Renters Rights Act: How Councils Will Enforce the New Rules

Priya Kapoor

Priya covers regulation and compliance for Property Filter. She specialises in translating complex legislation into practical guidance for landlords and letting agents.

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Published on

THE PROPERTY FILTER TAKE

  • Under the Renters' Rights Act 2025, every local housing authority in England has a new statutory duty to enforce landlord legislation - effective 1 May 2026.

  • Fines now reach £40,000 for serious breaches, and Rent Repayment Orders have been doubled to a maximum of 24 months' rent, raising the financial stakes for non-compliant landlords significantly.

  • You may wish to review your tenancy processes and seek advice from a specialist housing solicitor before your next let, to ensure paperwork and notice procedures are watertight.

The Renters' Rights Act 2025 came into force on 1 May 2026, and one provision most landlords have underestimated sits in Section 107: every local housing authority in England now has a statutory duty to enforce the Act in its area. This is not a discretionary power - it is a legal obligation.

What Section 107 Actually Requires

Section 107 of the Renters' Rights Act 2025 makes enforcement compulsory, not optional. Every local housing authority in England must take action against landlords who breach the legislation. That is a material shift from previous arrangements, where councils could choose the level of resource they committed to private-sector housing enforcement.

Many local authorities are already responding. According to the Landlord Law Blog (May 2026), councils across England are hiring new staff and completing specialist training ahead of their expanded duties. The same source notes that authorities which fail to enforce adequately are likely to face Judicial Review challenges from tenants' groups - a further incentive to act.

The Tools Councils Can Now Use

The primary enforcement method will be the Civil Penalty Notice (CPN - a fixed monetary penalty issued by a council without going to court). Under the Renters' Rights Act 2025, fines reach up to £7,000 for standard breaches and up to £40,000 for the most serious offences, including harassment and illegal eviction (Landlord Law Blog, May 2026).

Councils have also been given wider investigative powers. They can access third-party data - such as utility records - demand documents from landlords, and inspect properties with fewer procedural barriers than before. This matters in practice: it means a council does not have to rely solely on a tenant complaint to initiate action.

A second enforcement route is the Rent Repayment Order (RRO - a tribunal award requiring a landlord to repay rent to a tenant or local authority). Under the Act, the maximum RRO award has doubled to 24 months' rent (Landlord Law Blog, May 2026). Where rent was paid via housing benefit, the local authority can apply for the order directly. At current market rates in many cities, a 24-month RRO represents a very significant liability.

What This Means for Compliant Landlords

Most landlords who keep their documentation in order, serve correct notices, and meet their repair obligations have little to fear from the new enforcement regime. The stated target is rogue and criminal landlords. However, procedural errors - an incorrect notice, a missing written statement of tenancy terms - are also covered by the civil penalty framework.

The safest approach is prevention. Reviewing your tenancy setup now costs far less than defending a CPN. You may wish to use the free resources hub at Property Filter to cross-check your current letting practices, and explore property investment strategies that factor compliance into your portfolio planning from the outset.

If you let properties with Local Housing Allowance (LHA - a benefit paid directly to eligible tenants to cover rent costs) tenants, the RRO risk is particularly worth understanding. Check current LHA rates in your area to understand the scale of any potential liability on a 24-month award.

Key takeaways

• Section 107 of the Renters' Rights Act 2025 creates a statutory enforcement duty for every local housing authority in England, effective 1 May 2026.

• Civil Penalty Notices can reach £7,000 for standard breaches and £40,000 for serious offences such as harassment or illegal eviction.

• The maximum Rent Repayment Order has doubled to 24 months' rent - local authorities can apply directly where housing benefit was paid.

• Councils now have broader investigative powers, including access to third-party data and lower procedural barriers for property inspections.

• Procedural errors on paperwork - not just deliberate wrongdoing - can trigger enforcement action under the Act.

The Renters' Rights Act 2025 came into force on 1 May 2026, and one provision most landlords have underestimated sits in Section 107: every local housing authority in England now has a statutory duty to enforce the Act in its area. This is not a discretionary power - it is a legal obligation.

