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AuthorsZoe Conroy
3 min read
The implementation of the Renters' Rights Act (the Act) on 1 May 2026 brings a significant change to how landlords must treat properties let via shared ownership leases.
Social landlords may not yet be familiar with the provisions of the Act as its implementation has been delayed for low cost rental accommodation. This includes accommodation let below market rent and made available to people whose needs aren't met by the commercial housing market.
However, properties let through shared ownership leases won’t benefit from this delay. Shared ownership schemes are classed as low cost home ownership rather than low cost rental accommodation as lessees own a proportion of the property either outright or with the assistance of a mortgage. This means that landlords must be aware from the outset of the changes that the Act makes to the Housing Act 1988 and how these apply to shared ownership leases.
Here, Zoe Conroy from our housing and communities team explains the changes in more detail, highlights some of the key pitfalls that landlords need to be aware of and suggests ways to avoid them.
Section 31 of the Act introduces a new paragraph into Schedule 1 of the Housing Act 1988. As a result, the list of tenancies that can’t be assured tenancies now includes long leases. This is likely to capture properties let via social landlords’ shared ownership schemes.
The practical effect is that landlords can no longer rely on Richardson v Midland Heart Ltd [2008] L.&T.R. 31 to pursue possession on Housing Act 1988 grounds or to treat a shared ownership lease as an assured tenancy. From 1 May 2026, the route to seeking possession is via forfeiture.
Different rules apply to forfeiture proceedings, particularly in relation to the grounds on which a landlord may seek possession.
There are also significant differences when it comes to required processes before possession can be recovered that landlords must be aware of, including:
Landlords should familiarise themselves with the forfeiture procedure for recovering possession of a property and consider the following:
Our housing and communities team is one of the UK’s largest dedicated housing law practices, advising regional and national affordable housing providers, housebuilders and leasehold management companies on the full spectrum of housing issues.
If you’d like to discuss how these changes may affect you, call 0333 004 4488, email hello@brabners.com or fill in our contact form.
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