Welcome to our Christmas Newsletter
Landlord Broadband welcomes you to the latest edition of our quarterly newsletter. We hope that you enjoy it. If the latest industry news, customer market updates, and new content interests you, then read on.
Latest News
Scottish Letting Day 2025
In October, the team at Landlord Broadband made their way up to Edinburgh to attend the 2025 Scottish Letting Day. It was a fantastic opportunity for us to connect with the Scottish market and emphasise the importance of reliable broadband connection in Scottish properties. The Scottish Gas Murrayfield Stadium made for an excellent venue, and the exhibition hall was bursting with service providers like us. We want to thank everybody who paid our stand a visit. People are at the heart of everything we do in this industry, and the day was filled with likeminded landlords and professionals seeking expert help. We’d also like to thank the Scottish Association of Landlords for organising the event, and providing such insightful information via the guest speakers.
NRLA UK Housing Conference 2025
Our final event of the year was the NRLA UK Housing Conference in Liverpool. The National Residential Landlord’s Association always host exceptional events, and this one was no different. We had a great day meeting industry professionals from all over the country and attending the expert-led sessions. The Conference was another opportunity for Landlord Broadband to demonstrate what it is that we do, and how we can boost your property’s appeal. With so much happening in the industry this year, and even more changes to come in 2026, we want to thank the NRLA and everybody who attended for their time and insights as this year comes to a close.
Blue Bricks Magazine Property Awards Nomination 2026
Spirits are high here at Landlord Broadband, and we’re not talking about Christmas spirit! We have been recently nominated for ‘Service Provider of the Year’ – a prestigious award presented by the Blue Bricks Magazine at their highly-anticipated Property Awards. Thank you to everybody for your continued support and trust in Landlord Broadband and our services. Without you, nominations like this wouldn’t be possible. We hope to see you all at the Blue Bricks Property Awards on the 21st May, 2026.
Industry News
Legal
The most significant legal update to the landlord industry since our last newsletter is the passing of the Renter’s Rights Act 2025. The Act received Royal Assent on the 27th of October, 2025, although we can expect most major changes to happen in 2026.
In order to prepare for these major changes, we’ve created a list of reforms that are expected to take effect on the 1st of May, 2026. It’s important to note that all of these reforms will apply to new and existing tenancies.
Abolition of Section 21 Evictions
Landlords will no longer be able to use a ‘no-fault’ Section 21 notice to end a tenancy simply because the fixed term has ended or they want the property back. This change is arguably the biggest of them all, and means that landlords will have to rely on the Section 8 grounds for possession, which require you to prove a specific, legally defined reason to the court.
New mandatory grounds have been introduced due to the loss of Section 21. These include selling the property, the landlord or their close family moving in, and tenant fault grounds. We suggest that landlords review this major change to prevent any unwelcome surprises as we move into 2026.
New Tenancy Structure (Assured Periodic Tenancies)
The fixed term of an Assured Shorthold Tenancy (AST) is being abolished, and all tenancies will be open-ended rolling contracts from the start (no fixed end date). For tenants, this provides increased security as they can only be evicted if faced with a proven Section 8 ground.
Tenants also gain more flexibility, and can end their tenancies at any point by giving two month’s notice. However, for landlords, this increases the risk of shorter void periods and makes financial planning more challenging. Preparation now is key.
Rent and Financial Requirements
Landlords’ ability to increase rent is now more restricted and formalised. From the 1st of May, 2026, landlords are only allowed one rent increase per year. Furthermore, all rent increases must me made using a revised Section 13 notice, requiring at least two months’ notice to the tenant.
It is also important to note that tenants will retain the right to challenge any increase at the First-tier Tribunal (Property Chamber) if they believe it is above the local market rate. For landlords, this means that you must be able to provide evidence that your proposed rent increase is fair and in line with comparable local rents.
