A recent survey by Generation Rent highlights a notable decrease in Section 21 eviction notices and a corresponding reduction in renters moving home. This trend is significant for landlords as it reflects evolving eviction patterns ahead of the Renters’ Rights Act, which is set to come into force on 1 May 2026, potentially reshaping landlord-tenant relationships and eviction processes.

Decline in Section 21 Notices and Its Impact

The Generation Rent survey, which polled 711 renters, reveals that fewer tenants have been required to move since 2024, a change attributed primarily to a reduction in Section 21 eviction notices. Section 21, often referred to as the ‘no-fault’ eviction notice, allows landlords to regain possession of their property without providing a reason, and its decline suggests landlords are less frequently using this route to end tenancies.

Generation Rent links this decrease to former Chancellor Jeremy Hunt’s Spring Budget 2024 decision to reduce the higher rate of capital gains tax from 28% to 24%. This tax cut appears to have eased a spike in evictions that had been driven by landlords selling properties, resulting in fewer landlords selling up this year. Additionally, the slower rise in rents for new tenancies may have discouraged landlords from evicting tenants to increase rent levels.

In contrast, the Autumn Budget 2025 introduced by Chancellor Rachel Reeves increased tax rates on dividends, property, and savings income by 2 percentage points, which may influence landlord financial decisions moving forward.

Increase in Section 8 Notices and Rent Arrears

While Section 21 notices have fallen, the survey indicates an increase in Section 8 eviction notices. Section 8 requires landlords to provide specific grounds for eviction, such as rent arrears or breach of tenancy terms. Generation Rent suggests this rise may be linked to growing rent arrears, a situation exacerbated by the freezing of the Local Housing Allowance (LHA), which limits housing benefit support for tenants.

Looking ahead, Generation Rent predicts that with the abolition of Section 21 under the forthcoming Renters’ Rights Act, eviction notices overall are expected to decline. The Act will remove fixed-term tenancy agreements, reducing tenants’ anxiety about committing to long leases and eliminating the ability for landlords to request tenants leave without a formal Section 8 notice. This legislative change will require landlords to rely solely on Section 8 grounds to regain possession, likely altering eviction strategies.

Rent Increases and Market Trends

The survey also examined rent increases among tenants who had not moved in the past year. Although nearly two-thirds (63%) of renters reported being asked to pay higher rent, the proportion experiencing significant increases of £100 or more per month has decreased from 22% in October 2024 to 15% in September 2025. The most common justification landlords gave for rent hikes was rising market rents, with a smaller percentage attributing increases to advice from letting agents.

Interestingly, Generation Rent notes that mortgage payments have not been a primary driver of rent increases, despite reports of rising landlord mortgage arrears. This suggests that landlords may be absorbing some financial pressures rather than passing them fully onto tenants.

Tenant Confidence and Satisfaction

Regarding tenant-landlord relations, the survey found that 73% of private renters felt confident asking landlords to carry out repairs or address issues within the landlord’s responsibility, although 27% did not feel confident doing so. Complementing this, a government survey reported that a majority of private renters have had positive experiences in the sector, with satisfaction rates higher for landlords (70%) than for property management agencies (62%).

Implications for Landlords

For landlords and letting agents, these findings underscore the importance of adapting to a changing regulatory environment. The decline in Section 21 notices and the rise in Section 8 evictions signal a shift towards more formalised eviction processes, requiring careful adherence to legal grounds and procedures. Landlords should prepare for the Renters’ Rights Act’s introduction by reviewing tenancy agreements and eviction policies to ensure compliance.

Additionally, the moderation in rent increases and tenant confidence in reporting issues highlight the need for landlords to maintain good communication and responsive property management to sustain positive tenant relationships and reduce turnover.

Upcoming Support for Landlords

The Landlord Association (TLA) is launching a new Trusted Partners Hub in Q1 2026. This platform will feature verified and approved service providers selected to support landlords, tenants, and property management businesses. Legal, trades, insurance, financial, mortgage, tenant screening, and other service providers are invited to register their interest to join the hub, offering landlords access to trusted expertise and services.