Rent arrears can quickly become stressful for both landlords and tenants. For landlords, missed payments affect mortgage commitments, insurance, repairs and other financial obligations. For tenants, arrears can threaten the security of their home and may lead to possession proceedings.

The legal framework in England has changed significantly under the Renters’ Rights Act 2025, with the new tenancy and possession regime taking effect for private tenancies from 1 May 2026. Section 21 is no longer the ordinary “no-fault” route to possession. Where rent arrears arise, landlords generally need to rely on a relevant Section 8 ground and follow the prescribed procedure.

The best approach is usually early, proportionate and well documented. This article explains practical steps for preventing and managing rent arrears, while outlining lawful alternatives to immediate court action.

Preventing rent arrears before the tenancy starts

Good arrears management begins before the tenancy agreement is signed. Pre-tenancy checks should be thorough but proportionate, consistent and lawful.

Carry out a fair affordability assessment

Landlords and agents can assess whether a proposed tenancy is likely to be sustainable. Checks may include:

• income and employment information;
• evidence of benefit entitlement or other regular income;
• previous landlord references;
• credit checks, where appropriate;
• information about a guarantor; and
• the proposed rent compared with the applicant’s overall resources.

The assessment should focus on affordability rather than assumptions about an applicant’s background. Under the new regime, landlords and agents must not unlawfully discriminate against applicants because they receive benefits or have children. A landlord can still assess whether the rent is affordable, but should apply the same objective process to all applicants.

A policy such as “no benefits” may create legal problems. It is safer to record the actual affordability criteria being applied and explain any decision by reference to evidence rather than a blanket exclusion.

Use referencing information responsibly

Referencing should be relevant to the proposed tenancy and handled in accordance with data protection requirements. Landlords should avoid collecting more information than is reasonably needed and should keep a clear record of:

• what information was requested;
• why it was relevant;
• how it was assessed; and
• why the final decision was made.

If a tenant cannot meet a standard affordability test, possible alternatives may include a suitable guarantor or a different payment arrangement, provided the arrangement is lawful and does not amount to discriminatory treatment.

The Renters’ Rights Act also introduces restrictions concerning rent paid in advance. Landlords should obtain current legal advice before asking for substantial advance rent or including unusual payment terms in a tenancy agreement.

Spotting early warning signs

A tenant who misses one payment may be experiencing a temporary problem. It does not necessarily mean the tenancy will fail. However, silence and delay can allow a manageable shortfall to become a substantial debt.

Landlords should have a straightforward rent-monitoring process. This might include:

• checking payments against the rent schedule;
• contacting the tenant promptly after a missed or incomplete payment;
• asking whether the problem is temporary or ongoing;
• identifying whether a benefit payment or payroll issue is involved; and
• confirming discussions in writing.

Tenants should also make contact as soon as they know they may not be able to pay. Explaining the position early is usually more constructive than waiting for a formal notice.

Neither party should rely solely on telephone conversations. A short email recording what was agreed can prevent later disputes about the amount owed, payment dates or proposed arrangements.

Repayment plans: making an agreement workable

A repayment plan can be a sensible alternative to immediate possession action where the tenant has a realistic prospect of maintaining the tenancy.

A useful plan should state:

• the total arrears at the date of the agreement;
• the normal rent payment and its due date;
• the additional amount to be paid towards arrears;
• the date on which the plan starts;
• how payments will be made;
• when the arrangement will be reviewed; and
• what happens if a payment is missed.

The additional payment must be realistic. A plan that requires more than the tenant can afford is unlikely to succeed and may make the eventual arrears worse. Tenants should prepare an honest income and expenditure summary before proposing an amount.

Landlords do not have to accept an open-ended or unworkable proposal. They may reasonably ask for evidence of income, benefit applications or other information needed to assess whether the plan is viable. However, a properly considered plan may recover the arrears more reliably than immediate litigation.

A repayment plan does not automatically prevent a landlord from taking possession action. Its effect will depend on the wording of the agreement and the parties’ conduct. If a formal notice has already been served, the tenant should obtain advice before assuming that the notice has been withdrawn.

Benefits and local-authority support

Rent arrears may result from delayed wages, redundancy, illness, relationship breakdown or delays in benefit payments. Tenants should check whether they are entitled to housing-related support, including Universal Credit housing costs or other assistance available through their circumstances.

Useful first steps may include:

• making or updating a Universal Credit claim through GOV.UK;
• using an independent benefits calculator;
• contacting the local authority’s housing options or homelessness prevention team;
• speaking to a debt adviser or welfare rights adviser; and
• asking whether the council operates a rent-arrears prevention or discretionary support scheme.

A tenant should keep copies of claims, journal messages, award notices and payment dates. Where arrears are connected to a benefit delay, that evidence may be important in negotiations and, depending on the circumstances, in possession proceedings.

Landlords should not assume that a tenant’s benefits will automatically clear the debt. They should ask for evidence and maintain an accurate rent account while support is being investigated.

