- Local authorities across England funded an extra £41 million to cover costs for new enforcement powers through the Renters’ Rights Act
- Money will help councils oversee new legal protections for 11 million private renters from 1 May – a huge overhaul including a ban on Section 21 ‘no-fault’ evictions and rogue landlords will face fines of up to £40k
- Multimillion-pound investment in civil courts will see justice for renters and landlords done
From 1 May, local renters will benefit from greater protections from rogue landlords, with councils armed with strengthened duties and powers to oversee the government’s flagship Renters’ Rights Act.
With less than a month to go until these significant new protections kick in, councils are receiving extra funding, training and guidance they need to fulfil their new duties.
All 317 local authorities are getting a share of £60 million in total ahead of the Act coming into force in just a few weeks – the pot of cash comprises of £41.12 million in new funding following an initial £18.2 million allocated to councils last autumn.
To ensure justice is delivered for both renters and landlords up to £50 million will be invested to modernise the civil courts and this includes digitalising court processes. Further still, an additional £5 million is being invested into fee uplifts for the housing legal aid sector each year, so all renters can continue to access free help and support in the event of facing eviction from their home.
New powers for councils coming on 1 May include
- A duty to enforce councils will be legally obliged to make sure landlords are complying with the new rules that ban old practices like rental bidding wars, discrimination against tenants with kids or receiving benefits and ‘no-fault’ evictions.
- Bigger fines landlords seriously or repeatedly breaking the law will now face higher fines of up to £40,000 – up from £30,000.
- Rent Repayment Orders will also be heftier if the rules aren’t being followed – going from one year’s worth of rent to two years – and tenants can challenge offences going back to two years, up from one year.
This follows expanded investigatory powers that came into force last December for councils to carry out ramped up, more thorough investigations where they suspect landlords are breaking the law – from the entering the premises without having to give prior notice to landlords to accessing information from third-parties like banks and accountants.
Housing Secretary Steve Reed said
“It’s less than a month until the Renters’ Rights Act begins to transform our private rented sector – a huge manifesto commitment.
“We’ve been preparing councils to use their new powers on the minority of landlords who rip off their tenants and this new funding will help councils carry out their duties.
“Stronger powers and fines will help deter wrongdoing in the first place, as we work towards a better rental system that’s fairer to tenants and good landlords.”
Courts Minister, Sarah Sackman KC said
“The Renters’ Rights Act is historic, and our courts and tribunals must stand ready to deliver justice.
“That’s why we’re investing millions to modernise and digitise court processes. Access to justice is crucial, so we’re also keeping court fees low and providing free legal aid advice to those who need it most.”
Chief Executive of the National Residential Landlords Association, Ben Beadle said
“Rogue landlords have no place in the private rented sector and every effort should be made by local authorities to drive them from the market.
“This announcement demonstrates that the government is serious about tackling those who bring the sector into disrepute and supporting those responsible landlords who provide decent and secure homes for renters.”
Chief Executive of Generation Rent, Ben Twomey said
“The Renters’ Rights Act is a vital step in addressing the power imbalance between tenants and landlords. But the law will only reach into people’s homes and make a positive difference to their lives if councils are able to take actions against landlords who don’t follow the new rules. Therefore, we’re pleased to see the government commit further funding for councils, boosting their ability to make sure renters feel the benefit of the changes from May 1st.”
Further information
See here an easy explainer on the changes coming in the Renters’ Rights Act on 1 May.
See here an easy explainer on what landlords need to do be ready for the changes.
£60 million to support councils’ enforcement duties comprises of £41.12million in new funding this April, on top of an £18.2 million provided on 30 November 2025.
Local authorities will continue to receive additional yearly funding to support their new duties under the Renters’ Rights Act.
The £50 million court investment is for civil courts as a whole but include preparations for the Renters’ Rights Act. It covers the current Spending Review period ending 2028/29.
