Key Changes in 2025
The property market in London is entering a new era of regulation, bringing both challenges and opportunities for landlords. With the Renters’ Rights Bill, changes to Minimum Energy Efficiency Standards (MEES), and leasehold reforms, staying ahead of the legal landscape is critical for landlords looking to protect their investments and maintain profitability.
The Renters’ Rights Bill – A Shift in Power?
The Renters’ Rights Bill, expected to pass in 2025, introduces significant changes aimed at strengthening tenant protections. One of the biggest shifts is the abolition of Section 21 ‘no-fault’ evictions, meaning landlords will only be able to remove tenants under specific, legally defined circumstances.
Additionally, tenants will gain stronger rights to challenge rent increases, which could impact landlords’ ability to adjust rental prices in line with market conditions. Mandatory property registration is also being introduced, increasing transparency and ensuring compliance with legal property standards.
What This Means for Landlords:
- Expect longer tenant occupancy periods – removing tenants will require solid legal grounds.
- Rent increases may face greater scrutiny, so landlords must justify changes based on property improvements or market fluctuations.
- Compliance will be more closely monitored, requiring clear records of repairs, maintenance, and rental agreements.
Minimum Energy Efficiency Standards (MEES) Update
By 2025, rental properties in London must have an EPC rating of C or above, with potential fines for landlords failing to upgrade their properties. The goal is to improve energy efficiency and sustainability in rental housing, benefiting tenants with lower energy bills and reducing carbon footprints.
How to Prepare:
- Identify energy inefficiencies now – common issues include poor insulation, outdated heating systems, and inefficient windows.
- Consider green financing schemes to help fund necessary upgrades.
- Future-proof properties by investing in smart meters, LED lighting, and sustainable heating solutions.
Leasehold Reform Act – Giving Leaseholders More Control
The Leasehold Reform Act is changing the dynamics between freeholders and leaseholders, making it easier for leaseholders to:
- Extend their leases for longer periods at fairer rates.
- Challenge unfair service charges, meaning landlords must be more transparent about costs.
- Gain collective ownership of their buildings, limiting freeholder control.
Tideway Property Management stays ahead of legislative changes, ensuring landlords remain fully compliant while maximising rental income. From advising on tenancy agreements to guiding energy efficiency upgrades, we help landlords navigate new laws with confidence.