From 1 May 2026, rent increases in England's private rented sector have followed a clearer legal framework. Landlords can increase rent once every twelve months through the Section 13 process using Form 4A, with at least two months' written notice provided to all named tenants.
While the process itself is defined, deciding the right level of increase requires careful consideration. A fair rent review should be based on genuine local market evidence while also recognising the importance of maintaining positive landlord and tenant relationships.
What the market data shows about rental growth
Recent rental market data shows that rental growth varies significantly across different parts of the country. Average figures provide useful context, but local conditions are what matter most when reviewing an individual property.
Some areas continue to experience stronger rental growth, while others have seen rents remain stable or decline. This variation means that national averages should be used as a guide rather than as the sole basis for setting a new rent.
The most reliable evidence comes from understanding what similar properties in the immediate area are currently achieving. A landlord should consider comparable homes with similar size, condition, location and features when deciding whether an increase is appropriate.
What fair means under Section 13
The open market rent is the key benchmark used when assessing a proposed increase. If a tenant challenges an increase, the First-tier Tribunal considers what rent could reasonably be achieved for the property based on factors including condition, location, size and comparable rental evidence.
A fair increase is not simply the highest amount a landlord could request. It is an amount supported by evidence showing what similar properties are achieving in the current market.
An increase that reflects local rental values is more likely to be accepted and easier to justify. A figure that cannot be supported by comparable evidence may create unnecessary uncertainty if challenged.
How to gather the right evidence
Before serving a Form 4A notice, landlords should gather relevant evidence to support the proposed rent. This can include current asking rents for similar properties, recently agreed rental figures and information available through letting agents with knowledge of the local market.
Comparable evidence should be genuinely comparable. A well-maintained three-bedroom property in a popular location should not be directly compared with a property requiring significant improvements or one in a different area with different demand levels.
Keeping a record of the evidence behind a rent review helps demonstrate that the increase has been considered carefully and based on current market conditions.
The importance of affordability and retention
A rent increase that is legally permitted may not always be the best commercial decision. A reliable tenant who looks after the property and pays consistently provides valuable stability.
The cost of finding a new tenant, including potential void periods, marketing and letting costs, can outweigh the additional income created by an increase that causes a good tenant to leave.
Successful landlords balance market evidence, legal requirements and the value of maintaining strong long-term tenant relationships.
Talk to our lettings team about managing rent reviews