Ban on Rental Bidding
This ban will prevent rental bidding, a practice often used in high-demand markets. From now on, landlords must only accept the advertised rent. Landlords and agents are banned from soliciting, encouraging, or accepting a higher offer from prospective tenants. This will ensure transparent pricing and stop ‘bidding wars’.
Rent in Advance Limit
In 2026, we can expect a limit on the upfront costs landlords can require from a tenant. The maximum upfront will be one month’s rent in advance, in addition to the permitted tenancy deposit (which remains capped at five weeks’ rent).
However, landlords will retain the right to request a guarantor to secure the tenant’s rental obligations. This is particularly relevant for tenants with lower/non-traditional incomes, such as students.
Anti-Discrimination
A ‘No DDS’ refers to the illegal practice of refusing a tenancy application solely because the tenant receives benefits or has children. This section of the Renter’s Rights Act makes this legal principle explicit, and focuses on affordability.
Landlords must assess a tenant based on their individual income, including income from Universal Credits/Housing Benefits. Landlords will retain the power to reject a tenant if their total income is insufficient, but this must not be based on the source of their income.
Tenants’ Right to Request a Pet
The Renter’s Rights Act 2025 formalises the process for tenants wanting a pet. From May 2026, landlords must consider and cannot unreasonably refuse a written request from a tenant to keep a pet.
Landlords can require the tenant to purchase pet insurance to cover potential damage to the property. Additionally, you can request a tenant pays an increase security deposit (provided that the cap allows this) for the cost of professional cleaning or damage caused by the pet.
Any refusals must be reasonable. Some examples of reasonable refusals are the property being too small, a superior lease forbids pets, or the bet is demonstrably unsuitable.
Overall, the Act is set to induce more formalities on the landlord’s side, and will provide tenants with greater security and quality of housing. We urge you to take a look at any changes that may impact you in greater detail, to ensure a smooth transition into 2026. The link below will take you to the Renter’s Rights Act, where you can read up on everything expected to come in the new year.
Finance
The Autumn Budget 2025 announced changes that will primarily impact unincorporated landlords. These changes are generally scheduled to take effect in the coming years. Below, we have provided you with some key financial updates to be aware of.
Upcoming Income Tax Changes for Landlords
Landlords operating as individuals (unincorporated) must prepare for significant Income Tax increases on rental income starting in the 2027-2028 tax year. The Basic Rate will rise from 20% to 22%, the Higher Rate from 40% to 42%, and the Additional Rate from 45% to 47% on net rental profits. Crucially, the tax credit for mortgage interest relief will also increase slightly to the new basic property rate of 22% to align with these new bands. Landlords should review their tax planning and structure now.
Personal Allowance Freeze and Fiscal Drag
Further compounding the tax burden, the freeze on personal Income Tax thresholds has been extended until April 2031. This “fiscal drag” will push more landlords into the higher 42% and 47% property tax bands as rents and inflation rise. The combination of increased rates and frozen thresholds will significantly reduce take-home income for many individual property owners, making cash-flow analysis and portfolio optimisation more critical than ever.
Making Tax Digital (MTD) Implementation
The mandatory digital reporting regime for Income Tax is proceeding as scheduled. From April 2026, landlords with a gross income over £50,000 must begin keeping digital records and submitting quarterly updates to HMRC. This requirement will be extended to those with gross incomes between £30,000 and £50,000 from April 2027. Landlords must ensure they have the necessary approved software and systems in place well ahead of their relevant start date to avoid non-compliance penalties.
High-Value Property Surcharge (Mansion Tax)
Landlords owning properties valued at £2 million and above (based on a 2026 valuation) will face a new annual Council Tax Surcharge starting in April 2028. This surcharge, ranging from £2,500 up to £7,500, targets the highest-value properties in England. If your portfolio includes high-value assets, factor this new annual operational cost into your long-term investment projections and exit strategies.
