The new government promises to improve and complete the reforms the Conservatives first proposed, then diluted, and eventually abandoned before the general election. Now named the Renters' Rights Bill, it aims to "decisively level the playing field between landlords and tenants," according to Housing Minister Matthew Pennycook.

A key element of the bill is the ban on no-fault evictions under Section 21 (S21) of the 1988 Housing Act, which allows landlords to evict tenants with two months' notice without giving a reason. Housing advocates argue that such evictions are a major cause of rising homelessness. Although former Conservative Prime Minister Theresa May pledged to end S21 evictions in 2019, and it was included in Boris Johnson's manifesto, the Tories ultimately postponed the move indefinitely after pressure from landlord MPs. Labour has now revived the proposal, confirming in the first King's Speech that it will strengthen the original plan.

Landlords will retain the right to evict tenants for legal reasons, such as rent arrears or anti-social behavior. The bill also proposes a new Private Rented Sector Landlord Ombudsman for resolving complaints and a landlord database to ensure legal compliance.

The bill will also address rent increases, banning mid-tenancy hikes and allowing landlords to raise rent only once a year, based on market rates. Campaigners are calling for rent controls, but Labour believes building more homes is a better solution. The bill will reform the First Tier Tribunal, limiting its power to set rent higher than what landlords initially asked for and offering tenants more protection against excessive rent hikes.

Tenants will also gain the right to request pets, and landlords will have to provide valid reasons for refusal, with the option to request insurance for potential pet-related damage. The reforms will crack down on bidding wars by requiring landlords to publish set rent prices and banning any bids above that price.

Additionally, the bill will replace fixed-term assured tenancies with periodic ones, giving tenants greater flexibility to leave their homes if circumstances change, such as a new job or relationship breakdown. Landlords will need to provide four months' notice if they need to sell or move into the property, and tenants will be protected from eviction for the first 12 months of their tenancy.

Finally, the bill will explicitly ban discrimination against tenants receiving benefits or with children, a practice that currently denies many families access to housing. The new law aims to ensure fair access for all renters, with an explicit prohibition on such discriminatory policies.