Periodic Tenancies Explained: What Landlords Need to Know for 2026

What is changing?

Under the Renters' Rights Act, all new tenancies will become periodic from the outset. This means there will no longer be a fixed term of six or twelve months. Instead, tenancies will roll on a month-to-month basis, with the tenant able to give two months' notice to leave at any time.

This is one of the most talked-about changes in the Act, and understandably so. Fixed-term tenancies have been the standard approach for decades, and moving away from them feels like a big shift for many landlords.

Do landlords still have control?

Yes. The move to periodic tenancies does not mean landlords lose the ability to manage their properties. It changes the structure, but the fundamentals remain the same.

Landlords can still set clear expectations at the start of a tenancy, carry out regular inspections, and take action if a tenant breaches the terms of the agreement. The tenancy agreement itself still sets out the rules and responsibilities for both sides.

The key difference is that landlords can no longer rely on the end of a fixed term to regain possession. Instead, they will need to use the updated Section 8 grounds if they have a legitimate reason to end the tenancy.

Selling or moving back into your property

If you need to sell your property or move back in, there are specific grounds under the updated Section 8 that allow you to do this. You will need to give the correct notice period and follow the proper process, but possession is still achievable.

For landlords who have been using Section 21 at the end of a fixed term to facilitate a sale or personal use, this is a change in process rather than a loss of rights.

Will tenants leave more often?

This is one of the biggest concerns landlords have about periodic tenancies. The worry is that tenants will leave at short notice, creating void periods and instability.

In reality, most tenants want stability too. Moving home is expensive and disruptive, and tenants who are happy with their property and their landlord tend to stay. The key to reducing turnover is offering a well-maintained property, fair rent, and responsive management.

Short-term tenants have always existed, regardless of the tenancy structure. The landlords who experience the least turnover are usually the ones who invest in the tenant relationship.

What landlords should focus on going forward

Rather than worrying about what periodic tenancies take away, it is worth focusing on what you can do to make them work in your favour:

• Keep your property in excellent condition to encourage long-term stays
• Price your rent fairly and in line with the local market
• Respond to maintenance requests promptly and professionally
• Build a positive relationship with your tenants from day one
• Work with a letting agent who understands the new framework

Will this increase void periods?

There is no evidence to suggest that periodic tenancies lead to significantly higher void periods. Void periods are more commonly caused by overpriced properties, poor condition, or slow re-letting processes.

If your property is well-presented, competitively priced, and marketed effectively, it will let quickly regardless of whether the previous tenant was on a fixed term or a periodic tenancy.

What happens if a tenant falls into arrears?

The possession grounds for rent arrears remain in place. If a tenant owes at least two months' rent, the landlord can apply for possession through the courts using the mandatory ground. There are also discretionary grounds for persistent late payment.

The process may take longer than a Section 21 notice, but it is still a clear and enforceable route to dealing with non-paying tenants.

Our approach at South Beach Lettings

We have already updated our tenancy agreements and management processes to reflect the move to periodic tenancies. Our focus is on helping landlords retain good tenants for as long as possible, which has always been the most effective way to protect rental income.

We handle the day-to-day management, communication, and compliance so that landlords do not need to worry about the details of the new legislation.

Final thoughts

Periodic tenancies are not something to fear. They represent a change in structure, not a loss of control. Landlords who focus on providing a good product and a good service will continue to attract and retain quality tenants.

The most important thing is to understand the new rules, update your processes, and work with professionals who can guide you through the transition.

Speak to South Beach Lettings

If you want to understand how periodic tenancies will work for your property, or if you have concerns about the changes, get in touch. We are happy to talk you through it and make sure you are prepared.