The Renters' Rights Act 2025 (the Act) received royal assent on 27 October 2025. What do Managing Trustee Landlords need to do now to comply?
The Act, now in force, brings in long-awaited changes to how people rent homes in England. The first part brought in new powers for local councils in December enabling them to investigate properties and crack down on rogue landlords. For any Managing Trustees who are not already on top of the regulatory requirements surrounding tenancies, there are urgent steps to take to ensure you are ready for the key changes that come into force on 1 May 2026.
There is however nothing in the Act that is a surprise. (Please see our article from February last year setting out the proposed reforms: “Renters’ Rights Bill – What you need to know as a Managing Trustee Landlord“). Many of you will already be aware of the changes further to our previous guidance, updates you have been receiving from your agents, and the guidance provided by TMCP when you have contacted us about new tenancies.
In this article we will look at actions to be taken by Managing Trustees who manage residential property occupied otherwise than by a minister or on a common law tenancy e.g. where the tenant is a company. The article will confirm what TMCP is doing to help you prepare and look at general points to consider in terms of letting property in this new climate: Does letting Methodist residential property continue to be good use of the charity’s assets?
Letting out Methodist PropertyThis is a good opportunity to remind ourselves that the primary purpose of a Manse is to provide accommodation for ministers and priority should always be given to Manses for Mission rather than generating income. As discussed in the Property Steward’s Handbook, if a decision is taken to retain a vacant Manse, consideration needs to be given as to why it is being retained. What charitable purpose is being furthered? If you are satisfied that letting out the property to a paying tenant is in the charity’s best interests, you must ensure all relevant legislation is complied with. It is also recommended that you take advice on the possible tax and regulatory implications of letting a building that is no longer required for the charity’s core charitable purposes. |
Implementation – What is changing when?
The headline changes come into force on 1 May 2026. On this date all existing assured shorthold tenancies (ASTs) will automatically turn into rolling tenancies with no end date. This happens regardless of what may have been agreed when the tenancy was entered into. From 1 May 2026 it will no longer be possible to end a tenancy unless you can establish one of the grounds set out in the Act (which include use as a Manse and sale), and at the same time bans on rental bidding and advance rent come into force.
We have created a quick reference guide showing the government’s stages of implementation which you can access here:RRA 2025 – Implementation Table.
Scotland and WalesMost of the changes brought in by the Act will apply to England only to bring England more in line with the tenant protections already familiar to Managing Trustees in Wales and Scotland. The RRA 2025 – Implementation Table highlights those parts of the Act which will also have an impact in Wales and Scotland: the ban on discriminatory practices in both jurisdictions and a right to ask for pets in Wales. |
Next steps for Methodist Managing Trustees
“RRA Ready” ReviewTo ensure you are ready for 1 May 2026, draw up a list of all the residential properties that your Local Church, Circuit or District is responsible for, that are not occupied as a Manse and carry out the following steps in relation to each property. Speak to TMCP or your District Property Secretary if you need any support or have any questions about what you need to do to comply with the new Act. |
Managing Trustees should already have been considering whether letting out charity assets continues to be in the best interests of the charity in the dawn of rolling tenancies with no end date, restrictions on the ability to end a tenancy and an increased regulatory burden on those volunteering to manage the properties (with or without the help of agents). The following steps are recommended for any existing tenancies in the run up to 1 May 2026:
| Check | Guidance |
|---|---|
| 1. Ensure written tenancy agreements are in place, up to date and approved by TMCP. | If the tenancy has only been agreed verbally, you will need to provide a written summary of the main terms to your tenant on or before 31 May 2026. (Draft regulations specifying what these terms are likely to be were published by the Ministry of Housing, Communities and Local Government in mid-January and are available here.) Please also check any existing written tenancy agreements include the required charity law and Methodist clauses and have TMCP’s approval. What can you do now? Contact TMCP if you are unsure and we will check the agreement for you. Pending confirmation from the government on what the new tenancies must contain, continue to use TMCP’s current Template AST. This contains all the required charity law and Methodist clauses. Please ask us for a copy Contact Form |
| 2. Check the safety checks and certificates have been carried out and are valid. | Landlords are already obliged to comply with a range of legislation targeting the safety and energy efficiency of rented properties. The increased enforcement powers under the Act make it more important than ever to ensure your checks and certificates are valid. Do not assume your agents have this in hand. Take care to check points 2a to 2e are covered and ask us for help if you are unsure (Contact Form). If you have instructed agents, ask them to confirm to you that everything is in order.
2a. Gas Safety Check record. This lasts twelve months and must be provided to your tenant.
