Challenging a Rent Increase on an Assured Shorthold Tenancy | LegalDocuments.co.uk

Overview

An assured shorthold tenancy is the standard form of residential letting for most private renters in England. During the fixed term of that tenancy, a landlord cannot simply raise the rent whenever they feel like it, there are rules about what is permitted and when.

Once the fixed term ends, things shift. The tenancy usually rolls over into a periodic arrangement (a statutory periodic tenancy), and the landlord has more routes available to propose a higher rent, including a formal statutory procedure. Tenants retain meaningful rights throughout.

You are entitled to challenge a rent that exceeds what the property would realistically let for on the open market, and in certain circumstances you can refer a proposed rent to the First-tier Tribunal (Property Chamber), which determines what a fair market rent should be. Understanding which stage your tenancy is at, fixed term, periodic, or being renewed, is the starting point for working out what you can do.

Key steps

1. Check the stage of your tenancy. Look carefully at your tenancy agreement and work out whether you are still in the fixed term, or whether that period has ended and you are now on a rolling periodic arrangement. The answer shapes which rules apply to any proposed increase and which challenge routes are open to you.
2. Read the rent review clause, if there is one. Many written tenancies include a clause dealing with how and when rent can be reviewed. Check the frequency, the method of calculation, and any notice requirements. If the landlord is relying on this clause, they must follow it exactly, a departure from the drafted procedure may mean the increase is not validly imposed.
3. Scrutinise any formal notice you receive. If you are on a periodic tenancy and your landlord serves a Section 13 notice under the Housing Act 1988, check the dates, the proposed new rent, and the notice period carefully. Errors in formal notices are common and can render them ineffective, so do not assume a notice is valid just because it looks official.
4. Compare the proposed rent to the local market. Research what similar properties in your area are actually letting for. Look at comparable flats or houses on the main portals, filter by size and condition, and build a realistic picture. If the proposed rent is clearly above market, you have a credible basis for negotiation or a tribunal referral.
5. Decide whether to negotiate, refer, or move. You can write to your landlord setting out why the increase is unreasonable and propose a lower figure. If agreement cannot be reached and a Section 13 notice has been served, you may refer the matter to the First-tier Tribunal before the new rent takes effect. Alternatively, giving notice and moving on may be the right choice if the numbers no longer work.

Common questions