Government defends ban on rent in advance in Renters’ Rights Act

Government defends ban on rent in advance in Renters’ Rights Act

8:33 AM, 11th December 2025, About 2 months ago 28

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The government have hit back at claims banning rent in advance will lock tenants out of the market.

In the Renters’ Rights Act guide, the government claim large amounts of rent can be “a significant barrier to renting”.

Under the Renters’ Rights Act, landlords and agents will no longer be allowed to accept large amounts of rent in advance, despite warnings from industry experts it could risk excluding vulnerable tenants from the market.

Banning rent in advance will protect tenants

In the Renters’ Rights Act guide, the FAQs section asks whether banning rent in advance could lock some tenants out of the market, for example, those with poor credit histories.

The government disagrees and says the measure is designed to protect tenants.

The guide says: “Requirements for large amounts of rent in advance can be a significant barrier to starting to rent or moving into a new rented home.

“While some tenants can use rent in advance to their advantage, we believe that by prohibiting rental bidding and requests for large upfront payments, we will protect more tenants from situations where they are pitted against one another and face undue costs.

“We are clear that landlords should consider a tenant’s individual circumstances when negotiating rental conditions.”

However, as previously reported on Property118, Propertymark has warned that banning rent in advance could have unintended consequences, particularly for students.

ARLA Propertymark regional executive for Cornwall, Sophie Lang, said: “A lot of the time, when we ask for rent in advance, it’s at the tenant’s request. It’s not necessarily the landlord, unless it’s international students who don’t have a UK-based guarantor.

“This is a tenant-led option that helps them manage their finances. Banning it makes no sense.

“It will limit students’ access to affordable housing, and at a time when we’re trying to encourage more young people into higher education, it could reduce access, especially for the most vulnerable. You’ll end up with only the wealthiest being able to go to university.”

Tenants will remain free to pay prior to the rent due date

As previously reported on Property118, landlords can only accept rent in advance in certain circumstances, such as when the property is let by the council to a tenant who is legally homeless.

Landlords could face fines of up to £7,000 if they request rent in advance, as councils will have the power to take action against those who ask for payments before a tenancy agreement has been signed.

However, the government has confirmed that landlords should consider a tenant’s individual circumstances, and tenants will still be able to pay rent in advance if they choose to.

The guidance says: “While landlords will be restricted from including terms in a tenancy agreement which require rent to be due in advance of the rent period to which the rent relates, tenants will remain free to pay prior to the rent due date should they wish to do so.

“This maintains flexibility for tenants to manage their tenancies in the way that best suits them. A landlord will not be able to require a tenant to pay their rent before it is due.”


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Ross Tulloch

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Member Since April 2017 - Comments: 163 - Articles: 1

9:51 AM, 11th December 2025, About 2 months ago

Sadly another group of people we will not be able to rent to . This year two people without jobs but one offering 3 months in advance, another 5 months. We took a risk, but now sadly cannot take such people on. (they both have jobs now and are fine)

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Simon Williams

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Member Since July 2016 - Comments: 153

9:58 AM, 11th December 2025, About 2 months ago

A few months ago, I took on a Hong Kong family who were really struggling to find accommodation. They could not provide the usual references and neither of them even had a job. Their sole income was from private bond trading as they’d both previously worked in a Hong Kong bank. The only basis upon which I could take them on was that they offered to pay 12 months rent in advance. The idea that it is for the better protection of tenants to take that right away in future under the RRA, is the ultimate example of pig-headed stupidly which makes me despair of the idiots who run this country.