2b. Electrical Installation Condition Report (EICR). This lasts up to five years. Check the report has been provided to your tenant and that any recommended works have been carried out.
2c. Energy Performance Certificate (EPC) confirming energy efficiency rating of E or above. This currently last ten years. Note minimum rating is set to increase to an equivalent EPC rating of “C” by October 2030. (Manses should already be at a “C” rating in accordance with CPD Volume 2, Book VII, Part 2, para 3.)
2d. Required smoke and carbon monoxide alarms are fitted and in working order. Smoke alarms must be fitted on each habitable storey of the property and there should be carbon monoxide alarms in all rooms with a solid fuel burning appliance (e.g. wood burning stove.
2e. Property will meet the new “Decent Homes Standard”. As prudent charity trustees, you need to safeguard your charity’s assets and should be on top of any recommendations made to you in your quinquennial reports. What can you do now? Confirmation is awaited from the government as to what the “Decent Homes Standard” being introduced by the Act is. However, are you meeting the current requirement to ensure the property is safe and free from health hazards? Has your property been inspected recently by your Quinquennial Inspector? Did the report show that it was free from damp and mould and there were no other safety issues to attend to? Have any tenant complaints been addressed? If you have an agent, ask them for advice on any improvements that need to be made. Look at the Housing Health and Safety Rating System (HHSRS). |
| 3. Ensure any deposits held are properly protected. | Did the tenancy start after 6 April 2007? If so, check any deposits are held in a government-approved tenancy deposit scheme and your tenants have been provided with the required prescribed information on the scheme. |
| 4. Check that your tenants have the “right to rent”. | Did the tenancy start on or after 1 February 2016? If so you need to be able to show that checks have been carried out to ensure tenants have the correct immigration status to rent property (regardless of nationality). (Government guidance for landlords is available here.) |
| 5. Supply government “Information Sheet” to your tenants on or before 31 May 2026. |
This document will inform tenants of the changes to their tenancy brought in by the Act.
What can you do now? The government intends to produce this document in March 2026. TMCP will notify you once this is available and provide guidance from a Methodist Model Trust property perspective.
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| 6. Check rent is market rate. |
Please bear in mind the need under the Model Trusts to charge no less than market rate. Ask a local agent to confirm the rent being charged is market rate. If not, please take steps now to update the rent to ensure that the trustees are complying with the trusts of the charity. You can still increase rent under the Act but it is recommended to start the new regime at the correct rental level. |
| 7. Consider whether any existing tenancies need to be terminated before “no fault” evictions are abolished. | Are there ongoing problems with any of your tenants which would not amount to a ground for possession under the Act but make continuing the tenancy indefinitely not in the charity’s best interests? Even if you have reason to end a tenancy e.g. you want to sell the property to avoid the increased burden of letting, you may want to start the termination process under the greater flexibility of the current system while you still can. Talk to your agent or speak to one of the panel solicitors as a matter of urgency. |
| 8. Be mindful of the landlord registration and ombudsman schemes. | Details about what these schemes will entail, cost and who will need to register in the Methodist context are awaited from the government. We will provide more guidance once details are available. Carrying out the above steps will enable you to comply with registration and avoid tenant complaints. |
What is TMCP doing in the run-up to 1 May 2026?
To help Managing Trustees prepare for the new regime we will be:
- Notifying you once the government’s new Information Sheet is available and providing any Methodist specific guidance.
- Replacing TMCP’s template AST. Note that although draft regulations have been produced, we await secondary legislation confirming the required information to be included.
- Updating and agreeing new internal processes e.g. periodic tenancy checks and consents. (Together with your DPS and the Connexional Team).
- Providing guidance about the landlord register and ombudsman and what you will need to do to comply. We are currently awaiting details from the government - expected later this year.
- Updating the guidance on our website including the FAQs produced last year.
Considerations for the future
- Be aware that all tenancies you enter into will automatically convert to assured periodic tenancies with no end date. Any provisions to allow the landlord to end the tenancy early or providing for the rent to be reviewed will fall away.
- Regardless of the statutory position, it continues to be the Methodist position that tenancies need to be reviewed at least every two years so that the internal consents can be renewed, you can check letting continues to be in the best interests of the charity, rent is at no less than market rate and as charity trustees you are complying with the statutory requirements. We are having internal conversations about what impact the Act will have on processes and will keep you updated.
- Consider the Managing Trustees’ future plans for the property. Does letting out the property indefinitely fit in with these plans? Are the Managing Trustees satisfied that this continued use of the charity’s assets is furthering the purposes of the charity?
Further Information on the Renters’ Rights Act
Government Guidance
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If you have any queries in relation to the guidance in this document please contact TMCP Legal for further assistance.