Assured Periodic Tenancy Explained

The Renters' Rights Act 2025 made a structural change to how tenancies work in England. All private residential tenancies are now assured periodic tenancies. There are no more assured shorthold tenancies with fixed terms that bind both parties for six or twelve months. There are no more contractual periodic tenancies that arise after a fixed term expires. There is one type of tenancy, and it rolls on indefinitely until properly ended by either party.

This guide explains what an assured periodic tenancy is, how it differs from what came before, and what it means in practice for how you manage your properties, set your rent, and handle notice periods.

Disclaimer: This guide is for information only and does not constitute legal advice. Always consult a solicitor for your specific situation.

What Is an Assured Periodic Tenancy?

An assured periodic tenancy is a tenancy that runs on a rolling basis — typically month to month — without a fixed end date. It continues indefinitely until it is ended by either the tenant giving notice or the landlord obtaining a possession order through the courts.

Under the previous system established by the Housing Act 1988, most private tenancies were assured shorthold tenancies (ASTs) with a fixed term, usually six or twelve months. During the fixed term, the tenant was committed to the tenancy and the landlord could not seek possession except on specific fault grounds. After the fixed term expired, the tenancy typically became a statutory periodic tenancy, rolling month to month.

The Renters' Rights Act 2025 removed this two-stage structure. From 1 May 2026, all new tenancies are assured periodic tenancies from day one, and all existing fixed-term ASTs were automatically converted to assured periodic tenancies.

How the RRA 2025 Changed Tenancy Types

Before the RRA 2025

The typical lifecycle of a private tenancy looked like this:

1. Fixed-term AST — Landlord and tenant sign a six or twelve-month agreement. Neither party can end the tenancy during this period except in specific circumstances (tenant break clause, landlord fault-based grounds)
2. Statutory periodic tenancy — The fixed term expires. If neither party takes action, the tenancy continues on a rolling basis with the same terms. The landlord can now serve a Section 21 notice to end it
3. Renewal — Alternatively, the landlord and tenant sign a new fixed-term agreement, and the cycle begins again

After the RRA 2025

The lifecycle is simpler:

1. Assured periodic tenancy — The tenancy begins and runs month to month from day one. There is no fixed term and no Section 21
2. Continues indefinitely — Until the tenant gives two months' notice, or the landlord obtains a court order under Section 8

What Happened to Existing Fixed-Term ASTs?

On 1 May 2026, all existing fixed-term ASTs were converted to assured periodic tenancies by operation of law. This happened automatically — no new paperwork was required. The terms of the existing tenancy agreement remain in force (rent amount, tenant obligations, landlord obligations), but the tenancy structure changed.

If you had a tenant halfway through a twelve-month fixed term on 1 May 2026, that fixed term was effectively dissolved. The tenant is no longer bound to stay for the remaining months, and you can no longer rely on the fixed term as a barrier to the tenant leaving.

The mechanism is worth understanding, because the old "statutory periodic tenancy" was a genuinely different legal creature and it no longer exists for private assured tenancies. What a periodic tenancy means now explains what was repealed, how tenancy periods are set, and why the Ground 1 and 1A protected period runs from the original letting rather than from May.

Student Lettings Exception

Purpose-built student accommodation and properties let by specified educational bodies retain a fixed-term mechanism under the Act. Standard private landlords letting to students do not benefit from this exception unless they meet the specific criteria set out in the legislation.

How Rent Works Under Periodic Tenancies

Setting the Initial Rent

You still agree the rent with the tenant before the tenancy begins. This is a matter of negotiation and market conditions — the RRA 2025 did not introduce rent controls in England. You and the tenant agree a monthly (or weekly) rent, and this is the rent payable from the start of the tenancy.

Increasing the Rent

Under the new system, rent can only be increased using the Section 13 procedure. This is the formal mechanism under the Housing Act 1988 for proposing a rent increase on a periodic tenancy.

Key rules for rent increases:

• You can only increase rent once per year — measured from the start of the tenancy or the date of the last increase, whichever is later
• You must give the tenant at least two months' notice of the proposed increase, using the prescribed form (Form 4A)
• The proposed new rent must reflect the open market rate for a property of the same type, condition, and location. You cannot charge above market rate
• You cannot use a rent increase to penalise a tenant for exercising their legal rights (for example, reporting a repair issue or complaining to the local authority)

Almost every defective rent increase fails on one of those dates rather than on the amount. How a Form 4A notice becomes invalid walks through the effective-date trap, the 52-week rule and the once-a-year count, which are the three that catch landlords who serve the form correctly in every other respect.

Tenant's Right to Challenge

If the tenant considers the proposed increase to be above the market rate, they can refer it to the First-tier Tribunal (Property Chamber) for determination. The Tribunal will assess the market rent and set the figure. Importantly, under the RRA 2025, the Tribunal can only set the rent at or below the landlord's proposed figure — it cannot increase the rent above what the landlord originally proposed. This change was made to encourage tenants to challenge unreasonable increases without the risk of ending up paying more.