For further information on these key updates, we have provided links below:
Upcoming Income Tax Changes for Landlords
Personal Allowance Freeze and Fiscal Drag
Making Tax Digital (MTD) Implementation
High-Value Property Surcharge (Mansion Tax)
Technology
Technology is no longer optional – it is mandatory for modern compliance and efficiency. With the rollout of Making Tax Digital (MTD) and the Renters’ Rights Act 2025 demanding stringent record-keeping, PropTech solutions are evolving rapidly. From AI-driven systems to handle tenant vetting to RegTech tools that create auditable legal trails, embracing new technology is key to protecting your assets and simplifying the management of your portfolio under the new regulatory landscape.
Mandatory Digital Tax Compliance (MTD) is Here
The timeline for Making Tax Digital (MTD) for Income Tax Self Assessment (ITSA) is now set and approaching fast. If your gross rental and self-employed income exceeds £50,000, mandatory compliance starts in April 2026; if your income is between £30,000 and £50,000, you follow in April 2027. This change requires you to abandon paper records and adopt MTD-compatible software for continuous digital record-keeping and mandatory quarterly submissions to HMRC. You must proactively select and integrate a suitable software solution now to ensure a smooth transition and avoid potential penalties.
RegTech is Now Essential for Compliance
The implementation of the Renters’ Rights Act 2025, particularly the end of Section 21 evictions, makes robust Regulatory Technology (RegTech) crucial for protecting your investment. New, complex possession grounds require a perfect, auditable history of your actions. Modern PropTech solutions now provide automated documentation trails for maintenance requests and tenant communications, ensuring you possess the legally sound evidence required for successful possession claims. Additionally, prepare for the required digital registration as the national Private Rented Sector (PRS) database rolls out.
AI and Automation for Proactive Property Management
Leverage new Artificial Intelligence (AI) tools to stay ahead of stricter regulations like Awaab’s Law and manage the increased administrative load. AI is enhancing tenant management through rapid, secure, AI-driven tenant vetting and referencing, mitigating the risk of difficult tenancies in a post-Section 21 environment. Furthermore, deploy smart maintenance systems that use IoT sensors and AI to predict and prevent failures like leaks and boiler issues before they escalate, helping you meet mandatory repair deadlines and reduce costly emergency call-outs.
Customer Markets
Landlords
Rental Market Dynamics: Demand Shifts and Location Focus
October 2025 data indicates that the UK rental market is entering a more balanced, albeit cautious, phase. While average rents have hit new record highs (national average around £1,385 pcm), the pace of annual rent growth has significantly slowed, offering tenants some reprieve. Crucially, tenant demand has notably eased—down around 14-20% year-on-year – primarily due to economic uncertainty and increased homeownership opportunities for first-time buyers. This trend means that the best-presented and most competitively priced properties will attract tenants faster. To outperform the market, you must focus your strategy on the regions still showing robust growth, such as the North East and parts of the North West, and ensure your property offers a high-quality, modern living experience.
The Essential Amenity: Connectivity and Broadband Quality
In this more competitive rental market, the quality of a property’s digital connectivity has moved from a bonus feature to a core, non-negotiable utility. With hybrid working models now permanent and smart home technology widespread, tenants overwhelmingly prioritise properties with fast, reliable broadband – often specifically demanding access to full-fibre. Landlords who fail to provide superior connectivity risk longer void periods and must charge lower rents. Proactively investigating and marketing the presence of full-fibre (FTTP), or providing managed high-speed Wi-Fi, is essential for attracting high-calibre tenants, justifies premium pricing, and future-proofs your asset value. For more information on easy solutions, visit our website! Given the rapid digital shift, ensuring your administrative processes are also future-proof is vital, particularly with new mandatory digital reporting requirements coming soon.
PBSA
Strong Fundamentals Driven by Global Demand
The Purpose-Built Student Accommodation (PBSA) sector continues to show resilience, with strong investment volumes recorded in Q3 2025. This strength is underpinned by the persistent supply-demand imbalance, especially around Russell Group and high-tariff universities. While there has been a notable decline in postgraduate taught (PGT) entrants, largely due to recent policy changes affecting international students bringing dependents, this loss is being counterbalanced by a robust undergraduate market and a flight to quality among the remaining international students. Landlords should focus their strategy on assets located near top-tier institutions, as these command higher rents and maintain stronger occupancy compared to stock near lower-tariff universities.
