Farms urged to prepare for changes to residential lets

Farm businesses have just four weeks left to prepare for changes to the Renters’ Rights Act, with tenancies within the private rented sector set to receive a major overhaul.

Farms with residential lets or sublets must be compliant with any rule changes by 1 May.

However, these changes do not typically apply to properties let out as part of a Farm Business Tenancy or an Agricultural Holdings Act tenancy.

See also: Renters’ Rights Bill: What it means for rural residential landlords

Matthew Scott, director at Strutt and Parker, said: “This means where a farm tenant has sublet a cottage – perhaps to a worker or non-agricultural occupier – that subtenancy could become an assured periodic tenancy from 1 May 2026, with the subtenant acquiring enhanced rights.

“It is vital that farmers do not overlook the need to take action, as failure to comply with the new rules could result in a significant fine.”

Under the new rulings, no fault evictions will be abolished, meaning landlords will need to provide specific grounds to regain possession of a property.

Rental increases will be limited to once every year, and landlords will be permitted to request up to one month’s rent in advance.

They will also be prohibited from unreasonably refusing tenants’ requests to keep pets.

Additionally, Assured Shorthold Tenancies will automatically convert to agreements without a fixed end date.

Landlords will also be required to offer a written agreement between parties, and must provide existing tenants with a copy of the Renters’ Rights Act Information Sheet 2026, which outlines the changes.

Mr Scott said: “Although the act does provide a mandatory possession ground for a property housing an agricultural worker, the ability to use this depends on how the tenancy was first documented.

“So, if you have agricultural tenancies with residential subletting in the mix, now is the time to review.”