How The Renters’ Rights Act 2025 Has Increased Local Authorities’ Enforcement Powers

The Renters’ Rights Act 2025 has significantly increased local housing authorities’ powers relating to enforcement. There is no longer a discretion but a newfound duty on local housing authorities to actively enforce housing legislation in their area. A local housing authority may also take enforcement action in respect of offences which occur outside of its area, extending their powers beyond their own boundaries. This blog explores the key changes in local housing authorities’ powers under the Renters’ Rights Act 2025.

Key changes:

Wider investigative powers – An officer of a local housing authority has the power to require information from a “relevant person” in accordance with section 114 of the Renters’ Rights Act 2025. A “relevant person” includes landlords, agents, licensors and marketers who marketed the relevant accommodation for the purposes of creating a residential tenancy. The information can be sought to investigate suspected breaches/offences to provide information and documents to investigate suspected breaches of the s1 and s1A of the Protection from Eviction Act 1977, Housing Act 1988, Enterprise and Regulatory Reform Act 2013, section 21 – 23 of the Housing and Planning Act 2016 and the Renters’ Rights Act 2025. This power is extended to allow request for information from any individual where there is a reasonable suspicion of a breach under Parts 1-4 and 7 of the Housing Act 2004. Any person who fails to comply may on conviction be fined of up to £1,000.

Entry powers – Local authority officers with written authorisation from the local housing authority can enter commercial and some residential premises to investigate suspected offences of the Protection from Eviction Act 1977, Housing Act 2004 and the Enterprise and Regulatory Reform Act 2013. Though the power of entry existed under section 239 of the Housing Act 2004, the change emphasises the introduction to enter business premises used for a rental-sector business. Under sections 118 and 121 of the new Act an authorised office can enter business premises with or without a warrant where the office reasonably believes that the premises are being used for a rental-sector business and considers entry necessary to investigate a suspected breach and to seize relevant documentation.

Access to more sources of evidence – Local authorities can access third-party data, such as land registry records, council tax data and tenancy deposit scheme records to assess whether landlords are meeting their legal obligations. As well as being able to interview landlords, agents and tenants as part of a formal investigation, local authorities now also have the right to obtain information from banks (and accountants), property technology companies, client money protection schemes and building contractors to produce documentation as evidence.

Higher civil penalties – Local authorities can now impose higher financial penalties than the previous limits of £5,000 for minor offences and £30,000 for serious offences. Less serious breaches, such as failing to register on the Property Portal or delaying redress scheme membership, can attract fines of up to £7,000 for first breaches, while more serious or repeat offences, including misuse of possession grounds or failure to comply with enforcement notices, can result in penalties of up to £40,000 rather than requiring every case to be dealt with through criminal prosecution; importantly, councils can retain this income and reinvest it into future enforcement activity. If an individual commits more than one offence or breach, local authorities may impose a civil penalty in respect of each of them. For example, section 234(3) of the Housing Act 2004 provides that a person commits an offence if they fail to comply with a management regulation in respect of HMOs, this now means each failure to comply with a requirement constitutes a separate offence for which a civil penalty can be imposed.

Action against those that are not the property owners – Enforcement is now not limited to property owners; local authorities can now impose penalties on letting agents and individuals acting on a landlord’s behalf (other than a qualified legal representative) in certain circumstances. Civil penalties for breaches and offences relating to assured tenancy landlord duties may be imposed on any landlord, and any person acting or purporting to act on their behalf, who is responsible for the breach or offence. For example, if a letting agent changes the locks and removes a tenant without following the legal process, the local authority can investigate the agent’s conduct rather than only pursuing the property owner. Therefore, civil penalties such as illegal eviction and harassment may be imposed on anyone who has committed an offence.

Supporting evidence from new information systems – The Renters’ Rights Act 2025’s wider reforms include a private rented sector database, which when launched in late 2026 or early 2027, will allow local authorities to access information about landlords and their property information to ensure compliance.

Tips for Landlords to avoid enforcement action:

• Ensure the new possession rules are followed carefully

If a landlord relies on a possession ground e.g. to sell the property or move in, ensure the correct notice is given and restrictions followed. For example, properties recovered on the former basis must not be re-let or marketed for rent within 12 months. Therefore, Landlords should make themselves familiar with notice periods and any such wider restrictions.

• Ensure the property meets the Decent Homes Standard

Carry out regular inspections and budget for any improvements to address any issues promptly to ensure the property complies with the required minimum standards.

• Respond to repairs without delay

Put in place effective repairs process and maintain clear records of reported defects, inspections, and completed works.

• Register on the Private Rented Sector Database (once in force)

The Private Rented Sector Database is not in force yet but once it is in force landlords should ensure all relevant properties are registered and that information is kept accurate and up to date.

• Join the Private Rented Sector Ombudsman (once in force)

The Private Rented Sector Ombudsman is not in force yet but once in force membership will be a legal requirement and should be maintained throughout the tenancy period.

• Keep documentation organised and provide all information requested

Retain copies of safety certificates, inspection reports, repair records, tenancy documents, and correspondence to demonstrate compliance if questioned by a local authority.

• Follow the statutory rent increase procedure

Rent can only be increased once every 12 months using the prescribed legal process.

• Market properties transparently

Advertised rents should accurately reflect the rent intended to be charged. Misleading advertisements and rental bidding practices must be avoided.

• Avoid discriminatory letting practices

Refusing applicants because they have children or receive benefits is prohibited. Ensure advertising, tenant selection practices and any instructions to letting agents comply with equality legislation.

The wider enforcement powers under the Renters’ Rights Act 2025 mean landlords can no longer afford to take a reactive approach to compliance. Staying organised, meeting legal obligations and addressing issues promptly will be key to avoiding enforcement action and financial penalties.