How will student accommodation be affected by the Renters' Rights Act?

Background:

The Renters’ Rights Act 2025 ('RRA') which received Royal Assent on 27 October 2025 is shaking up the private rental sector in England, and student landlords need to pay close attention. With the abolition of assured shorthold tenancies, no fault evictions and new rules on advance rent payments, the landscape will change quickly. 

This article considers what this will mean for both purpose-built student accommodation ('PBSA') and other student housing. 

Future Key Dates:

Some future key dates to be aware of are as follows:

• 27 December 2025: The exemptions for PBSA will come into force (subject to regulations).
• 1 May 2026: Assured shorthold tenancies will automatically convert to assured periodic tenancies (APTs). These are tenancies on a rolling monthly basis. 

Exemption:

For PBSA operators, they will be able to rely upon an exemption if certain criteria are met. This exemption is known as the student exemption.  Under this exemption, new tenancies can be granted as common law tenancies rather than APTs.  This is important as common law tenancies will allow fixed term agreements to be entered into aligned with academic years and advance rent payments will be permitted, (which are popular with overseas students who often struggle to provide guarantors). 

To qualify for the exemption:

1. The tenancy must be granted to a student (being a person who is pursuing or intends to pursue a course of study at a specified education institution); and
2. The landlord or manager must comply with a recognised management code of practice. Current indications are that this will be the ANUK code or similar. 

Where the exemption does not apply:

Student houses of multiple occupation (HMO), (which for the purposes of the RRA is a property rented by at least 3 people who are not from the same household. It does not mean that the property has to be a licensable HMO) and PBSA that do not qualify will not get the benefit of the student exemption so any assured shorthold tenancy granted before 1 May 2026 will automatically convert into an APT.  This means that they will no longer be for a fixed term and the tenancy will become a rolling one with tenants generally being able to give two months' notice to quit at any time.  This could create a real issue with voids. The problem will be more severe if properties have been let on a joint tenancy basis, as a notice to quit by one student could bring the whole tenancy to an end. 

New Possession Ground 4A:

There is a silver lining for HMO providers and PBSA providers that do not benefit from the student exemption as there will be a new possession ground which allows landlords to regain possession of properties let to students in line with the academic year. This is possession ground 4A. Under this ground provided the property is a HMO as defined by the RRA:

1. The tenant must meet the student test being i) the tenant is a full time student or ii) at the time the landlord reasonably believed that the ten ant would become a full time student during the tenancy; and
2. Written notice must be served on the tenant at the start of the tenancy advising that the landlord may seek to rely upon this ground; and
3. The notice seeking possession must give at least four months notice and expire between 1 June and 30 September; and
4. The tenancy cannot be granted more than 6 months' before it is due to commence.  This condition may start to affect student providers' annual letting cycles.  

It is important to note that possession ground 4A cannot be relied upon by a landlord of a non HMO student letting and so a letting of a studio apartment or a one or two bedroom property let to students will not benefit from this new possession ground. 

Changes to note: 

• New PBSA tenancies granted after 1 May 2026 will constitute common law tenancies.
• Existing PBSA tenancies in place on 1 May 2026 will convert to APTs unless the student exemption applies.
• If the student exemption does not apply for student lettings, but the property is a qualifying HMO as defined under the RRA, landlords will be able to rely upon the new possession ground 4A. A warning notice will need to be served on the tenant between 1 and 31 May 2026 advising the tenant that the landlord may wish to rely upon the new possession ground 4A. 

Key take away points for student accommodation providers: 

1. Be aware of the forthcoming changes and plan ahead, adjusting letting strategies to take into account the new regime.
2. Review current agreements to identify which tenancies will convert and whether any transition rules will apply.
3. Update tenancy templates so that common law tenancy agreements are granted for PBSA schemes and joint tenancies are no longer used for HMOs or smaller properties with tenancies of individual rooms being granted instead.
4. Ensure that code membership and management arrangements are in place if you are a PBSA operator.
5. Keep an active eye out for the regulations and codes of practice that will be published in May 2026.