Welsh landlords must update their standard occupation contracts by 14 June 2026 to comply with the Renters’ Rights Act, which prohibits discrimination against tenants with children or those receiving benefits. Failure to comply could result in financial penalties or criminal proceedings.

New anti-discrimination requirements

From 1 June 2026, it will be unlawful for landlords and letting agents in Wales to discriminate against prospective or current tenants on the grounds of having children or receiving benefits. This includes refusing tenants the opportunity to enquire about or view a property, access information, enter into an occupation contract, receive benefits during their tenancy, or have children live at or visit the property.

Welsh landlords must update their existing standard occupation contracts by 14 June 2026 to include these new fundamental terms or ensure that any new contracts issued from 1 June 2026 incorporate them. In Wales, standard occupation contracts have replaced tenancy agreements in the private rented sector.

Operational challenges for landlords and agents

Tim Thomas, senior policy and campaigns officer at Propertymark, welcomed the changes but warned they could create additional administrative burdens. He explained that landlords and agents will be prohibited from discriminating against tenants receiving benefits or with children, which is a positive step towards fair access to housing.

However, the requirement to update all occupation contracts or issue statements of variation within a relatively short timeframe may prove challenging, particularly for agents managing large property portfolios. “Ensuring all documentation is updated accurately and in full accordance with new expectations may prove a significant operational challenge,” Mr Thomas said.

Call for a pause on further legislative changes

Mr Thomas has urged the Welsh Government to pause additional reforms to allow the current changes to settle. He highlighted concerns from letting agents about delays and functionality issues with content management systems and platforms used to administer tenancy documents and communications.

He noted that the Welsh Government is considering further reforms similar to those in England, such as ending ‘no fault’ evictions and restricting rental bidding wars. Propertymark is calling for these changes to be introduced as part of a coordinated package rather than incrementally, to provide greater clarity and stability for landlords, agents, and tenants.

Consequences of non-compliance

Rent Smart Wales, responsible for landlord registration, has advised landlords to either update their existing written statements of occupation contracts or issue separate written statements outlining the new fundamental terms. These must be provided to contract-holders no later than 14 June 2026.

Landlords who fail to comply with the new requirements risk financial penalties or criminal proceedings. Rent Smart Wales emphasises the importance of landlords familiarising themselves with the new rules and taking timely action to ensure compliance.

The Welsh Government has provided example notices of variation and will update written statements of occupation contracts to include the new terms from 1 June 2026.

What this means for landlords

Welsh landlords must review and amend their standard occupation contracts well in advance of the 14 June 2026 deadline to avoid penalties. This involves ensuring that no clauses or practices discriminate against tenants with children or those receiving benefits, reflecting the new legal requirements.

Landlords and letting agents should prepare for increased administrative work to update documentation and communicate changes to tenants. Those managing large portfolios may face operational challenges in implementing these changes promptly and accurately.

It is also advisable for landlords to monitor any further legislative developments carefully, as additional reforms may be introduced in the coming months. Engaging with professional bodies and support organisations can help landlords navigate these changes effectively.

Source: Based on reporting from Property118

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