly.

Campaigners had called for its abolition for many years. The Conservative government promised to act in 2019, the Renters (Reform) Bill was introduced in 2023, and the incoming Labour government completed the process through the Renters (Reform) Act.

What Has Changed?

No More No-Fault Evictions

Section 21 notices are now illegal. A landlord who wants to end a tenancy must use Section 8 and cite one of the legal grounds set out in Schedule 2 of the Housing Act.

Open-Ended Tenancies Only

Fixed-term assured shorthold tenancies no longer exist for new lets. All new tenancies are open-ended periodic tenancies -- meaning they roll on month to month (or week to week if rent is paid weekly) indefinitely until either party ends them.

Existing fixed-term tenancies that were in place before the commencement date converted to periodic tenancies automatically.

New Section 8 Grounds

The Section 8 framework has been updated with new mandatory and discretionary grounds to give landlords legitimate routes to regain possession:

Mandatory grounds (court must grant possession):

• Ground 1A: Landlord intends to sell the property (must give four months notice, cannot use within first 12 months of tenancy)
• Ground 1B: Landlord or close family member intends to move into the property (same conditions as 1A)
• Ground 8: Tenant has rent arrears of three months or more at both notice and court hearing

Discretionary grounds (court may grant possession):

• Persistent rent arrears below the three-month threshold
• Anti-social behaviour
• Property damage or deterioration

For Grounds 1A and 1B (sale or occupation), landlords must wait 12 months before using them and cannot re-let the property within three months of eviction if possession was granted on these grounds -- a protection against bad-faith evictions.

Rent Increase Rules

Under the new regime, rent can only be increased once every 12 months. Landlords must use the official Section 13 notice and give two months notice before any increase takes effect.

Tenants who believe a proposed increase is above market rent can refer the matter to the First-tier Tribunal (Property Chamber). The Tribunal will assess the open market rent and can confirm, reduce, or (in theory) increase the proposed rent -- though it cannot go higher than the landlord's proposed figure.

What landlords cannot do is include a rent review clause in the tenancy agreement that overrides Section 13. Such clauses are now void.

The Decent Homes Standard

For the first time, the Decent Homes Standard applies to the private rented sector. Properties must:

• Be structurally stable and free from serious disrepair
• Be free from category 1 hazards under the Housing Health and Safety Rating System
• Have modern kitchen and bathroom facilities
• Have effective insulation and heating

Local housing authorities can inspect properties and issue improvement notices. Landlords who fail to comply face civil penalties of up to GBP 40,000 for serious breaches, and a new landlord ombudsman handles complaints from tenants.

The Private Rented Sector Database

All landlords in England must now register on the new Private Rented Sector (PRS) database before marketing or letting a property. The database includes information about the property, the landlord, and compliance with legal requirements.

Failure to register is a civil offence. Tenants can check the database to verify their landlord's registration status, and councils use it to target enforcement at non-compliant landlords.

What Does This Mean for Landlords?

Landlords retain the right to end tenancies -- it simply requires a valid ground and proper process. For landlords who need to sell or move back in, the new grounds provide a clear legal route. For those dealing with problematic tenants, the Section 8 process remains, with courts required to grant possession when mandatory grounds are met.

The key adjustment is timeline: Section 8 possession proceedings through the courts take longer than serving a Section 21 notice, and court capacity remains a challenge. The government has committed to improving court infrastructure for possession claims, but this is ongoing.

What Does This Mean for Tenants?

Greater security is the headline benefit. Tenants in good standing -- paying rent, not causing problems -- can no longer be evicted without genuine reason. This removes the fear that requesting a repair or complaining about conditions could trigger a retaliatory Section 21 notice.

The two-month notice to end a tenancy that tenants can give at any point (after six months) means tenants also retain full flexibility to move when it suits them.

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Whether you are a tenant budgeting for the long term or a landlord reassessing your property portfolio, understanding your income and outgoings is essential. Use the CalcHub take-home pay calculator to model your monthly net income and see how housing costs fit into your overall financial picture.