Originally published: 1 July, 2025
Since May 1, 2026, Section 13 has been the only mechanism landlords can use to raise rent on an assured periodic tenancy. Fixed-term renewals, rent review clauses, and informal agreements no longer work.
This change has increased the pressure on letting agents managing the process for their clients.
However, there are a couple of ways to ensure your team isn’t mired in paperwork and at risk of non-compliance.
In this blog, we’ll reveal what they are and explore the implications of the reforms.
A Section 13 notice, defined under the Housing Act of 1988, is a legal document that notifies tenants of a rent increase on an assured periodic tenancy. Since all tenancies now operate on a periodic basis, it's the only way landlords can adjust rent.
You can only use a Section 13 notice once every 12 months.
Section 13 exists to give landlords a fair, transparent way to raise rent in line with the market rate. If a tenant thinks a rent increase is too high, they can refer it to the First-tier Tribunal (FTT) and continue paying their existing rent until a decision is made.
Adjusting your prices to the market rate does two things:
First, it's fair. The government designed Section 13 to keep rents aligned with what similar properties are actually achieving.
Second, it's protective. If a tenant challenges a rent increase — 22% say they always will thanks to new Renters’ Rights Act powers — comparable evidence gathered when the notice was served helps to justify it. Although the rent increase won’t be backdated, it’s more likely that the FTT will rule in your favour.
The fact that rent appeals are also a slow process — only 21% are resolved within ten weeks — emphasises the point that you should do everything in your power to avoid appeals in the first place.
Serving a Section 13 notice is a formal legal process. While the mechanics are straightforward, accuracy, timing, and record-keeping are critical, now that Section 13 is the only lawful way to increase rent.
Here’s a step-by-step overview of how landlords, or letting agents on behalf of landlords, can serve a Section 13 notice.
Before preparing a notice, confirm that:
If these conditions aren’t met, the notice may be invalid from the outset.
A Section 13 notice must be served using the Tenancy Form 4A (updated from Form 4), available on the Government website. The form requires the following details:
Note that errors or omissions may invalidate the notice, particularly if they affect the tenant's understanding or statutory requirements.
Always check the original tenancy agreement to confirm the exact date the tenancy began. Getting this wrong can invalidate the notice and delay the rent increase by several months.
Let’s look at a practical example. Suppose your tenant pays rent on the 10th of each month, and you served a Section 13 notice on August 15.
Under the Renters’ Rights Act, landlords must give at least two months’ notice before a rent increase can take effect. This means the new rent must start on the first rent date that falls at least two months after the notice is served. In our example, the earliest lawful start date would be November 10, not October 10.
Choosing an earlier date, even if it appears close to the two-month mark, would invalidate the notice. This is why checking the original tenancy start date and rent due date is essential before serving a Section 13 notice.
Once completed, the landlord’s notice must be formally served on the tenant(s). Just as importantly, landlords and agents should retain clear records showing:
This documentation is vital if the tenant later challenges the increase or if the notice is reviewed as part of wider tenant disputes.
Serving a correct Section 13 notice is only part of the process. The rent increase still relies on the new amount being applied on the correct rent date, and that step is easy to miss, particularly when managing multiple tenancies.
If the increase isn’t implemented at the right time, it cannot be backdated.
In real terms, that can mean months of lost rental income from a single tenancy. Across a portfolio, small administrative gaps can quickly turn into a material loss.
Section 13 is reshaping agents' workload and revenue in a few important ways.
Agents now need to provide evidence of how every rent was set, when every notice was served, and ensure that the correct process was followed throughout.
This isn’t ideal, given that 21% of letting agents already don’t have enough time to manage their workloads, according to the State of the Lettings Industry report.
Because landlords must provide two months’ notice to comply with Section 13, agents need a reliable, scalable way to monitor those dates across their portfolios. After all, missing these intervals could leave your landlords out of pocket.
According to Goodlord's State of the Lettings Industry report, renewals accounted for an average of 27% of agency revenue. The abolition of fixed-term tenancies effectively ended traditional renewal fees. With tenancies now automatically running on a periodic basis, agents have had to adapt their business models around an income stream that no longer exists.
