Rents across England are high, with a lack of properties to rent pushing up the prices. Landlords are within their right to increase your rent, as they have other costs to consider too. However, they must follow certain rules when they do. Here's a breakdown of some of the key questions you may have about rent increases:
- When can my landlord increase my rent?
- What's a rent review clause?
- What's a section 13 notice?
- How much notice does my landlord have to give to increase my rent?
- How much can my landlord increase rents?
- Can I negotiate a rent increase?
- What can I do if I disagree with a rent increase?
- What will change for rent increases under the Renters (Reform) Bill?
1. When can my landlord increase my rent?
Under the current rules, your landlord can choose to increase the rent at any time, but you would have to agree to the increase.
To agree, you'd simply need to pay the rent. If you don't agree, the landlord would have to follow a set process, using a rent review clause, or a section 13 notice.
2. What's a rent review clause?
A rent review clause is a term in your fixed-term tenancy agreement that explains how your landlord can increase your rent. A fixed-term agreement is one that lasts for a specific period of time, normally six or 12 months.
The rent review clause would explain when your landlord can increase the rent, how much they'll increase it by, and how much notice you'll get of an increase.
However, not all tenancy agreements include a rent review clause.
3. What's a section 13 notice?
Your landlord can use a section 13 notice to increase your rent once a year on a periodic tenancy, and not within the first year of your tenancy.
Your landlord can't use this process if your tenancy agreement has a rent review clause in place.
Section 13 can be used during a fixed-term tenancy, but the rent increase can only take place once the fixed-term ends and your tenancy becomes a rolling contract.
4. How much notice does my landlord have to give to increase my rent?
Although your landlord can increase your rent at any time if you agree to it, they'll need to give you a certain amount of notice when going down official routes.
If you have a rent review clause in your contract, this will say when your landlords plan to review your rent and increase it.
If your landlords have to use a section 13 notice, they'll need to give you at least one month's notice to increase your rent.
5. How much can my landlord increase rents?
There is no limit for how much your landlord can increase your rent.
However, the government advises that it should be "fair and realistic" and that means keeping it in line with the other rents in your local housing market.
6. Can I negotiate a rent increase?
It's always best to first have a conversation with your landlord if you have an issue with a rent increase, as they may prefer to meet in the middle rather than lose you as a tenant.
You should research the average rents in your local area, so you can understand if what your landlord is proposing is fair.
7. What can I do if I disagree with a rent increase?
If you feel that the rent has increased an unreasonable amount and you haven't yet paid that proposed increased amount, you can challenge the increase.
You can ask a tribunal to help decide if the rent is reasonable or not. They'll take into account local market rents and therefore how much your landlord could up the rent on for a new tenant.
If they think the rent is fair, you'll have to pay it. There's also the risk that the tribunal may feel it's too low, so you could end up paying even more. If the tribunal decides that it's not fair, you won't have to pay it.
8. What will change for rent increases under the Renters (Reform) Bill?
Under the Renters (Reform) Bill - which you can read about in our guide - tenancies will become rolling and periodic.
That means that rent review clauses will no longer exist, and landlords will need to use a mechanism similar to section 13 to increase your rent.
They'll need to give you a minimum of two months' notice for an increase, and increases will - as is the case now - be limited to once a year.
Landlords will need to keep the increase in line with local market rates. If you disagree with the increased amount, you'll still be able to challenge it through the first-tier tribunal.