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Why tenancy setup will matter more than ever under the Renters’ Rights Act

Landlords often focus on how a tenancy ends. However, the bigger practical shift may start at the very beginning. The attached draft rightly highlights that tenancy setup is becoming a much more important control point for landlords.

From 1 May 2026, the Renters’ Rights Act changes how private rented tenancies work in England. Government guidance says the new rules will apply on and from that date, and the Act moves assured tenancies to a periodic model rather than the old fixed term assured shorthold tenancy approach. (GOV.UK)

For landlords in Derbyshire and Staffordshire, that means the front end of the let needs more care, more consistency, and better records. This matters whether you let in Hilton, Etwall, Repton, Mickleover, Willington, Findern, Burnaston or Egginton.

Why the tenancy structure is changing

The Renters’ Rights Act 2025 received Royal Assent on 27 October 2025, and official guidance says the first phase begins on 1 May 2026. The legislation provides that assured tenancies are periodic, and that rent periods cannot exceed a month, although shorter periods can still be used. (GOV.UK)

That is not just a legal technicality. It changes the practical starting point for landlords and agents.

In the past, many landlords relied on a familiar fixed term mindset. Under the new framework, that mindset becomes much less useful. Instead, landlords need to think more carefully about who they accept, what documents they issue, how they explain the tenancy, and how well they evidence every stage.

Why Renters’ Rights Act tenancy setup matters more

Good tenancy setup has always mattered. However, it now carries more weight because a weaker start can create bigger problems later.

The attached draft makes this point clearly. Strong referencing, correct documents, proper records, and clear tenancy terms are no longer just good habits. They form part of a landlord’s protection.

In practice, landlords should now treat setup as the foundation of ongoing management, not as a one off admin task.

The areas landlords should tighten up first

A practical review should include:

  • tenant referencing and affordability checks
  • right to rent checks, where required
  • guarantor paperwork, where appropriate
  • deposit handling and prescribed information
  • repair reporting routes and written communication
  • tenancy clauses that are clear, lawful and current
  • record keeping for documents, conversations and decisions
  • a consistent move in process from offer to handover

Because periodic tenancies create a different operating framework, these details matter more. Also, where evidence becomes important later, missing paperwork or vague communication can become expensive.

Written information is now a key compliance issue

One of the biggest practical changes is the new requirement to give tenants certain written information about the tenancy.

Government landlord guidance says that from 1 May 2026 landlords must give tenants written information about key tenancy terms, and that failing to do so can lead to complaints to the local council and financial penalties of up to £7,000. The Act itself also creates a duty to provide a statement of terms. (GOV.UK)

That should get every landlord’s attention.

This means tenancy setup is not only about producing an agreement. It is also about making sure the written information is complete, accurate, and given on time.

What this means in real life

Landlords should ask:

  • Are our tenancy documents still fit for purpose?
  • Do our templates reflect the new periodic framework?
  • Is our move in checklist detailed enough?
  • Can we prove what was given, and when?
  • Are we using processes built for the old AST model?

Those questions matter because a tenancy created today can still affect your position tomorrow. The original draft makes that point well, especially where present day decisions may carry forward into the new regime.

Existing habits that may now create risk

Some older habits were never ideal. Under the new framework, they look even weaker.

For example, landlords may have relied too heavily on standard templates, inconsistent email trails, or loose verbal explanations at move in. That may have felt manageable before. However, clearer statutory duties and a more structured tenancy model make those habits harder to defend.

Similarly, landlords who separate setup from management may need to rethink that approach. A strong start supports rent collection, repair handling, communication standards, and later decision making.

What landlords should review now

The best response is practical, not reactive.

Start by reviewing your current lettings process from first enquiry through to move in. Then look for weak points. In many cases, the issues are not dramatic. They are small gaps in wording, timing, filing or communication.

A sensible review often includes three stages.

1. Review your documents

Check your tenancy agreement, guarantor forms, landlord instructions, move in letters and information packs. Make sure they reflect the current legal position and upcoming implementation timetable.

2. Review your process

Map out who does what, and when. Also confirm how you evidence service of documents, written information, deposit steps and key communications.

3. Review your management standard

Think about how well the start of the tenancy supports the rest of the tenancy. Better setup usually leads to better ongoing management.

How Scoffield Stone is approaching this

Scoffield Stone is reviewing the practical impact of the Renters’ Rights Act on tenancy documents, landlord guidance, move in processes and communication standards. As a result, the start of a tenancy is becoming an even more important control point for landlords.

FAQ

Does the Renters’ Rights Act start on 1 May 2026?

Official government guidance says the new rules apply on and from 1 May 2026, with the first phase of reform beginning then. (GOV.UK)

Are fixed term assured shorthold tenancies being replaced?

Yes. Official guidance says the Act abolishes section 21 and moves to a simpler tenancy structure where assured tenancies are periodic. (GOV.UK)

Do landlords need to give written information to tenants?

Yes. Government guidance says landlords must provide certain written information about the tenancy, and failure can lead to enforcement action and financial penalties. (GOV.UK)

Why does tenancy setup matter more now?

Because the tenancy starts within a new legal structure, and stronger documentation, records and communication help reduce risk later. That is also the main practical conclusion in the attached source draft.

Conclusion

The Renters’ Rights Act does more than change possession rules. It changes the importance of the tenancy start itself.

As a result, landlords should give more attention to documents, written information, referencing, communication and record keeping. Good tenancy setup is becoming one of the best ways to reduce avoidable problems later.

If you would like practical guidance on reviewing your tenancy process, contact us.

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