Rent increases after 1 May 2026: how letting agents should handle the new Section 13 process

A landlord phones your office and says they want to increase the rent on one of their managed properties by £150 a month. Before 1 May 2026, you might have done this through a rent review clause in the tenancy agreement, a new fixed-term at a higher rent, or even an informal agreement with the tenant.

From 1 May, none of those methods work. Every rent increase on an assured tenancy in England must now go through the statutory Section 13 process. No exceptions.

What has changed

Contractual rent review clauses are dead

If your tenancy agreements contain a clause allowing rent to be reviewed annually or at the end of a fixed term, that clause is no longer enforceable from 1 May. It does not matter what the agreement says. The only lawful route to increasing rent is Section 13 of the Housing Act 1988, as amended by the Renters’ Rights Act 2025.

One increase per year, maximum

Rent can only be increased once in any 12-month period. The 12 months runs from either the start of the tenancy or the date of the last increase, whichever is later.

If a landlord increased the rent in February 2026 and wants to increase it again in June 2026, they cannot. They must wait until February 2027.

Two months’ notice required

The landlord must give the tenant at least two months’ notice of the proposed increase, using the prescribed Section 13 form. Previously this was one month for monthly tenancies. The notice period has doubled.

This means if a landlord wants a rent increase to take effect on 1 August, the Section 13 notice must be served by 31 May at the latest. Plan ahead.

Tenants can challenge at tribunal

Here is the part that changes the dynamic most. If a tenant believes the proposed rent is above the market rate, they can refer the increase to the First-tier Tribunal (Property Chamber). The tribunal will determine what it considers to be the open market rent for the property.

Critically, the tribunal is not limited to choosing between the current rent and the proposed rent. It can set the rent at any figure it considers to be the market rate. In theory, that could be lower than what the tenant is currently paying.

This means landlords need to be confident that their proposed increase is defensible, because going to tribunal is no longer a rubber-stamping exercise.

Rent bidding is now unlawful

From 1 May, it is illegal to invite or accept bids above the advertised rent for a property. If you advertise a property at £1,200 per month, you cannot accept an offer of £1,400 from a prospective tenant.

This applies to the letting agent as well as the landlord. If your agency facilitates rent bidding in any way, including allowing “best offers” or “offers in the region of”, you are breaking the law.

Set the asking rent at the right level from the start. Do not rely on the market to bid it up.

Advance rent is capped at one month

Landlords can no longer ask for more than one month’s rent in advance. This was common practice for tenants without a UK guarantor or with irregular income. That option is gone.

What your agency should do before 1 May

Audit your portfolio rents now

Go through every managed property and compare the current rent to the local market rate. If any properties are significantly below market, consider whether an increase before 1 May makes sense under the current rules.

This is not about rushing through opportunistic increases. It is about making sure landlords are not locked into below-market rents for another 12 months because they missed the window.

Build a rent review calendar

After 1 May, every property needs a date in the diary: the earliest date a Section 13 notice can next be served. For existing tenancies, that is 12 months from the last increase. For new tenancies, that is 12 months from the start date.

Set up a system that tracks this automatically. Missing a review window by a month means the landlord waits an extra month for their increase.

Gather comparable evidence before serving notice

If a tenant challenges the increase at tribunal, you need to show that the proposed rent reflects the open market rate. Gather evidence before serving the Section 13 notice, not after.

Useful evidence includes:

• Recent lets of comparable properties in the same area (within the last 6 months ideally).
• Property condition reports showing the standard of the property.
• Records of recent improvements or upgrades.
• Local market data from property portals.

The stronger your evidence, the less likely the tenant is to challenge, and the more likely you are to succeed if they do.

Keep operational records clean

Tribunal panels look at the overall picture when assessing market rent. A well-maintained property with a responsive management service justifies a higher rent than a neglected one.

This is where your day-to-day operations feed directly into rent reviews. If your agency can show that maintenance requests are handled promptly, communications are logged, and the property is kept in good condition, that strengthens the case for the proposed rent.

Platforms like OdjoAI that automatically log every maintenance case, tenant communication, and contractor interaction create a ready-made evidence file. When tribunal time comes, you are not scrambling to reconstruct a paper trail.

Update your landlord communications

Send a clear briefing to your landlord clients before 1 May explaining:

1. Rent increases now follow a strict legal process (Section 13 only).
2. You will manage the process on their behalf, including evidence gathering and notice serving.
3. Tenants have the right to challenge at tribunal, so proposed increases must be realistic.
4. You will maintain a rent review calendar and contact them in advance of each review date.

This positions your agency as the expert and reassures landlords that the new process is being handled properly.

After 1 May: the process step by step

1. Check the rent review calendar. Confirm the property is eligible for an increase (12 months since last increase or tenancy start).
2. Research the market. Gather comparable evidence.
3. Agree the proposed figure with the landlord.
4. Serve the Section 13 notice using the prescribed form. Allow at least two months before the proposed effective date.
5. Wait. If the tenant does not challenge within the notice period, the new rent takes effect automatically.
6. If the tenant refers to tribunal, prepare your evidence file and attend the hearing.

The process is more structured than before, but it is manageable if you plan ahead. The agencies that build this into their standard workflow will handle it smoothly. The ones that treat each increase as a one-off will find it painful.

Start building the workflow now. For tools that help automate rent review tracking and evidence management, visit odjoai.com.