Eviction costs and delays set to rise as tenants challenge landlords

Eviction costs and delays set to rise as tenants challenge landlords

Eviction proceedings in the UK are becoming more costly and prolonged as tenants increasingly contest eviction notices following the Renters Rights Act implementation, causing strain on landlords and the court system.

Since the Renters Rights Act (RRA) came into force on 1 May 2026, landlords have reported a significant rise in challenges to eviction notices. The law firm Thackray Williams highlights that tenants are resisting eviction, leading to more complex and lengthier possession proceedings. This trend is exacerbated by a shortage of affordable rental properties, prompting tenants to fight eviction due to difficulties finding alternative accommodation.

Landlords are also responding to economic pressures by selling rental properties, which reduces the supply of affordable homes and further intensifies challenges in the private rented sector. Government data shows a 16% increase in accelerated possession claims in the second quarter of 2026 compared to the same period in 2025, indicating heightened eviction activity despite the new legislation.

Details on eviction challenges and rising costs

Thackray Williams reports a surge in landlord instructions to seek possession, both before and after the RRA’s commencement. Many landlords attempted to serve last-minute Section 21 notices before their abolition under the RRA, but tenants have consistently resisted these notices, forcing landlords to initiate accelerated possession claims. Each claim is met with tenant challenges requesting additional time to secure alternative housing, necessitating full court hearings.

This process increases legal costs and delays for landlords seeking to regain possession. The firm also notes a rise in enquiries related to Section 8 notices and other possession proceedings, reflecting landlords’ efforts to exit the market amid financial pressures.

Mustafa Sidki, Contentious Construction Litigation Partner at Thackray Williams, explains that the combined effect of the RRA, rising taxation, and increasing operational costs is making property investment less viable. Landlords face a 2% tax increase on rental income, loss of full mortgage interest relief, quarterly financial reporting demands under Making Tax Digital, and higher maintenance and licensing costs. Additionally, mortgage rates are rising as fixed deals expire, and uncertainty surrounds future energy performance certificate (EPC) requirements under the Decent Homes Standard 2026.

Context of the private rented sector pressures

The private rented sector is under significant strain due to regulatory changes and economic challenges. The abolition of Section 21 notices removes a straightforward eviction route, requiring landlords to rely on more complex and contested possession grounds under Section 8. This shift increases administrative burdens and legal risks.

Simultaneously, landlords face tighter financial conditions. Tax reforms have reduced profitability, while operational expenses such as insurance, service charges, and local authority licensing fees continue to climb. The combination of these factors is prompting many landlords to reconsider their investments, with a Savills survey indicating that 30% of landlords are more likely to sell properties within two years, rising to 54% among those with mortgages.

These developments reduce rental stock availability, intensifying competition for housing and encouraging tenants to challenge eviction notices as a means to avoid homelessness. The court system, already under pressure, must manage an increasing volume of contested possession cases, leading to delays and backlogs.

Practical implications for landlords and letting agents

For landlords managing small portfolios or individual properties, the evolving eviction landscape demands careful planning and legal awareness. The increased likelihood of tenant challenges means eviction proceedings will take longer and cost more, requiring landlords to budget for extended legal fees and potential delays in regaining possession.

Landlords should review tenancy agreements and eviction procedures to ensure compliance with the RRA and be prepared for more rigorous court scrutiny. Letting agents must advise landlords on realistic timelines and costs associated with possession claims and support tenants in understanding their rights under the new law.

Additionally, landlords should assess the financial viability of their investments in light of rising taxes, mortgage costs, and regulatory obligations. Considering property upgrades to meet EPC C standards and preparing for quarterly financial reporting under Making Tax Digital are essential steps to maintain compliance and optimise portfolio management.

Uncertainties and what to monitor going forward

While the RRA aims to improve tenant protections, its full impact on eviction rates and the rental market remains uncertain. The extent to which courts can handle increased contested possession cases without significant delays is unclear. There is also uncertainty about how landlords will adapt to new financial and regulatory pressures, and whether this will accelerate exits from the market or prompt innovation in rental offerings.

Future government policy changes, particularly regarding tax and energy efficiency standards, may further affect landlord behaviour. Landlords and agents should monitor official guidance closely and remain alert to developments in possession law and court procedures.

What landlords should consider now

• Review and update tenancy agreements and eviction procedures to align with the Renters Rights Act requirements.
• Prepare for longer possession proceedings by budgeting for increased legal costs and potential delays.
• Stay informed about changes to tax rules, mortgage rates, and financial reporting obligations affecting rental income.
• Assess property compliance with upcoming EPC C standards and plan necessary upgrades.
• Maintain thorough records of communications, repairs, and inspections to support possession claims if required.
• Check local licensing requirements and ensure all permissions and fees are up to date.
• Engage with tenants early to address issues and potentially avoid contested evictions.

Supporting landlords through regulatory change

The Landlord Association (TLA) membership offers practical resources to help landlords and letting agents manage the complexities introduced by the Renters Rights Act and related regulatory changes. Through TLA’s compliance materials and guidance, members can stay current with evolving possession procedures and legal requirements.

TLA’s new property management and compliance platform, ORBIT, currently available in BETA testing, is designed to assist landlords in organising their portfolios and managing essential documentation. Features in testing include tools to record tenancy communications, track possession proceedings, and maintain evidence of compliance activities. These capabilities can help landlords prepare for longer eviction processes and increased administrative demands.

Exploring TLA membership and accessing ORBIT BETA can support landlords in adapting to the new possession landscape, managing regulatory obligations, and reducing risks associated with tenancy disputes.

Looking ahead, landlords will need to balance operational costs with tenant rights protections, requiring careful financial planning and legal compliance to maintain sustainable rental businesses.

Sources: Landlord Today