Newham Council is set to implement stricter rules for private renters with the introduction of the Renters' Rights Act 2025, aiming to enhance tenant protections and security across the borough.
The new legislation, which comes into effect on May 1, 2026, will abolish Section 21 'no-fault' evictions, limit rent increases to once per year, and prohibit landlords from inviting or accepting offers above the advertised rent. It also introduces new civil and criminal offences for landlords who fail to comply.
Interim Chief Executive Paul Martin approved the implementation plan for the Act on April 29, 2026. A key decision was the adoption of a revised Private Sector Housing Enforcement Policy, which includes a discretionary 10% uplift on civil penalty starting points. This uplift is applied to reflect Newham's higher-than-average rents, which are approximately 34% higher than the national average, and is intended to ensure civil penalties remain an effective deterrent in the local market. The uplift will be reviewed annually.
The revised policy aims to create a consistent, fair, and proportionate enforcement framework. It details a matrix for determining civil penalties, with adjustments for aggravating and mitigating factors, financial considerations, and the principle of totality. The specific aggravating and mitigating factors considered will be based on the culpability of the offender and the harm caused. Culpability factors include the number of properties owned or managed, previous history of non-compliance, any admission of guilt, and how quickly non-compliance has been remedied. Harm factors include the level of risk posed to tenant safety and wellbeing, whether that risk has materialised, and the vulnerability of tenants.
Newham Council will regulate the private rented sector through this policy, which outlines how civil penalties will be determined. While the policy details the framework for setting penalties, the specific criteria for determining civil or criminal offences are not explicitly detailed beyond general non-compliance with the Act's provisions.
Maximum civil penalties have been increased to £40,000. The council has received new burdens funding from the Ministry for Housing, Communities and Local Government (MHCLG) to support preparation costs and manage the impact on homelessness services. This includes £168,000 for preparation costs, £600,000 for homelessness services in 2026/27, and a further £300,000 for 2027/28. An additional £364,000 for 2026/27 is allocated for increased enforcement.
To oversee the implementation, a Renters' Rights Act Project Board has been established, led by the Director of Housing Needs. The council is committed to ensuring the Act has a positive equality impact, particularly for groups disproportionately affected by poor-quality private rented housing, such as disabled residents, Black and Global Majority communities, pregnant tenants, and low-income households. Mitigating actions include providing multilingual guidance, proportionate enforcement, and officer training. The council will ensure multilingual guidance is accessible and effective by utilising 'Listen and Translate' website accessibility tools for enlarging text, audio readout, and instant language translation. Targeted engagement will also occur through landlord forums, tenant groups, voluntary and community organisations, faith partners, and libraries.
More information on the implementation plan can be found in the Public reports pack 29th-Apr-2026 Officer Key Decision.