Renting in 2025: What You Need to Know

If you are considering renting out a property, or becoming a tenant, 2025 has some pivotal industry changes you should be aware of. In this article, we have gathered a list of important updates that will continue to shape the UK rental market throughout the year.

2025 Rental Updates for Tenants

2024 was a turbulent year for tenants with demand outweighing supply. Average UK rent prices also rose by an average of 9.1% meaning some renters were simply outpriced away from certain locations. Despite the challenges that many faced, 2025 is set to offer a slight reprieve for those who rent properties, with the main changes as follows:

The Renters’ Rights Bill

Although currently under government review, this bill is predicted to become law by the end of the year. The main goal of the bill is to create a fairer market in which issues such as bidding wars are eliminated. Other changes will also include more rights for tenants to keep pets, improved protection against discrimination, and the abolition of no-fault evictions.

Improved Property Standards

New and existing laws will be released that require all private sector properties to meet certain health and safety standards. Covering issues such as mould prevention and deterioration of homes, this law will ensure any issues are rapidly resolved.

Rent Repayment Orders

As of 2025, renters also have new rights relating to support if they have been unlawfully evicted. This is designed to help tenants regain control of their finances and allow balances to be settled so that future tenancies are not withheld.

2025 Rental Updates for Landlords

With tenants now receiving more rights, landlords must work harder to ensure relevant laws and standards are being adhered to. Some of the other changes impacting them are as follows:

Restrictions on Rent Increases

As of 2025, all rent changes must be made in line with local activity with a minimum of two months notice being provided before changes take place.

Stamp Duty Changes

Although it is expected that more rental properties will hit the market this year, stamp duty changes may hinder the expansion of portfolios for some landlords. This is because the recent 2% rise in stamp duty has been introduced for buy-to-let investments and second homes.

Energy Reforms

Landlords will need to make adaptations to ensure their properties have at least a level C rating on Energy Performance Certificates by 2030. This means work needs to start now to ensure homes meet these strict standards.

2025 Rental Updates That Impact Both Landlords and Tenants

New Database for Rental Industry

In order to ensure both tenants and landlords are given access to important information relating to their contract, a new database has been launched to offer support. This will also be accessible by local councils to ensure both the public and private sector is balanced.

Introduction of Periodic Tenancies

Fixed-term assured shorthold tenancies will be replaced with periodic tenancies. This is designed to offer all parties more protection should changes need to be made to agreements.

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