The Renters’ Rights Act 2025 is reshaping student housing

One pitfall we anticipate is where a tenancy is exempt when it is granted, but the PBSA provider no longer satisfies the qualifying criteria by the time the tenant takes up occupation. 

We expect the regulations to say that the tenancy would then automatically become an assured tenancy, with the landlord only able to end the tenancy under one of the statutory possession grounds.

Provisions where new tenancies are not exempt (and more pitfalls)

Landlords of student tenancies that are not exempt can use a new ground for possession, Ground 4A, if the property:

• qualifies as an HMO, and
• is let to full-time students.

However, there are two more pitfalls:

• if an exempt PBSA provider grants a tenancy which fails the exclusion tests because the tenant is not a student at an SEI, the landlord will not be able to use Ground 4A (as the property is not a qualifying HMO).
• the landlord can only use Ground 4A if it has notified the tenant in writing before the tenancy is granted (or, if the assured tenancy is the result of a tenancy ceasing to be exempt, within 28 days of the “conversion” to an assured tenancy).

The transitional regime for existing tenancies

A different regime applies to existing student ASTs granted for the 2025-26 academic year – these will automatically convert to assured periodic tenancies, but with temporary arrangements for existing “specified student tenancies”.

A modified Ground 4A will apply to all “specified student tenancies” during the transitional phase, even if the property is not a HMO.

Transitional regime pitfalls

As with new tenancies, we need to see the supplemental regulations that will specify exactly how these transitional provisions will operate.

However, we already know of some practical issues which landlords may face under the transitional provisions:

• after converting existing PBSA tenancies under the act, landlords must notify all tenants in writing within 28 days that the modified Ground 4A will apply.
• once an existing PBSA tenancy has converted under the act, tenants can serve two months’ notice to quit at any point, leaving the landlord with unexpected voids.
• if tenants do not leave at the end of the academic year, landlords will need to take possession proceedings – with the risk of court delay.

Most students will not be aware of the act, and it will be important for landlords to communicate clearly and promptly with tenants to avoid confusion.

Watch this space

The act will create two completely new regimes – one for new tenancies, and one for existing tenancies. With less than six months before implementation, landlords will need to get up to speed with all the forthcoming supplementary regulations so they are not left with tenancies they cannot terminate after 1 May.

Henry Moss, partner, and Alison Murrin, expertise counsel at Ashurst law firm