Renters' Rights Act 'shutting out good tenants', warns letting agent
UKPulse Property Desk
A London letting agent claims new Renters' Rights Act rules, which took effect in May, are making it harder for some tenants to find a home. Landlords are reportedly becoming more selective, favouring applicants with regular UK salaries.
- Restrictions on advance rent payments, introduced in May 2026, are making landlords more cautious.
- International students, business owners, and self-employed tenants reportedly face growing barriers.
- More applicants are now relying on professional guarantor companies, incurring extra costs.
The Renters' Rights Act is making it more difficult for some tenants to secure a home, according to Mo Kanso, managing director of London letting agency Landstones. He claims that new rules, which took effect in May, have made landlords more cautious about who they accept.
Kanso states that international students, business owners, and self-employed tenants are facing increasing barriers, even if they have substantial savings. This issue reportedly stems from restrictions on rent paid in advance, which came into force on 1 May 2026.
Before these reforms, tenants could offer six or 12 months' rent upfront, which often helped those without a UK income or suitable guarantor. Kanso says landlords now prefer applicants with regular UK salaries and straightforward references, leaving those with less conventional finances at a disadvantage.
More applicants are now relying on professional guarantor companies to secure rental homes. These services can cost tenants sums equal to several weeks' rent, which, unlike upfront rent, is generally not refundable.
Why this matters: The Renters' Rights Act was designed to make renting fairer, but a letting agent warns it may be inadvertently making it harder for some financially capable tenants to find homes.
What this means for you: If you are an international student, business owner, or self-employed tenant, you may find it harder to secure a rental property due to new rules on advance rent payments. You might also face additional costs for professional guarantor services.