Renters' Rights Bill: Lords Report Stage Kicks Off – What Property Professionals Need to Know

The much-debated Renters' Rights Bill has officially entered its Report Stage in the House of Lords, marking a significant step in its journey to becoming law. This initial day of debate, which took place on Tuesday, 1st July 2025, saw Peers meticulously scrutinising various aspects of the Bill and proposing a raft of amendments. For landlords, letting agents, and indeed, all property stakeholders, understanding these developments is crucial.
The Bill, which aims to abolish fixed term assured tenancies and assured shorthold tenancies, alongside imposing new obligations on landlords, has been a central topic of discussion within the property industry for months. The Report Stage provides a further opportunity for Lords to propose changes, building upon discussions held during the Committee Stage, which concluded in May.

Key areas of contention and proposed amendments from day one of the Report Stage revolved around several critical issues:

Fixed-Term Tenancies: A prominent point of debate remains the abolition of fixed-term tenancies. While the government's stance is firm on moving towards periodic tenancies, some Peers, including Lord Hacking, passionately argued for allowing landlords and tenants to mutually agree to fixed terms if they wish. Proponents of fixed terms highlight the stability and certainty they can offer to both parties, and polling data even suggests a majority of tenants and landlords favour them. The government, however, believes that with the removal of Section 21, the primary advantage of fixed terms for tenants – respite from arbitrary eviction – will be eliminated, thereby reducing their necessity.

Rent Increases and Tribunals: The Bill's provisions regarding rent increases and the role of tribunals also drew considerable attention. Concerns were raised that the current drafting could incentivise tenants to appeal rent increases unnecessarily, as tribunals can only revise rents downwards or uphold the landlord's proposal, but never increase it beyond the initial offer. This "nothing to lose" scenario, as highlighted by Lord Jamieson, could potentially overwhelm the tribunal system, which is already under pressure. Amendments were proposed to address this imbalance, suggesting that tribunals should have the power to revise rents upwards as well as downwards, and to introduce pre-appeal assessment processes to filter out unsubstantiated claims.

Student Accommodation: The unique nature of the student rental market was another significant point of discussion. Industry bodies like SAPRS (Student Accredited Private Rental Sector) and others have expressed grave concerns that the Bill's proposed changes, particularly the ban on fixed-term tenancies, could exacerbate the existing crisis in student housing availability and affordability. Amendments were put forward to allow student tenancies to remain as fixed terms, providing the necessary certainty for both students and landlords in this sector.

Pet Deposits and Damage: The Bill's approach to pets also saw proposed changes. While the government aims to give tenants strengthened rights to request pets, with landlords unable to unreasonably refuse, initial proposals for landlords to require pet insurance were removed. Consequently, amendments were tabled to introduce an additional pet damage deposit, aiming to address landlords' concerns about potential damage and the limitations imposed by the Tenant Fees Act 2019 on deposit caps.

Enforcement and Penalties: Discussions also touched upon the enforcement of the new regulations and the penalties for non-compliance. While the Bill is expected to introduce higher costs and risks for landlords, with civil penalties potentially rising significantly, amendments have been proposed to limit the maximum financial penalties local housing authorities can impose.

Speaking on the ongoing developments, Richard Cleaver, Head of Residential at Shouler & Son, shared their perspective: "The Renters' Rights Bill is undoubtedly one of the most transformative pieces of legislation to impact the private rented sector in recent memory. While the underlying aim of improving conditions for tenants is commendable, it's vital that the practical implications for landlords and the wider housing market are thoroughly considered. The debates in the Lords highlight the complexity of balancing tenant protection with the need to ensure a viable and attractive environment for property investment. We are closely monitoring the proposed amendments, particularly those concerning fixed-term tenancies, the functionality of the tribunal system, and the specific needs of the student housing sector. Our advice to landlords remains consistent: stay informed, review your current practices, and seek professional guidance to ensure you are well-prepared for these impending changes. Our goal at Shoulers is to help you navigate this evolving landscape with confidence, ensuring compliance while protecting your investments."
  The Bill's journey through the House of Lords continues, with further Report Stage sessions scheduled for Monday, 7th July, and Tuesday, 15th July. It appears increasingly unlikely that the Bill will receive Royal Assent before the summer recess, meaning it may not become law until the autumn, with implementation likely towards the end of this year or early 2026. The coming weeks will be critical in shaping the final form of this landmark legislation.