What is Assured Shorthold Tenancy (AST)?

Full Definition

An assured shorthold tenancy (AST) is the standard legal form taken by the great majority of private residential lettings in England and Wales since it became the default tenancy type under the Housing Act 1988 (as amended in 1996). A tenancy is automatically an AST if the property is let as the tenant's main home, the landlord does not also live in the property, and the rent falls within statutory limits, unless the parties specifically agree a different, less common tenancy type (such as an assured tenancy without shorthold status, a company let, or a licence arrangement for a genuinely shared living situation). Most ASTs begin with a fixed term, commonly six or twelve months, after which -- if neither party ends the tenancy -- it typically continues as a "statutory periodic tenancy" on the same terms, rolling on a period-to-period basis (usually month to month, matching the rent payment interval) until either party gives valid notice. The defining feature of an AST, distinguishing it from an assured tenancy, is that the landlord can recover possession using the no-fault Section 21 procedure once any fixed term has ended (or, under reforms proposed to abolish Section 21, only using fault-based Section 8 grounds), without needing to prove the tenant did anything wrong, provided the correct notice period and prescribed information requirements (protecting the deposit, providing an EPC, gas safety certificate, and the government's "How to Rent" guide) have all been met. A landlord can also use Section 8 at any point, including during a fixed term, if the tenant breaches one of the specified statutory grounds, such as serious rent arrears or anti-social behaviour, some of which are mandatory (the court must grant possession if proved) and others discretionary (the court weighs reasonableness). Worked example: a tenant signs a 12-month AST at £1,200 a month; if neither party acts at the end of the fixed term, the tenancy automatically becomes a monthly statutory periodic tenancy on the same rent and terms, and the landlord wishing to regain possession must then serve a valid Section 21 notice (where still available) giving at least two months' notice, or rely on an applicable Section 8 ground if there has been a breach such as arrears. Reforms proposed under the Renters' Rights Act would abolish fixed-term ASTs and Section 21 entirely, moving all tenancies onto a single, open-ended periodic tenancy with possession available only through expanded Section 8 grounds -- a change landlords and tenants should watch for as it is phased in.

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