If the tenant does not refer the increase to the Tribunal within the notice period, the new rent takes effect automatically.

What About Contractual Rent Review Clauses?

If your tenancy agreement contains a rent review clause (for example, "rent shall increase by 3% annually"), that clause is now overridden by the Section 13 procedure. You cannot increase rent by any mechanism other than Section 13. Existing contractual review clauses are ineffective under the new system.

This is an important point for landlords who previously included annual RPI or CPI-linked increases in their agreements. Those clauses no longer have legal force. You must use Form 4A and the Section 13 process for every rent increase.

Notice Periods

Tenant Notice to Leave

The tenant can end an assured periodic tenancy by giving two months' notice in writing. There is no prescribed form — a letter or email is sufficient, provided it clearly states the intention to leave and the date the tenancy will end. The notice must expire on the last day of a rental period (for example, if rent is payable on the 1st of each month, the notice should expire on the last day of a month). So if rent is due on the 1st and a tenant gives notice on 15 May, the earliest valid end date is 31 July.

The tenant does not need to give a reason for leaving, and the landlord cannot refuse to accept the notice. Once valid notice is given, the tenancy ends on the specified date. There is no minimum occupation period before a tenant can serve notice — they can do so from day one.

Landlord Notice to Seek Possession

The landlord cannot simply give notice to end the tenancy. Instead, the landlord must serve a Section 8 notice citing specific grounds for possession, and then apply to the county court if the tenant does not leave voluntarily. The most commonly used grounds are:

• Ground 1 (mandatory): Landlord wishes to move back into the property as their principal home — requires at least 4 months' notice and cannot be used within the first 12 months of the tenancy
• Ground 1A (mandatory, new under RRA 2025): Landlord intending to sell the property with vacant possession — requires at least 4 months' notice and cannot be used within the first 12 months. Ground 1B is a related ground available only to private registered providers of social housing selling under a rent-to-buy agreement
• Ground 8 (mandatory): At least three months' (or 13 weeks') rent arrears both at the time of notice and at the hearing — 4 weeks' notice
• Ground 14 (discretionary): Antisocial behaviour or nuisance — proceedings can be started immediately, but the court cannot order possession to take effect for 14 days
• Ground 12 (discretionary): Breach of any term of the tenancy other than rent — 2 weeks' notice

The landlord cannot evict the tenant without a court order. Even after serving a Section 8 notice and obtaining a possession order, the landlord must use court bailiffs if the tenant does not leave voluntarily. In practice, a defended Section 8 claim can take six months or more from notice to possession, so budget for this in your risk planning.

The 12-Month Protected Period

Under the RRA 2025, a landlord cannot use certain grounds for possession within the first twelve months of a tenancy. Specifically, Grounds 1 (landlord moving in) and 1A (landlord selling) are not available during this period. This gives the tenant a degree of security in the early stages of the tenancy.

However, fault-based grounds (rent arrears, antisocial behaviour, breach of tenancy) are available from day one. If a tenant falls into significant rent arrears in month three, you can serve a Section 8 notice immediately — you do not need to wait twelve months.

Practical Implications for Landlords

You Can Still Use Tenancy Agreements

The shift to periodic tenancies does not mean you should stop using written tenancy agreements. A tenancy agreement sets out the terms of the tenancy — the rent, the obligations of each party, rules about pets, subletting, alterations, and so on. These terms remain binding under a periodic tenancy. What has changed is the structure of the tenancy, not the terms.

In fact, a well-drafted tenancy agreement is more important than ever. If you need to seek possession on Ground 12 (breach of tenancy), you need a clear, specific term that has been breached. Vague or poorly drafted agreements make it harder to enforce your rights.

One term deserves particular attention: a blanket "no pets" clause no longer does what it used to. A tenant can request consent and you have a duty to answer — the 28-day pet duty landlords keep missing sets out the deadline, what makes a refusal reasonable, and what the Act does and does not do if you say nothing.

Void Periods May Increase

Under the old system, a tenant who signed a twelve-month fixed-term agreement was committed for that period. They might owe rent for the remainder of the fixed term if they left early. Under periodic tenancies, a tenant can leave with two months' notice at any time. This means landlords face a higher risk of unexpected void periods.

Mitigating void risk:

• Maintain the property to a high standard — tenants are more likely to stay in well-maintained homes
• Be responsive to repair requests — poor maintenance is a leading cause of tenants leaving
• Price the rent competitively — tenants can leave easily, so overpricing accelerates turnover
• Build a positive landlord-tenant relationship — good communication reduces turnover

Rent Increases Require More Planning

Annual rent increases via Section 13 require two months' notice and must be justifiable at market rate. This means you need to plan ahead, research comparable market rents, and serve the prescribed form on time. If you miss the annual window or serve the form late, you may have to wait another year.

