Renters Right Act Letter June 2026

Dear customer,

Renters’ Rights Act 2025 (RRA)

We’re writing to let you know about some recent changes in the law that affect shared ownership homes.

Changes from 27 December 2025

From this date, shared owners are no longer legally classed as assured tenants. Instead, you’ll be recognised as a leaseholder.

What this means for you:

If you have any unpaid rent or service charges, the way we recover this has changed.

• We won’t use the previous process (such as a Ground 8 notice) to take possession of your home
• Instead, we’ll first apply to the court for a money judgement (for example, a County Court Judgement or CCJ)
• If the debt continues, we may need to take further legal steps, which could include ending your lease

If you were served a Notice of Seeking Possession before 27 December 2025, this will still follow the old process. Your agreement will continue as an assured tenancy until either the case is completed or the notice expires (after 12 months).

Changes from 1 May 2026 (Subletting)

Most shared ownership homes don’t allow subletting, but some leases do allow it with our permission. We review these requests on a case-by-case basis.

If you do sublet your home, there are some important legal changes to be aware of:

• Tenancy agreements will no longer be assured shorthold tenancies
• They will instead become periodic tenancies
• This means you can no longer use a Section 21 notice to end your tenant’s tenancy

Instead, you’ll need to use specific legal grounds for possession under the Housing Act 1988.

Common reasons for possession

You may be able to ask your tenant to leave if:

• You plan to move back into the property (Ground 1), or
• You plan to sell the property (Ground 1A)

These routes require at least 4 months’ notice.

Because this process can be complex, we strongly recommend getting advice from a solicitor or letting agent before taking action.

Important timeframes

• You can issue a Section 8 notice before 12 months has passed.
• However, you can’t take possession of the property until at least 12 months after the tenancy started.

Re-letting after possession

Normally, after using certain grounds (such as moving back in or selling), landlords can’t re-let the property for 12 months.

However, shared owners are exempt from this rule when using the selling ground (Ground 1A only), due to the added challenges of selling shared ownership homes.

Conditions for this exemption

To use this exemption, you must:

1. Let your tenant know in advance that you’re a shared owner, and that the 12-month re-let restriction may not apply.
2. Tell us in writing that you plan to sell your home before the date stated in your Section 8 notice.
3. Either:  
   • Get a RICS valuation, or
   • Actively market your home (for example, through an estate agent).

This exemption does not apply if you own 100% of your home through staircasing.

If you have any questions or need support, please get in touch with us - we’re here to help.

Information for shared owners

Guidance has been published by Government to highlight the changes to shared owners by the RRA.  Please follow the link to the Government website below:

https://www.gov.uk/guidance/the-renters-rights-act-and-shared-ownership-guidance-for-shared-owners-…

Best wishes

Plus Dane Housing