Affordability vs. Quality and the Private Rented Sector (PRS) Competition
The key tension in the PBSA customer market is now affordability. Although overall rental growth has moderated from its recent peak (returning to a pre-pandemic trend of 2–3% annual growth), a significant proportion of student beds are priced above the maximum maintenance loan, creating an affordability gap. This gap is pushing some students back towards the traditional private rental sector (HMOs). To combat this, landlords must ensure their premium pricing is justified by high-quality service, best-in-class communal amenities, and robust safety standards. Furthermore, institutional investors are increasingly looking for ESG-compliant assets, meaning that well-managed, energy-efficient stock attracts not only higher rental premiums but also stronger interest from future purchasers.
Serviced Accommodation
The Shift to Corporate and Mid-Term Stays
For landlords operating in the Serviced Accommodation (SA) sector, the customer profile has fundamentally shifted since late 2025. The market is now heavily focused on corporate, extended-stay, and project-based bookings, often lasting between 2 and 12 weeks. This high-value segment is driven by major UK infrastructure and energy projects, corporate relocations, and a rise in international assignees needing temporary housing. This trend provides a more stable revenue stream with high mid-week occupancy compared to relying solely on fluctuating short-term leisure tourism. Landlords must tailor their marketing – using corporate booking platforms rather than just traditional booking sites – and ensure their properties meet the exacting standards of business travellers to capture this reliable, profitable demand.
Sustainability and Contactless Guest Experience
In the modern Serviced Accommodation environment, the focus has moved beyond basic amenities to the overall guest experience and ethical compliance. Guests, particularly the growing Gen Z and corporate segments, are increasingly factoring sustainability credentials into their booking decisions. This means landlords should highlight eco-friendly practices, such as providing recycling options, using energy-efficient appliances, or having EV charging points, to secure high-quality bookings. Furthermore, seamless, contactless technology (e.g., smart locks, digital check-in) is now standard, enhancing security and allowing guests to manage their stay independently, which reduces your operational costs and improves review scores.
Social Housing
Critical Demand and Quality Investment Focus
The social housing customer market remains defined by an extreme, chronic supply-demand imbalance, with over 1.3 million households on waiting lists in England as of October 2025. This overwhelming demand is driven by high levels of statutory homelessness (now representing 28% of new lettings) and private rental sector affordability crises. Landlords operating in or partnering with this sector, including Private Registered Providers (PRPs) and local authorities, face immense pressure to deliver high-quality homes. Investment is now heavily prioritised towards retrofitting and decarbonisation to meet strict 2030 EPC targets, which, while costly, is essential for improving tenant well-being (e.g., tackling damp and mould) and securing future green funding.
Affordability Checks and Rising Regulatory Scrutiny
A significant shift in the customer market is the increasing use of affordability checks by housing associations, which are now denying offers to the poorest households due to concerns over tenancy sustainment, welfare reform, and the benefit cap. This creates a “catch-22” for the most vulnerable. Furthermore, the market faces heightened regulatory scrutiny, with the new Social Housing Regulation Act raising the bar on property conditions, tenant safety, and complaint handling. Landlords must invest in both better financial resilience and sophisticated asset management systems to balance the increasing costs of maintaining and upgrading existing stock while meeting the greater regulatory accountability placed on the sector.
Finally…
This year has been a difficult one for those of us in the landlord industry. With so many changes happening, and many more to come, this time of year can feel daunting. Landlord Broadband prides itself on hassle-free and reliable services, so if you feel your property could do with a boost, get in touch today. We wish you all a very merry Christmas, and a wonderful new year. See you in 2026!
If you would like to know how Landlord Broadband can help you:
Email us at customer.services@landlordbroadband.com
Call 0333 577 0600