Keep records of comparable rents in your area. Estate agent listings, Rightmove data, and local letting agent reports all provide evidence of market rate if the tenant challenges your increase at the Tribunal.

Deposit Protection Still Applies

The rules on deposit protection are unchanged. You must protect any deposit in a government-approved tenancy deposit scheme within 30 days of receiving it, and serve the prescribed information on the tenant. Failure to protect the deposit can result in penalties of up to three times the deposit amount and can undermine a possession claim.

You Cannot Contract Out of the New Rules

You cannot include clauses in your tenancy agreement that attempt to override the RRA 2025 provisions. For example, you cannot:

• Include a "fixed-term" clause that prevents the tenant from leaving with two months' notice
• Include a rent review clause that bypasses the Section 13 process
• Require the tenant to waive their right to challenge a rent increase at the Tribunal
• Include a clause allowing you to end the tenancy without a court order

Any such clauses are void and unenforceable. Including them could also damage your credibility if the tenancy ends up in court.

Longer Average Tenancies

Without the six or twelve-month reset point that fixed terms provided, tenants are likely to stay longer on average. This reduces void periods and reletting costs, but it also means you are more likely to need the Section 8 process if a tenancy relationship breaks down. Proactive management and responsive maintenance are the most effective ways to avoid that situation.

Benefits and Drawbacks of Periodic Tenancies

With the periodic tenancy now the only tenure type, it helps to understand the trade-offs clearly.

Benefits:

• Reduced void periods as tenants are not forced out at a fixed-term end date
• Simpler legal structure — one tenure type rather than several
• Fewer administrative touchpoints (no renewal paperwork every 12 months)

Drawbacks:

• No guaranteed possession at a fixed date — all landlord-initiated endings require a court process
• Greater exposure to market rent drift if Section 13 windows are missed
• Two months' notice from the tenant can still create short-term voids with limited warning

Frequently Asked Questions

Can I still ask for a tenancy agreement to be signed?

Yes, and you should. A tenancy agreement sets out the terms of the tenancy. What has changed is that you cannot include a fixed end date that binds the tenant. The tenancy starts, runs periodically, and continues until properly ended.

Does this mean tenants can leave with just two months' notice even if they just moved in?

Yes. A tenant can give two months' notice at any time, even in the first month. There is no minimum tenancy period from the tenant's perspective.

Can I still require a minimum notice period of more than two months?

No. The statutory minimum is two months, and you cannot require more. Any clause in a tenancy agreement requiring a longer notice period from the tenant is void under the RRA 2025.

What happens to my existing tenancy agreements?

The existing terms remain in force — obligations, rent amount, permitted use, pet clauses, and so on. But the tenancy structure has changed from a fixed-term or contractual periodic tenancy to a statutory assured periodic tenancy. You do not need to issue new agreements, but you should update them when the opportunity arises.

Can I increase rent whenever I want?

No. You can only increase rent once per year using the Section 13 procedure. You must give at least two months' notice on the prescribed form, and the increase must be to a market rate.

What if the tenant doesn't pay the increased rent?

If you have followed the correct Section 13 procedure and the tenant has not referred the increase to the Tribunal, the new rent takes effect. Non-payment of the increased rent is then treated as rent arrears, and you can pursue possession under Grounds 8 or 10.

Do I need to re-register the deposit?

No. If the deposit is already protected in a government-approved scheme, it remains protected. The conversion from AST to assured periodic tenancy does not affect the deposit protection.

Can a landlord end a periodic tenancy in 2026?

Yes, but only by using Section 8 and proving one or more legal grounds for possession — such as rent arrears, anti-social behaviour, or wanting to sell the property. Landlords can no longer use Section 21 no-fault evictions, which were abolished under the Renters' Rights Act 2025.

Are all tenancies now periodic under the Renters' Rights Act 2025?

Yes. Under the RRA 2025, all new assured tenancies are periodic from the outset — there are no fixed-term ASTs. Existing fixed-term tenancies converted to periodic tenancies when the Act came into force. The only exception is student lettings, which retain a specific fixed-term mechanism.

Managing Periodic Tenancies Effectively

The shift to periodic tenancies puts more emphasis on active, ongoing management. You cannot rely on a fixed term to provide stability — you need to earn tenant retention through good service, responsive maintenance, and fair treatment.

LetSorted helps you manage the practical demands of the new system. From rent tracking that gives you a clear, auditable payment history, to compliance management that keeps your certificates and documents up to date, to inspection scheduling that builds the condition records courts expect — every tool is designed for the way tenancies work now.

If you are managing one to five properties, the new system does not need to be overwhelming. With the right records and a proactive approach, periodic tenancies can work well for both landlords and tenants. Get started with LetSorted and bring your property management in line with the new legal framework.