When Can a Landlord Increase the Rent?
During a fixed-term tenancy (e.g. a 12-month AST), the rent can only be increased if the tenancy agreement contains a specific rent review clause that sets out the process. Without such a clause, the rent is fixed for the term and the landlord cannot legally increase it until the fixed term ends.
Once the tenancy becomes periodic (rolling month-to-month), the landlord can propose a rent increase โ but only once per year and only using the correct legal process. They cannot simply raise your direct debit; they must follow the Section 13 procedure or agree an increase with you in writing.
The Section 13 Procedure
Section 13 of the Housing Act 1988 is the legal mechanism for proposing rent increases for periodic assured and assured shorthold tenancies. To use it, the landlord must serve you with a 'Section 13 notice' (officially Form 4) setting out the proposed new rent and the date it will take effect.
The notice must give at least one month's notice (for monthly periodic tenancies) before the increase takes effect. The increase can only happen once every 52 weeks. If you don't agree with the proposed amount, you can challenge it at the First-tier Tribunal (Property Chamber) โ and the tribunal will determine what the market rent actually is.
- โธCorrect form: Must use the official Form 4 โ informal emails or letters proposing a rent rise are not valid Section 13 notices
- โธMinimum one month's notice: For monthly tenancies; two months for quarterly tenancies
- โธOnce per year maximum: No more than one increase per 52-week period
- โธDate of effect: Must be the first day of a rental period โ e.g. if you pay on the 1st, the increase must start on the 1st of a month
What Counts as 'Market Rent'?
The tribunal's benchmark is 'market rent' โ what the property would reasonably let for on the open market given its size, location, and condition. This means comparable properties in the same area are the key reference point.
To check whether a proposed increase is reasonable, search similar properties currently listed on Rightmove, Zoopla, or OnTheMarket. Look at the same number of bedrooms, similar distance to transport links, and comparable condition. If your landlord is proposing to put you significantly above market rent for equivalent properties, that's a strong argument in a tribunal.
Challenging an Increase at the First-tier Tribunal
If you believe the proposed rent is above market rate, you can apply to the First-tier Tribunal (Property Chamber) to have it assessed. The application is free, and the tribunal will determine what the open market rent should be. Critically, the tribunal can set a rent lower than the landlord's proposal โ but it cannot currently set a rent higher than the proposal (a protection for tenants).
You must make your application before the date the increase is due to take effect. Once it takes effect without challenge, you've accepted the new rent. The process involves submitting comparable evidence and attending (or submitting written representations for) a hearing, usually held locally or by video.
The Renters' Rights Act 2024: What Changes
The Renters' Rights Act 2024 โ expected to come fully into force during 2025 โ abolishes fixed-term assured shorthold tenancies and replaces them with periodic tenancies from the outset. This changes the rent increase landscape: all tenancies will be periodic, and all rent increases will need to go through the Section 13 process from day one.
Crucially, the Act also abolishes Section 21 'no-fault' evictions. This means landlords can no longer use the threat of eviction as indirect leverage when tenants challenge a rent increase. Together, these changes significantly strengthen tenants' ability to dispute increases without fear of retaliatory eviction.
Practical Negotiation Tips
Before going to tribunal, consider negotiating directly. A landlord proposing a 15% increase might accept 8% if you're a reliable, long-term tenant with no payment issues. Landlords often prefer a modest increase with certainty over a higher proposal and the risk of you leaving โ vacant properties cost money.
- โธCome with data: Show the landlord comparable rents in writing โ this demonstrates you've done research and are negotiating in good faith
- โธHighlight your value: Long tenancies, prompt payment, and minimal maintenance requests all have real value to a landlord
- โธPropose a compromise: Suggest a phased increase โ e.g. 4% this year, reviewed again in 12 months โ as an alternative to a large one-off rise
- โธGet it in writing: Any agreed rent increase, even an informal one, should be confirmed by email so both parties have a record
Key Takeaways
- โDuring a fixed-term tenancy, the rent can only increase if the agreement contains a rent review clause
- โFor periodic tenancies, landlords must use the Section 13 procedure โ informal requests to raise rent are not legally enforceable
- โRent can only be increased once every 52 weeks, with at least one month's notice
- โYou can challenge any increase at the First-tier Tribunal (Property Chamber) for free โ apply before the increase takes effect
- โThe tribunal sets 'market rent' โ it can reduce the landlord's proposal but cannot increase it above what they've asked
- โThe Renters' Rights Act 2024 abolishes Section 21 evictions, removing a key pressure point landlords previously used against tenants who challenged increases