The Renters Rights Act 2025 (‘The Act’) will come into force on 1st June 2026 in Wales. Although most of the provisions relate to the private rented sector in England there are also provisions which apply here in Wales.
The main change for Landlords in Wales is that the Act will make it unlawful for Landlords to discriminate against prospective contract holders because they have children who live with them or are receiving benefits.
To implement these changes, the Act will add two new fundamental terms into all Occupation Contracts. The fundamental terms were first introduced under the Renting Homes (Wales) Act 2016. Fundamental terms are essential provisions which must be included in every Occupation Contract to ensure the same is valid and enforceable.
In essence, the new fundamental terms are as follows:-
- Right for children to live at the property
- Right to claim benefits.
The only exception to this change is if the current insurance for the property taken out before 1st June 2026, does not allow the Landlord to accept tenants with children or in receipt of benefits. Once the current insurance period ends, the Landlord must incorporate the new fundamental terms into the Occupation Contract.
If you already have an existing occupation contract in place you must provide the contract-holder with one of the following before 14th June 2026:-
- A written statement of the term or terms as varied, or
- A written statement of the occupation contract as varied
All new contracts issued from 1st June 2026 must include the two new fundamental terms referred to above. The Model Written Statements provided by the Welsh Government will be updated from 1st June 2026 to include these new fundamental terms.
Please find below guidance from the Welsh Government and Rent Smart Wales in relation to the changes:-
https://rentsmart.gov.wales/en/news/144/renters%e2%80%99-rights-act-steps-you-need-to-take
