Types of Tenancies

From 1 May 2026, the Renters’ Rights Act 2025 changes how most private rented homes in England are let. In practical terms, most landlords will now be dealing with assured periodic tenancies, or APTs, rather than ASTs. Rent periods are limited to monthly, or 28 days or less.

Assured periodic tenancy (APT)

From 1 May 2026, a letting of a dwelling-house in England is an assured tenancy if, in broad terms:

• the tenant, or each joint tenant, is an individual rather than a company
• at least one joint tenant occupies the property as their only or principal home
• the letting is not excluded by the Housing Act 1988 rules.

If it is not assured, it will usually be a contractual tenancy under common law, or a licence. Different notice and possession rules apply.

Fixed terms no longer work for assured tenancies

Assured tenancies are now periodic. If your agreement talks about a fixed term, that wording does not create one in law.

If a landlord tries to grant a fixed-term assured tenancy, they may face a financial penalty of up to £7,000.

Rent periods are restricted

For new assured tenancies, rent periods must be:

• monthly, or
• 28 days or less, such as weekly or fortnightly.

The tenancy periods follow the rent cycle. If the tenancy starts on the 15th and rent is due on the 15th, each period will usually run from the 15th to the 14th.

If an agreement uses a longer period, such as quarterly, six-monthly or yearly, that part does not work. The tenancy is treated as monthly instead, and the rent is converted using the statutory method.

Drafting points after 1 May 2026

If you are issuing a new assured tenancy agreement, draft it as periodic from the start.

• Remove wording such as “for a term of 12 months”. It will not do what you want.
• Remove renewal clauses and “end of term” machinery.
• State the rent period clearly, making sure it is monthly or 28 days or less.
• State the rent due date clearly and keep it consistent. Rent periods and notices often depend on it.

If the rent period is invalid

If the agreement sets a rent period longer than the law allows, it is replaced with monthly periods and the rent is converted using the statutory formula:

(R ÷ D) × 30.42

Where:

• R is the rent due for the first invalid rent period
• D is the number of whole days in that period

If you try to charge rent every six months, the tenancy is treated as monthly, and the rent is worked out by converting the intended amount.

Rent due dates and rent in advance after 1 May 2026

There is a difference between:

• rent being due on the first day of the rent period, which is often fine, and
• rent being due before the rent period it relates to starts, which is not allowed for new tenancies.

Ongoing rent in advance for new tenancies

For assured tenancies entered into on or after 1 May 2026, any term is ineffective so far as it requires rent to be paid before the rent period it relates to.

Usually fine:

• “Rent is payable monthly on the 1st”
• “Rent is payable weekly every Monday”
• “Rent is payable on the last day of each month”

Not fine:

• requiring payment for a period before that period starts, for example, “rent for 15 Aug-14 Sep payable on 1 Aug”
• wording such as “pay at least three days before it’s due”
• setting one rent period but requiring payment on an earlier standing date, for example, periods running from the 20th to the 19th, but payment is always required on the 15th.

If an agreement includes unlawful early-payment wording, that wording is ignored, and a lawful due date applies instead, called a statutory substitute rent day. In many cases, this will be the regular due date. If there is no consistent pattern, it defaults to the first day of each rent period.

Tenancies entered into before 1 May 2026

The new ban on ongoing rent-in-advance does not apply in the same way to tenancies entered into before commencement. Even so, those tenancies still convert to assured periodic tenancies, and the rent periods, and sometimes the statutory rent calculation, may still change if they used longer rent periods.

What happens to existing tenancies on 1 May 2026

Automatic conversion

On 1 May 2026, existing assured and assured shorthold tenancies convert automatically into assured periodic tenancies, subject to the transitional rules.

Where the rent period is already compliant

If rent is already:

• monthly, or
• weekly or fortnightly, meaning 28 days or less,

it will usually continue after conversion without any recalculation.

Where the rent period is longer than monthly

If an existing tenancy uses quarterly, six-monthly or other longer rent periods, those periods can continue until the end of the period that spans 1 May 2026. After that, monthly statutory rent periods apply, and the rent is converted using the statutory method.

That matters because once the tenancy is on a monthly period, other rules tied to rent periods, such as rent increases, notice timing, and arrears thresholds, will usually operate by reference to that monthly structure.

