How to Renew a Tenancy Agreement in London
Japan Sales & Lettings Agency Ltd
Established 1986, London's bilingual Japanese and English property agency. Decades of experience supporting Japanese corporate expatriates with letting, sales and property management.
Renewing a tenancy used to be one of the simplest dates in a landlord's calendar. As a fixed term came to an end, you would either sign a fresh agreement for another year or let the tenancy continue. The Renters' Rights Act 2025, in force from 1 May 2026, has changed that rhythm completely, and many London landlords are understandably unsure what "renewal" even means now. This guide walks through the new picture so you can keep things straightforward, lawful and fair.
Fixed terms have gone, so there is nothing to expire
The most important shift is that fixed-term assured shorthold tenancies have been replaced by periodic tenancies that roll month to month. A tenancy no longer reaches an end date that triggers a renewal decision. Instead it simply continues until either the tenant gives notice to leave or you, as the landlord, have a valid legal reason to seek possession. In practice this means the annual "renew or not" conversation is largely a thing of the past. If you would like the full background on how these rolling arrangements work, our guide to the periodic tenancy under the RRA 2025 explains the mechanics in plain terms.
What "renewal" now means in practice
Because the tenancy continues automatically, renewing is no longer about re-signing for a further fixed period. What landlords usually want to achieve at this stage is one of two things: to review the rent, or to update the terms of the arrangement. Both are still possible, but each follows its own route, and neither requires the tenant to start a brand-new agreement. Thinking of it as a periodic relationship that you maintain, rather than a contract you renew, tends to make the rules far easier to apply. This is also a good moment to check that your wider obligations are in order, which our complete guide to letting a property in London sets out from start to finish.
Reviewing the rent the right way
Under the new framework, rent can be increased once a year. The correct method is a Section 13 notice giving at least two months' written notice of the proposed new figure. You cannot raise the rent by simply asking the tenant to sign a new agreement at a higher level, and rolling several increases together is not permitted. If the tenant feels the proposed rent is above the market level, they can challenge it at the First-tier Tribunal. It is worth knowing that the Tribunal cannot set the rent any higher than the figure you proposed, so a considered, evidence-based proposal protects both sides. A sensible review reflects genuine local comparables rather than an arbitrary jump.
Updating terms without resetting the tenancy
Sometimes the goal is not a rent change at all, but a tidy-up of the terms, perhaps to reflect a new managing arrangement or to clarify responsibilities. You can agree changes with the tenant in writing, and many landlords find a short written variation cleaner than relying on memory or informal messages. What you should not do is use a "renewal" document to reintroduce anything the Act now prohibits, such as banned fees or terms that cut across a tenant's statutory protections. Remember too that discrimination against families with children or against people in receipt of benefits is prohibited, and that advertised asking rents cannot be exceeded through bidding. These principles apply throughout the life of a tenancy, not only when it begins.
Pets, conditions and other mid-tenancy requests
A continuing tenancy will often bring requests you did not anticipate at the outset. The clearest example is pets. A tenant may now ask to keep a pet, and you must not unreasonably refuse, although you may require pet insurance to cover potential damage. Handling such a request fairly and promptly is part of maintaining a healthy periodic tenancy, and it usually costs far less goodwill than a flat refusal. Keeping the property itself up to standard matters just as much. The Decent Homes Standard and Awaab's Law-style timescales for dealing with serious hazards now extend to the private rented sector, so a request to address damp or disrepair should be treated with real urgency.
When you genuinely need the property back
There are times when continuing the tenancy is not what you want, for example if you intend to sell or a close family member needs to move in. Section 21 has been abolished, so possession is now only available through the Section 8 grounds, such as the landlord selling, a landlord or close family member moving in, serious rent arrears or anti-social behaviour. Serving the correct Section 8 notice with the right notice period, and keeping written evidence, is essential. It helps to understand which routes apply to your situation early on, and our overview of the common grounds for possession in London sets these out clearly.
Staying compliant across the tenancy
Whether or not you ever sign another document, your core duties continue throughout a periodic tenancy. You must be a member of a government-approved redress scheme and registered on the Private Rented Sector Database. Safety paperwork does not pause either: a valid EPC, an annual Gas Safety Record, an EICR at least every five years, and working smoke and carbon monoxide alarms all remain part of letting lawfully. A deposit, capped at five or six weeks' rent depending on the annual rent, must stay protected in an approved scheme with prescribed information provided.
Non-resident landlords and tax
If you live outside the UK for six months or more, the Non-Resident Landlord Scheme may mean basic-rate tax is deducted from your rent unless HMRC has approved gross payment, and you remain responsible for UK tax through Self Assessment. None of this changes simply because a tenancy rolls on rather than being renewed, but it is worth reviewing periodically. This is general information, not advice, and your accountant can confirm how it applies to you.
A calmer way to think about renewals
The practical takeaway is that London landlords no longer need to chase a renewal deadline. A periodic tenancy continues on its own, the rent is reviewed once a year by the proper notice, terms can be varied by written agreement, and possession follows a defined legal route when you genuinely need it. Approached this way, the end of what used to be a fixed term becomes far less stressful. If you would value a steady pair of hands to keep the paperwork, rent reviews and compliance on track, our team is always happy to talk it through. You may also find our note on what a letting agent actually does a useful starting point.
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