Landlords ‘prepare for change’ as Tenants’ Bill of Rights comes in – Mortgage Strategy
Landlords across the UK are in for a big change as the first phase of the Tenants’ Rights Act (RRA) comes into force today.
The latest Q1 2026 Landlord Trends data from Pegasus Insight shows that 80% of landlords are concerned about the new law.
Pegasus found that 70% believe the RRA will have a negative impact on their lettings business and 77% expect it will hurt the market as a whole.
This concern is already translating into behavioral change. Four in five landlords said the move would make them more selective about who they let out, while 75% of those planning to raise rents said they would do so to offset the expected impact of the changes.
Many of these concerns center on the perceived loss of control, particularly in relation to the removal of ‘no-fault’ evictions, the potential for delays in repossession and major issues with how rents are managed over time.
However, a separate Tenant Trends study by Pegasus for Q1 2026 suggests that, in fact, the sector may be more stable than many landlords expect.
The average renter has spent more than five years in one home, and two-thirds of renters intend to stay in their current place for another 4.3 years on average.
Forced eviction cases also remain relatively low, with only 3% of employers reporting that they have been served with an eviction notice in the past 12 months and only 0.6% contesting an eviction notice.
Taken together, the findings point to a clear disconnect. While homeowners prepare for increased chaos and uncertainty, most renters are already behaving like long-term residents, valuing stability and continuity in their homes.
This mismatch between landlord expectations and tenant behavior has important implications for future market conditions, Pegasus said.
If landlord concerns continue to drive cautious letting strategies and increased pressure on rental properties, there is a risk that behavioral responses to the law could have a greater short-term impact on the sector than the changes themselves.
At the same time, Pegasus said the fundamentals of the Private Rented Sector remain supported by stable employment and consistent demand, and long-term occupancy continues to support reliable rental income.
Pegasus Insight managing director Mark Long said: “Landlords are responding to the perceived change in regulation, and that is already influencing decisions about rental properties and tenant selection before it is implemented.
“But tenant data tells an important story. Most tenants are stable, long-term tenants and a few tenants end up in conflict or evicted.”
“For lenders and investors, that stability is important, supporting revenue predictability and reducing risk across the board.
“The key question now is whether confidence returns once the new framework is in place, or whether caution continues to shape landlord behavior over time.”