Written statement of tenancy terms

New assured tenancies

For new assured tenancies, landlords must give the tenant a written statement containing the prescribed terms and prescribed information before the tenancy is entered into, subject to limited exceptions where a 28-day window applies.

The written statement of terms must be provided before the tenant commits (before the tenancy is entered into), and keep evidence that you did.

Existing tenancies

For existing tenancies at commencement, the transitional requirements depend on whether the tenancy is:

• wholly or partly in writing, or
• wholly oral.

Broadly:

• if the tenancy is wholly or partly in writing, you usually do not need to reissue a full written statement just because the law has changed, but you will need to provide an Information Sheet within one month
• if the tenancy is wholly oral, you must provide a compliant written statement within the transitional deadline.

Initial rent and pre-tenancy payments

The rules on money taken before move-in are tight.

As a working rule for landlords and agents:

• do not require or accept rent before the tenancy has been entered into, meaning signed and legally binding
• once the tenancy has been entered into, you can take the initial rent during the short pre-tenancy window, but only for:
  • the first rent period, and
  • in some cases, extra rent periods that end within the first 28 days of the tenancy
• taking several months upfront as rent for a new assured tenancy does not fit the post-commencement structure and should not be part of your usual process.

Holding deposits and tenancy deposits are separate issues and sit on the initial rent and tenant fees pages.

Assured shorthold tenancies (before 1 May 2026)

ASTs have been removed from the Housing Act 1988 framework. For most private landlords, the default tenancy under that Act is now an assured periodic tenancy.

There is a limited transitional exception. An AST can continue for a time if a valid section 21 or section 8 notice was served before 1 May 2026 and the possession claim is already underway, or can still be issued within the allowed time. The detail sits in the possession guidance.

Other tenancy types

Not every letting is assured. The right notice and possession route depends on what the occupier actually has.

Regulated tenancies under the Rent Act 1977

Private lettings that began, or were agreed, before 15 January 1989 are often regulated tenancies, unless the landlord and tenant lived in the same house. They come with stronger security of tenure and rent control. Possession is more restricted and often depends on serious arrears or suitable alternative accommodation.

Contractual tenancies under common law

These usually arise where the letting cannot be assured. A letting may fail the basic assured tenancy conditions, or it may be excluded by Schedule 1 to the Housing Act 1988.

Common examples include:

• the tenant is not an individual, such as a company let
• the property is not the tenant’s only or principal home
• the rent is above the high-rent threshold, or no rent or only a very low rent is payable
• resident landlord arrangements that fall outside the assured tenancy framework
• holiday lettings, business tenancies, licensed premises, and some agricultural or farming arrangements
• fixed-term tenancies granted for more than 21 years, and some transitional fixed-term tenancies of more than seven years but not more than 21 years
• tenancies that form part of a regulated home purchase plan
• some student accommodation arrangements, particularly where specified educational institutions, student landlords, housing management codes of practice or specified building classes are involved
• certain interim homelessness accommodation provided under the Housing Act 1996
• certain Crown or public-sector lettings where another statutory regime applies.

Here, the contract and common-law notice rules may do most of the work, and the possession process is different from the assured tenancy route. Check the precise exclusion before deciding which notice and possession procedure applies.

Licences and lodgers

A licence is permission to occupy without a tenancy. The usual signs of a tenancy are:

• exclusive possession
• a fixed or periodic term
• payment of rent.

Exclusive possession is often the key question. If the occupier shares accommodation with a resident owner, as in a typical lodger arrangement, they are usually a licensee rather than a tenant.

Excluded occupiers under the Protection from Eviction Act 1977

Some occupiers are excluded for certain purposes under the Protection from Eviction Act 1977. This can include lodgers sharing accommodation with a resident landlord, some holiday arrangements, or occupation granted otherwise than for money or money’s worth. Even where an occupier is excluded, it is still unlawful to evict them by force.

Do not guess the tenancy type

If you are not sure whether a letting is assured, contractual or a licence, get advice before granting the tenancy, serving notices or starting possession proceedings. Using the wrong route is a common cause of delays, failed claims, and unnecessary costs.