Because the First-tier Property Tribunal no longer backdates rent increases to the original notice date, tenants may appeal to lock in lower rents for longer while waiting for court backlogs to clear. Agents need to do everything possible to safeguard their landlords against rent appeals.
A major hidden risk for agencies is untrained staff unintentionally giving legal advice they don't fully understand. As Section 13 regulations become more stringent, the line between explaining the rules and advising on them thins, exposing agencies commercially if staff step over it.
These factors make it essential that your agents are:
To thrive under the Renters' Rights Act, agencies must change their approach to rent increases.
As Goodlord's Tom Goodman notes: “With no fixed-term tenancies, no pre-contract payments, and no legal grounds for renewal fees, the billable touchpoints that used to come from renewals have to come from somewhere else. For most agencies, that's inspections and Section 13 rent reviews.”
He further explains, “Section 13 is now one of the main opportunities agents have to prove ongoing value, and it's not just about raising the rent. It's about tracking market rates, protecting landlord income, and handling the process properly.”
With only 6% of landlords reporting they are “very satisfied” with the value for money their agents offer, managing Section 13 rent reviews as a seamless, fully compliant service is the primary way for agents to replace lost renewal revenue while proving their worth.
Agencies that treat Section 13 as a managed service, priced properly and backed by market evidence, can turn what used to be a one-off renewal fee into a recurring one.
However, delivering this managed service at scale requires the right infrastructure. You cannot run a profitable rent review service if your team is bogged down by manual administration and calendar checking.
To address this, Goodlord brings the entire rent review process into one dedicated workflow. Here’s how we can help your agency before, during, and after you serve Section 13 notices:
Compliance-first software can help you adapt to the Renters’ Rights Act.
“When we spoke to letting agents, we found that they had a couple of key issues with Section 13 notices. Firstly, they take up a lot of administration time, and secondly, they’re easy to throw out if they’re not compliant,” Goodlord’s Product Lead, Phil Noble says.
To address this, Goodlord created a solution that automates manual tasks and supports agents and landlords to serve compliant Section 13 notices.
Here’s how we can help your agency before, during, and after you serve Section 13 notices:
The Renters’ Rights Act has fundamentally transformed the lettings industry. With the abolition of Section 21 and the shift to periodic tenancies now our daily reality, mastering the Section 13 process is the only way forward.
Working with a trusted technology partner can help you stay ahead of the curve, ensuring you’re ready to adapt to:
Start preparing your agency today by hitting the button below.👇
No. Since the Renters' Rights Act came into force on May 1, 2026, all rent increases must be made using a Section 13 notice on Form 4A. Fixed-term renewals, rent review clauses, and informal methods such as bidding wars are no longer permitted, and any tenancy clause that tries to allow one of these routes has no legal effect.
Rent can only be increased once every 12 months using a Section 13 notice. This applies even if the tenancy has recently moved from a fixed term to a periodic tenancy. Serving a notice earlier than permitted will invalidate it.
No. Any increase proposed through a Section 13 notice must reflect the local market rate. If a tenant believes the new rent is above market level, they have the right to challenge it through the First-tier Property Tribunal, which determines the open market rent and cannot set a rent higher than the landlord's proposed figure.
While evidence is not submitted with the Section 13 notice itself, landlords should be prepared to justify the proposed rent if it is challenged. This typically includes:
Having this information ready can significantly reduce the risk of a successful tenant appeal.
No. The government has been clear that rent increases must not be used as a backdoor means of eviction. A tenant has a legal right to challenge a Section 13 rent increase notice. Taking eviction action purely because a tenant exercised that right could be considered retaliatory and unlawful.
Form 4A is the prescribed legal form used by landlords to propose a rent increase under a Section 13 notice. It replaced the old Form 4 for privately rented tenancies when the Renters' Rights Act came into force; Form 4 is now used for social housing only. Landlords and agents should always download the current version from gov.uk, as the wording is updated periodically.
Tenants use Form MR1 (formerly Rents1) to refer a proposed Section 13 increase to the First-tier Tribunal, along with a £47 application fee. The tribunal will assess whether the proposed rent reflects the local market rate and determine the lawful rent, capped at the landlord's original proposed amount.