renters rights act

Banned Tenancy Clauses: What Landlords Can No Longer Include in Agreements

Which tenancy clauses no longer work in England since the Renters' Rights Act 2025 took effect on 1 May 2026 (fixed terms, no-pets, no-DSS, rent review and fee clauses), with the statute and the penalty behind each one.

LT
LandlordReady Team
··Last reviewed ·8 min read
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Which tenancy clauses are banned under the Renters' Rights Act?

Since 1 May 2026, several common clauses no longer work in private assured tenancies in England: fixed terms, blanket "no pets" rules, "no children" and "no DSS" terms, automatic rent rises, and any notice period for the tenant longer than two months. Most of these clauses are simply of no effect. Trying to let on a fixed term, or discriminating against families or benefit claimants, is a breach with a civil penalty of up to £7,000, rising to £40,000 for repeat offences.

Some of these rules come from the Renters' Rights Act 2025, which amends the Housing Act 1988. Others, such as the limits on fees, deposits and insurance, come from the Tenant Fees Act 2019, which has applied since 2019. Both apply to England.

1 May 2026

The clause-by-clause table

ClauseWhat the law does to itPenalty exposureSource
Fixed term, or any minimum term (e.g. "12 months")Of no effect. The tenancy runs as a periodic tenancyTrying to let for a fixed term is a breach: up to £7,000 (GOV.UK starting point £4,000)HA 1988 s4A, s16E(1)(a)
Landlord break clause, or ending the tenancy by notice to quit or verballyA landlord's notice to quit has no effect. Possession needs a Section 8 groundTrying to end by notice to quit or verbally is a breach: up to £7,000 (starting point £6,000)HA 1988 s16E(1)(b)–(c)
Tenant must give more than two months' notice, or find a replacement tenantDoes not bind. The tenant can leave on two months' notice, or less if you agree in writingNone specific: the clause simply failsPEA 1977 s5(1ZA)
Automatic or index-linked rent riseNo longer raises the rent. Only a Section 13 notice on Form 4A canNone specific: the increase is unenforceableHA 1988 s13
Blanket "no pets"Overridden by an implied term: the tenant can ask, and you must reply in writing within 28 days and not refuse unreasonablyNone in the civil penalty guidanceHA 1988 s16A
Tenant must buy pet or other insuranceProhibited: a landlord cannot require a tenant to take out insurance with a third partyTenant Fees Act penalty up to £5,000; up to £30,000 for a repeat within five yearsTFA 2019 s1(3), s8
"No children" or "No DSS / benefits"Terms in tenancies, superior leases and mortgages barring children or benefit claimants have no effectDiscrimination in letting is a breach: up to £7,000 per breachGOV.UK discrimination guidance
Rent in advance of more than one month, or required before signingProhibited: at most one month's rent, and only after the agreement is signedSee our rent in advance guideGuide to the RRA
Deposit above 5 weeks' rent (6 weeks if annual rent is £50,000 or more); holding deposit above 1 weekNot a permitted payment; the term does not bind the tenantUp to £5,000; up to £30,000 for a repeat within five yearsTFA 2019 Sch 1, s4
Fees for referencing, inventory, or leaving on proper noticeNot a permitted paymentUp to £5,000; up to £30,000 for a repeat within five yearsTFA 2019 Sch 1

Where a clause is only "of no effect", having it in an old agreement is not an offence in itself. The penalties bite when you act on it, for example by marketing a fixed term, refusing a family, or demanding a banned payment. The breach amounts come from the GOV.UK civil penalties guidance. The starting points are what councils should begin from, not fixed fines.

Fixed terms

Section 4A of the Housing Act 1988 now reads:

Terms of an assured tenancy are of no effect so far as they provide—(a) for a tenancy to be a fixed term tenancy, or (b) for periods of the tenancy to be different from the periods for which rent is payable ("rent periods").
Section 4A(1), Housing Act 1988 (inserted by section 1, Renters' Rights Act 2025)

Most existing fixed-term ASTs became periodic on 1 May 2026 and did not run to their end dates (GOV.UK tenant overview). For how a periodic tenancy works day to day, see periodic tenancies explained.

Pets

You can still refuse a pet for a good reason, such as a superior lease that bans animals or a property that genuinely doesn't suit the animal. What you can no longer rely on is a standard "no pets" clause. You also cannot make consent depend on the tenant buying pet insurance, because the Tenant Fees Act prohibits it and the Renters' Rights Act as passed does not permit it. Your protection is the capped tenancy deposit and your own landlord insurance. See tenant pet requests.

Children and benefits

You can still assess affordability, but you must treat benefit income the same as other income and apply the same requirements to every applicant (GOV.UK discrimination guidance). Landlords and anyone acting for them, including letting agents, can be held liable. So check your agent's adverts as well as your agreement. See the No DSS and no children ban.

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Rent review clauses

A clause such as "rent rises by 5% each year" or "rent rises by CPI" no longer raises the rent. The rent can go up only through a Section 13 notice on Form 4A, with at least two months' notice and no earlier than 52 weeks after the last increase. The tenant can challenge the increase at the First-tier Tribunal, which cannot set a rent above your figure (Guide to the Renters' Rights Act). See rent increases under the Renters' Rights Act and preparing for a tribunal rent hearing.

Do I need to reissue existing agreements?

No. If an existing tenancy has a written agreement, you don't need to change it or issue a new one. Clauses the Act overrides simply stop having effect (GOV.UK roadmap). What you did have to do was give existing tenants the government Information Sheet by 31 May 2026. For new lets, use a template written for assured periodic tenancies and give the tenant a written statement of terms.

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Frequently Asked Questions

Can I enforce a fixed term on a tenancy that started before 1 May 2026?

No. Most existing ASTs became assured periodic tenancies on 1 May 2026, whatever was left of the fixed term. From that date the tenant can leave on two months' notice, and you need a Section 8 ground.

What is the penalty for using a banned clause?

It depends on the clause. Trying to let on a fixed term, or ending a tenancy by notice to quit, is a breach with a civil penalty of up to £7,000. A repeat within five years, or carrying on more than 28 days after a penalty, becomes an offence with a penalty of up to £40,000 or prosecution (GOV.UK). Discrimination against families or benefit claimants is a breach of up to £7,000 each time. Unlawful fees, deposits or insurance requirements fall under the Tenant Fees Act: up to £5,000, or £30,000 for a repeat.

Do I need to update existing tenancy agreements?

No. You don't have to reissue written agreements, because overridden clauses stop having effect automatically. New agreements should be written for periodic tenancies from the start.

Can I ask for a bigger deposit or pet insurance if I allow a pet?

No. The deposit stays capped at five weeks' rent (six if annual rent is £50,000 or more), and you cannot require the tenant to buy pet insurance.

Can I still refuse a pet?

Yes, if the refusal is reasonable, such as a superior lease that bans pets or a property unsuitable for the animal. You must reply in writing within 28 days of the request. That can be extended if you ask for more information or need a superior landlord's consent.

Further Reading

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LandlordReady Team

Editorial team

LandlordReady's guides are written for landlords who manage their own properties. They are researched from primary sources (legislation.gov.uk, GOV.UK guidance and the HSE), and each guide shows when it was last reviewed. They are general information, not legal advice.

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