How Much Can a Landlord Increase Rent?

There is no fixed percentage cap on how much a private landlord in England can increase rent by. What is fixed, since the Renters' Rights Act 2025 reforms took effect on 1 May 2026, is the process: a rent increase can only happen once every 12 months, requires at least two months' written notice under a revised Section 13 procedure, and a tenant can challenge it at tribunal before it takes effect. In practice, that tribunal risk is what actually limits how far above market rent you can realistically push an increase, more than any statutory ceiling.

This guide sets out how the process works now, what "fair" means for a rent increase in practice, the notice requirements, and the tribunal risk if a tenant disputes the figure. It reflects the position in England as of August 2026; Wales and Scotland have separate rent-setting rules not covered here.

Fixed term vs periodic

Before May 2026, how you increased rent depended on the type of tenancy. A fixed-term assured shorthold tenancy could only have its rent changed during the fixed term if the tenancy agreement included a rent review clause, or if the tenant agreed to a variation. Once a tenancy became periodic (rolling on month to month after the fixed term ended), a landlord could use the Section 13 process to propose a new rent with appropriate notice.

Since 1 May 2026, fixed-term tenancies no longer exist for new lettings, and every existing fixed-term tenancy converted automatically into an Assured Periodic Tenancy on that date. This changes the rent increase picture in one important way: a rent review clause written into an old fixed-term agreement no longer has any special force. The only lawful route to increase rent on an existing or new tenancy now is the revised Section 13 process, regardless of what a tenancy agreement's rent review clause says. If you are relying on an old contractual review clause to justify an increase, it will not hold up if challenged.

Fair rent considerations

A Section 13 notice should reflect a genuine assessment of what similar local properties are actually letting for, not a routine annual uplift applied out of habit. This matters more since the reforms because a tenant who thinks the proposed rent is above the market rate can refer the increase to the First-tier Tribunal (Property Chamber) before it takes effect, and the tribunal will assess the market rent independently.

Building a fair case for an increase generally means:

• Checking comparable local rents for similar properties, size and condition, rather than relying on a headline "average rent increase" figure from the news, which may not reflect your specific area or property type.
• Accounting for genuine changes, such as improvements you have made to the property (a new kitchen, better insulation, an upgraded EPC rating), which can justify an increase above a simple inflation-linked figure.
• Being consistent with your own portfolio, since a pattern of unusually large increases across your properties, if it ever came under scrutiny, is harder to defend as "market rate" than a proportionate uplift backed by comparables.
• Keeping a record of how you arrived at the figure, including screenshots or notes of comparable listings, so you have something to show if the tenant challenges the notice.

A worked example: a two-bedroom flat currently let at £950 a month has not had a rent increase in 18 months. Comparable two-bedroom flats in the same street and condition are currently advertised at £1,050 to £1,100. The landlord proposes an increase to £1,050, keeping a note of three comparable listings as evidence. Because the figure sits within, rather than above, the range of genuine local comparables, it is well placed to survive a tribunal challenge if the tenant disputes it, whereas a proposed increase to £1,200 with no comparable evidence would be far more exposed.

Notice requirements

Under the revised Section 13 procedure, a landlord must give the tenant at least two months' written notice of a proposed new rent before it takes effect, using the prescribed form. A rent increase can only be proposed once every 12 months for the same tenancy, counted from the date the previous increase took effect (or the start of the tenancy, if there has not yet been one).

There is no shortcut around this process for an existing tenancy. Verbal agreement to pay more, without following the Section 13 process, is not a safe way to formalise an increase, since either side could later dispute what was actually agreed. Putting every increase through the formal notice, even where you expect the tenant to accept it without objection, creates a clear paper trail and keeps the increase legally sound if the tenancy is later reviewed for any reason.

A rent increase that skips the correct process, or that is served with less than the required two months' notice, is simply not valid. If a tenant challenges an improperly served increase, or refuses to pay it, you would need to start the Section 13 process again from scratch with a fresh notice, losing the time already elapsed. Given that a rent increase can only be proposed once every 12 months per tenancy, getting the notice right first time matters more than it might seem, since a rejected or invalid notice does not "pause" the 12-month clock, it simply wastes part of it.

Tribunal risk

If a tenant believes a proposed increase is above the market rate for comparable local properties, they can refer it to the First-tier Tribunal (Property Chamber) before the new rent takes effect. The tribunal assesses the market rent independently and can set the increase at the figure the landlord proposed, below it, or, since the reform, potentially above it if the tribunal's own assessment of the market rent is higher than what was proposed.

This cuts both ways. A landlord who under-prices an increase out of caution has some room for the tribunal to confirm a higher figure is fair, but the far more common scenario is a tenant challenging an increase they consider excessive, in which case the tribunal can reduce it. Because a referral pauses the increase taking effect until the tribunal decides, an aggressive rent increase that ends up being challenged and reduced can cost more in delay and administration than a more measured figure would have, even before considering the effect on the tenant relationship.

Rent increases are also one of the more common triggers for a tenant falling behind on payments shortly afterwards, particularly if the increase is proposed without much warning or context. Our guide to rent arrears covers how to respond if a tenant struggles to keep up after a legitimate increase, and our broader guide to the Renters' Rights Act sets out how rent increases fit alongside the wider possession and tenancy reforms.

How Property HQ helps

Property HQ's compliance register tracks each tenancy's last rent review date alongside your certificates and licensing deadlines, so you can see at a glance when a property is next eligible for a Section 13 notice and avoid accidentally proposing an increase inside the 12-month window.

Disclaimer

This guide reflects the Section 13 rent increase process under the Renters' Rights Act 2025 as understood in August 2026. It is general information, not legal advice. Check GOV.UK or a qualified solicitor before serving a rent increase notice or responding to a tribunal referral.