Possession routes under the 2026 regime

From 1 May 2026, Section 21 is no longer available for the ordinary private tenancy possession route in England. A landlord seeking possession will generally need to rely on a Section 8 ground, serve the correct notice and apply to court if the tenant does not leave.

For rent arrears, the principal grounds are:

• Ground 8: a mandatory ground where the statutory arrears threshold is met at the relevant stages, including when notice is served and at the hearing;
• Ground 10: a discretionary ground where rent is lawfully due and unpaid; and
• Ground 11: a discretionary ground concerning persistent delay in paying rent.

Under the new regime, Ground 8 generally requires at least three months’ rent arrears for a monthly tenancy, or 13 weeks’ rent for a weekly or fortnightly tenancy. The notice period for these rent-arrears grounds is generally four weeks. The precise calculation depends on the tenancy, the dates involved and the current legislation.

Grounds 10 and 11 do not require the same fixed threshold. They are discretionary, meaning the court considers whether possession is reasonable on the evidence before it. Payment history, the cause of the arrears, the tenant’s circumstances, the proposed repayment plan and the landlord’s conduct may all be relevant.

A Section 8 notice is not itself an eviction. If the tenant remains, the landlord must usually obtain a possession order. If the order is not followed, enforcement may require authorised bailiffs or another lawful enforcement process.

Landlords should use the correct prescribed form and current wording. Old templates may not reflect the post-May 2026 requirements. Tenants should check the grounds, rent account, notice period and procedural details as soon as they receive a notice.

Deposits, records and disputed sums

A tenancy deposit is not automatically a substitute for rent. A landlord should not simply treat the deposit as payment of arrears unless this has been properly agreed and the legal consequences have been considered.

At the start of the tenancy, landlords should ensure that the deposit is handled in accordance with the applicable protection and information requirements. Under the post-Section 21 regime, deposit compliance may affect a landlord’s ability to obtain possession in some cases. Tenants may also have claims where deposit obligations have not been followed.

Both parties should retain:

• the signed tenancy agreement;
• the deposit certificate and prescribed information;
• rent schedules and bank statements;
• inspection and inventory records;
• messages and letters about arrears;
• benefit correspondence;
• repayment-plan proposals; and
• evidence of payments made.

An accurate rent statement should distinguish rent, arrears payments, charges and any agreed credits. Errors in the account can undermine negotiations and create avoidable disputes at court.

Avoiding unlawful eviction

A landlord cannot remove a tenant by changing the locks, cutting off utilities, threatening the tenant or removing belongings simply because rent is unpaid. Possession must be recovered through the lawful process applicable to the tenancy.

If a tenant is threatened with immediate removal, they should seek urgent help from the local authority, Shelter, a law centre or a solicitor. A landlord who believes a tenant has abandoned the property should also obtain advice before taking possession, as abandonment can be fact-sensitive.

The Renters’ Rights Act strengthens enforcement against misuse of possession grounds and other serious breaches. A landlord should not serve a notice based on a ground without a proper factual and legal basis.

When should solicitors be instructed?

Early legal advice can be valuable before the dispute becomes a possession claim. Landlords may benefit from advice when:

• arrears are increasing despite informal contact;
• a repayment plan has failed;
• a Section 8 notice is being considered;
• the rent account is disputed;
• there are deposit or licensing issues;
• a guarantor may be liable; or
• court proceedings have been issued.

Tenants should seek advice promptly when they receive a notice, face court proceedings, believe the arrears figure is wrong, have a benefit-related defence, or are being pressured to leave without due process.

A solicitor can review the tenancy documents, calculate the arrears, assess the appropriate possession route, identify procedural defects and advise on negotiation or court representation. Both landlords and tenants should avoid relying on outdated forms or general online information where a possession deadline is approaching.

Practical checklist

For landlords:

1. Apply consistent, lawful affordability checks.
2. Monitor rent payments from the beginning.
3. Contact the tenant early after a missed payment.
4. Keep a clear rent account and written records.
5. Consider realistic repayment proposals.
6. Check benefit-related information where relevant.
7. Use the correct post-2026 possession procedure.
8. Never attempt a self-help eviction.

For tenants:

1. Contact the landlord as soon as payment problems arise.
2. Pay what you can and keep proof of every payment.
3. Check benefits and contact the council for support.
4. Ask for any repayment agreement in writing.
5. Check the arrears calculation carefully.
6. Do not ignore a Section 8 notice or court papers.
7. Seek urgent help if threatened with an unlawful eviction.

The GOV.UK guide to the Renters’ Rights Act and Shelter’s guidance on rent-arrears possession provide further general information. The law and implementation guidance may develop, so case-specific advice should be obtained before action is taken.

If you need advice about rent arrears, possession proceedings, tenancy documents or defending an eviction claim, contact our landlord and tenant solicitors at Tyndel Solicitors for practical legal assistance.