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moneymanager

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Member Since February 2018 - Comments: 627

10:25 AM, 11th December 2025, About 2 months ago

Reply to the comment left by Simon Williams at 11/12/2025 – 09:58
‘which makes me despair of the idiots who run this country”, for me, it confirms their actual mendaciousness, societal destruction isn’t an accident, it’s a strategy

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Kate Gould

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Member Since February 2025 - Comments: 63

10:41 AM, 11th December 2025, About 2 months ago

“The guidance says: “While landlords will be restricted from including terms in a tenancy agreement which require rent to be due in advance of the rent period to which the rent relates, tenants will remain free to pay prior to the rent due date should they wish to do so.”
So the tenant fails the financial check and can’t offer a UK guarantor but offers to send several months’ rent in advance if they are accepted. The tenancy says rent is only payable one month in advance, but it’s only signed because the tenant pays more in advance. Is the landlord committing an offence in that situation or not?

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Ross Tulloch

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Member Since April 2017 - Comments: 163 - Articles: 1

11:04 AM, 11th December 2025, About 2 months ago

Reply to the comment left by Kate Gould at 11/12/2025 – 10:41
I think that the war on landlords and tenants means we are not allowed to accept this payment, but am I right?

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Reluctant Landlord

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Member Since September 2018 - Comments: 3443 - Articles: 5

11:46 AM, 11th December 2025, About 2 months ago

Reply to the comment left by Kate Gould at 11/12/2025 – 10:41
yes.

I think!

There are 2 points here. One is the actual PAYMENT of the FIRST months rent in advance. A contract can’t request this, and the LL can’t encourage this, but if T does send the first months rent through anyway by their own action (how is a LL supposed to actually prevent or block this from happening?), then that is T choice and as far as I can see this is ok. The tenant took the action of their own free will.

If the issue is about the AMOUNT of rent in advance, then this again cannot be in the contract as anything more than a month. The LL cannot encourage this or the contract be seen in anyway to be based on this happening.

So if a contract says £800 pcm, and the monthly rent only payable on the rent due date in the contract for that month ahead, but then as soon as the contract is singed the T sends over 6 months rent of his own free will (and in breach of the actual contract), then I suppose the LL can explain again this was not a contractual obligation and either offer to return the additional 5 months (overpaid) OR offer to keep this is rent credit?

Would this be a suitable solution to the situation? Puts the ball back in T court and shows there is no way the LL could have prevented this or ‘encouraged’ this in any way but is endeavouring to address the situation which has in effect been caused ONLY by T’s own action?

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Reluctant Landlord

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Member Since September 2018 - Comments: 3443 - Articles: 5

11:55 AM, 11th December 2025, About 2 months ago

Reply to the comment left by Kate Gould at 11/12/2025 – 10:41
or…

in this case if the tenancy could not reasonably be secured (due to the perceived risk) WITHOUT the use of more than 1 months RIA, then the gov counter argument that it is not reasonable to offer a tenancy on this basis in the first place.

Therefore, while the LL remains on the right side of the RRA, the tenant remains homeless. ???

The only other thing is the T finds a rent guarantor company that can stand in as a guarantor?

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Peter G

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Member Since March 2018 - Comments: 181

13:47 PM, 11th December 2025, About 2 months ago

Government should be open to feedback to get the regulations right for tenants and landlords. Instead these clowns are like Nelson, looking blindly and seeing nothing, and listening only Shelter and homeless charities. Meanwhile ignoring the needs of many other renting types

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Nickyh

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Member Since December 2025 - Comments: 1

15:33 PM, 11th December 2025, About 2 months ago

I arranged a meeting with my really good tenant yesterday to discuss the proposed non advance payments. At the moment my tenant pays 6 months in advance twice a year.
The contract ends mid May 2026, the tenant wants to do the same ( pay in advance, any way which is legal ) The tenant will not pass the credit checks if this is not possible due to the loony legislation. Her previous gaurantor is not an option. So do I now serve a s21 while I can.
It’s mental !!!

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John Porcella

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Member Since January 2023 - Comments: 26

19:49 PM, 11th December 2025, About 2 months ago

Reply to the comment left by Ross Tulloch at 11/12/2025 – 09:51
If a tenant offers, voluntarily, to pay in advance, that is surely acceptable?

If I were looking for accommodation in a new city, I should be minded to offer, say, six minthsnof rent in advance, for a small discount.

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