In 2026, landlords in England face no legal cap on rent increases for private tenancies, but must follow specific rules depending on the tenancy type and agreement terms. Understanding these regulations is essential for landlords to ensure compliance and maintain good tenant relations, especially with upcoming changes introduced by the Renters’ Rights Act.

Frequency of Rent Increases

For assured shorthold tenancies (ASTs), rent increases typically occur once a year. However, this can vary based on whether the tenancy is fixed-term or periodic, the presence of a rent review clause in the tenancy agreement, and tenant consent.

Landlords can increase rent more than once a year by renewing a fixed-term tenancy—such as a six-month agreement—with a new contract reflecting the updated rent. This approach allows for gradual rent adjustments rather than a single large increase. For periodic tenancies, multiple increases within a year are possible only with tenant agreement.

Rent Increases for Fixed-Term and Periodic Tenancies

The rules for raising rent differ depending on the tenancy type:

Fixed-Term Tenancies

During a fixed-term tenancy, rent can only be increased if the agreement includes a rent review clause or if the landlord and tenant mutually agree to amend the terms. Most rent review clauses permit one increase per year, with proper notice to tenants as specified in the agreement. OpenRent’s standard AST does not include such a clause by default, but landlords may add one.

If there is no rent review clause and no mutual agreement, landlords must wait until the fixed term ends to propose a rent increase, either as part of a renewal, when the tenancy becomes periodic, or by serving a Section 13 notice.

Periodic Tenancies

Periodic tenancies can be contractual or statutory, each with distinct rules:

• Contractual periodic tenancies continue automatically after a fixed term ends, following the original tenancy agreement’s terms. Rent increases can be made via a rent review clause or mutual agreement.
• Statutory periodic tenancies arise by law when a fixed term ends without a new agreement. Rent review clauses do not apply here. Landlords must either reach a mutual agreement or serve a Section 13 notice to increase rent. Section 13 notices can only be served once every 12 months and require at least one month’s notice.

Lodger Agreements

For live-in landlords with lodger agreements, rent increases depend on whether the licence is fixed-term or periodic. Fixed-term licences may include rent review clauses, while rolling agreements allow landlords to increase rent at any time.

Determining a Fair Rent Increase in 2026

There is no fixed formula for a fair rent increase, but landlords commonly consider local market rents and wage growth. Using tools such as rent calculators can help compare current rent with average local rates. If the rent is below market level, an increase may be justified.

Linking rent rises to wage growth can help maintain affordability for tenants and reduce payment risks. For example, Office for National Statistics data showed a 4.6% annual pay growth (excluding bonuses) between July and September 2025. Accordingly, a rent increase of around 3-5% in early 2026 aligns with economic trends and may be considered reasonable.

Impact of the Renters’ Rights Act on Rent Increases

From 1 May 2026, the Renters’ Rights Act will restrict rent increases for existing tenants to once every 12 months via a Section 13 notice. Informal agreements and rent review clauses will no longer be legally enforceable, making Section 13 the sole lawful method to increase rent during a tenancy.

Landlords should familiarise themselves with these changes to ensure compliance. Detailed guidance on the Act and Section 13 notices is available for landlords seeking to understand their obligations fully.

Conclusion and Upcoming Support for Landlords

Landlords must carefully navigate rent increase procedures in 2026, considering tenancy type, agreement terms, and new legal requirements under the Renters’ Rights Act. Transparent communication with tenants and adherence to legal processes will help maintain positive landlord-tenant relationships and reduce disputes.

In addition, The Landlord Association (TLA) is launching a new Trusted Partners Hub in Q1 2026. This platform will feature verified and approved service providers 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 at the TLA website.