What Section 107 Actually Requires

Section 107 of the Renters' Rights Act 2025 makes enforcement compulsory, not optional. Every local housing authority in England must take action against landlords who breach the legislation. That is a material shift from previous arrangements, where councils could choose the level of resource they committed to private-sector housing enforcement.

Many local authorities are already responding. According to the Landlord Law Blog (May 2026), councils across England are hiring new staff and completing specialist training ahead of their expanded duties. The same source notes that authorities which fail to enforce adequately are likely to face Judicial Review challenges from tenants' groups - a further incentive to act.

The Tools Councils Can Now Use

The primary enforcement method will be the Civil Penalty Notice (CPN - a fixed monetary penalty issued by a council without going to court). Under the Renters' Rights Act 2025, fines reach up to £7,000 for standard breaches and up to £40,000 for the most serious offences, including harassment and illegal eviction (Landlord Law Blog, May 2026).

Councils have also been given wider investigative powers. They can access third-party data - such as utility records - demand documents from landlords, and inspect properties with fewer procedural barriers than before. This matters in practice: it means a council does not have to rely solely on a tenant complaint to initiate action.

A second enforcement route is the Rent Repayment Order (RRO - a tribunal award requiring a landlord to repay rent to a tenant or local authority). Under the Act, the maximum RRO award has doubled to 24 months' rent (Landlord Law Blog, May 2026). Where rent was paid via housing benefit, the local authority can apply for the order directly. At current market rates in many cities, a 24-month RRO represents a very significant liability.

What This Means for Compliant Landlords

Most landlords who keep their documentation in order, serve correct notices, and meet their repair obligations have little to fear from the new enforcement regime. The stated target is rogue and criminal landlords. However, procedural errors - an incorrect notice, a missing written statement of tenancy terms - are also covered by the civil penalty framework.

The safest approach is prevention. Reviewing your tenancy setup now costs far less than defending a CPN. You may wish to use the free resources hub at Property Filter to cross-check your current letting practices, and explore property investment strategies that factor compliance into your portfolio planning from the outset.

If you let properties with Local Housing Allowance (LHA - a benefit paid directly to eligible tenants to cover rent costs) tenants, the RRO risk is particularly worth understanding. Check current LHA rates in your area to understand the scale of any potential liability on a 24-month award.

Key takeaways

• Section 107 of the Renters' Rights Act 2025 creates a statutory enforcement duty for every local housing authority in England, effective 1 May 2026.

• Civil Penalty Notices can reach £7,000 for standard breaches and £40,000 for serious offences such as harassment or illegal eviction.

• The maximum Rent Repayment Order has doubled to 24 months' rent - local authorities can apply directly where housing benefit was paid.

• Councils now have broader investigative powers, including access to third-party data and lower procedural barriers for property inspections.

• Procedural errors on paperwork - not just deliberate wrongdoing - can trigger enforcement action under the Act.

Frequently asked questions

Frequently asked questions

Does the enforcement duty apply in Wales, Scotland, or Northern Ireland?

No. Section 107 of the Renters' Rights Act 2025 applies to local housing authorities in England only. Housing law is devolved, and Wales, Scotland, and Northern Ireland each have separate legislative frameworks.

What triggers a Civil Penalty Notice?

A CPN can be issued for a range of breaches under the Renters' Rights Act 2025, including letting on an unlawful fixed-term tenancy, failing to provide a written statement of terms, and failing to follow correct notice procedures. A council must first issue a notice of intent before the penalty is confirmed.

Can a landlord challenge a Civil Penalty Notice?

Yes. Landlords have the right to make representations after receiving a notice of intent, and the final penalty can be appealed to the First-tier Tribunal (the housing tribunal that hears residential property disputes). You may wish to consult a solicitor specialising in landlord and tenant law if you receive a notice.

Who can apply for a Rent Repayment Order?

Both tenants and local authorities can apply for an RRO to the First-tier Tribunal. Where any rent was paid via housing benefit or Universal Credit housing costs, the local authority may apply for the repayment directly.

This article is for informational purposes only and does not constitute financial, legal, or tax advice. Always consult a qualified professional before making investment decisions.