Purpose built student accommodation (PBSA) – Navigating the Renters’ Rights Act transitional period

In our last blog post we looked at the PBSA exemption in the Renters’ Right Act 2025. Since that post, the Government has published its implementation roadmap confirming that the new Renters’ Rights Act tenancy regime will come into force on 1 May 2026. The Government has indicated that the Statutory Instrument exempting qualifying PBSA from the assured tenancy regime will come into force on the same date. This blogpost examines what the Renters’ Rights Act changes mean for existing student contracts for this 2025/26 academic year. In a future post we will explore what providers can be doing to prepare for the 2026/27 academic year.

What does this mean for 2025/26 contracts?

It is understood that the PBSA exemption will not apply retrospectively to PBSA tenancies already in existence on 1 May 2026. Baroness Taylor, the housing minister steering the Bill through the House of Lords commented at Report Stage that:

“To apply the exemption retrospectively would carry significant risk, as it would turn one of these existing PBSA tenancies into what is known as a “common law” tenancy: that is, a tenancy almost entirely regulated by what is in the tenancy agreement. This could cause unintended consequences, such as those PBSA tenancies containing significantly fewer rights for tenants than the assured shorthold tenancies they will have signed. It could also cause problems for the landlords of those tenancies in the event that the tenancy agreement does not give them adequate forfeiture rights. We do not consider it to be the right approach, therefore, to simply exempt pre-existing PBSA tenancies from assured tenancy status”.

Conversion to assured periodic tenancies on 1 May 2026

It is therefore expected that students currently occupying private PBSA will see their tenancies convert from assured shorthold tenancies to assured periodic tenancies on 1 May 2026. The only exception to this would be if there is a valid s21 notice outstanding (discussed further below).

 The Act contains transitional provisions that apply to existing tenancies that PBSA providers will want to familiarise themselves with. For example, there is a carve out for existing tenancies from the Renters’ Rights Act prohibitions on asking for rent in advance. However, like other private rented sector tenancies converting to assured periodic tenancies, landlords will be under a duty to give tenants a copy of the Government’s “Information Sheet” on or before 31 May 2026 informing them of the changes made by the Act. They will also need to be prepared for the fact that fixed terms will no longer exist, a student could serve a notice to quit terminating their tenancy before the end of the previously agreed booking period and any rent taken for days after the end of the tenancy would need to be refunded.

What happens if there’s an outstanding section 21 notice?

Landlords of assured shorthold tenancies are still able to section 21 notices before 1 May 2026 provided they satisfy the conditions for serving a s21 notice. If there is a valid s21 notice outstanding on 1 May 2026 the tenancy will remain an assured shorthold tenancy until either:

• The student moves out and the tenancy ends;
• The student remains in occupation, and the landlord has requested the court to issue a possession claim before 31 July 2026 (or before the notice limitation period of 6 months expires, whichever date is earlier). In this case the tenancy will remain an AST until those proceedings are concluded; or
• The student continues to remain in occupation after 31 July 2026 and the landlord has not requested the court to issue a possession claim. In this case the tenancy will convert to an assured periodic tenancy on 1 August 2026.

Section 21 notices cannot expire before the end of a fixed term so for current tenancies with end dates beyond 31 July 2026, serving a s21 notice will not be an option as it will expire after the cut-off date and be invalid.

Where tenancies are due to end before 31 July 2026 then the landlord may wish to serve a section 21 notice before 1 May 2026 to preserve the student’s AST status until the tenancy end date. In many cases the tenant will then leave on his or her own accord. If they did not, then swift action would be required to start a court claim before 31 July 2026 otherwise the student’s tenancy would convert to an assured periodic tenancy on 1 August 2026. The Government has produced guidance on giving notice before 1 May 2026.

Ground 4A – Student Accommodation Ground for Possession

Where a landlord cannot rely on a s21 notice (for instance because their current tenancies end after July 2026) landlords of eligible PBSA tenancies will have access to an amended Ground 4A: the student accommodation ground, to assist them with recovering possession as they transition out of the assured tenancy regime. Our colleague, Nikki Basin, has written about this new mandatory ground for possession and the conditions that need to be met.

The transitional provisions in the Renters’ Rights Act modify the Ground 4A conditions for existing tenancies so that the requirement that a landlord cannot use the ground if the tenancy was entered into more than 6 months before its start date does not apply. Further, instead of requiring the landlord to give a written statement before the tenancy is entered into of their wish to recover possession under this ground, the requirement is to give tenants the written statement on or before 31 May 2026. This is important as a failure to provide this statement by this deadline will prevent a landlord from relying on Ground 4A.

The transitional provisions contain further modifications for a “qualifying student tenancy.” This is an existing tenancy if any of the following is a member of a specified housing management code of practice:-

1. The landlord;
2. A person appointed to act on the landlord’s behalf in respect of the tenancy;
3. A person appointed to discharge management functions in respect of the building which comprises the dwelling-house or in which the dwelling-house is situated.

In summary, this will be existing tenancies that fall within the PBSA exemption in the Renters’ Rights Act. If the tenancy qualifies, then in addition, the requirement in Ground 4A that the property is an HMO will not apply and neither will the requirement for the s8 notice seeking possession to expire between 1 June and 30 September. Therefore, Ground 4A will be less restrictive for eligible PBSA tenancies and, unlike the rest of the private rented sector, it can be used in respect of properties occupied by one or two tenants.

As with the PBSA exemption itself, regulations need to be made to confirm the detail and specify the housing management code of practice, but it is expected that this will be the ANUK/Unipol Code.

What PBSA providers can be doing now to prepare?

PBSA providers who are expecting to fall within the exemption should be considering now how to prepare for the transitional regime including:

• Considering whether to serve section 21 notices before 1 May 2026 for tenancies ending in advance of the 31 July 2026 cut-off date.
• Communicating the expected changes to their tenants. Many students will not be aware of the Renters’ Rights Act changes and may be surprised to learn that they no longer have a fixed term agreement. While the details of the exemption are still to be confirmed, students will need to be given clear communications about the expected impact on their tenancy, what it will mean to have a periodic “rolling” contract and what they need to do bring their tenancy to an end. Providers will also have think carefully about how they communicate the changes so they do not inadvertently fall foul of the prohibitions in the Act regarding bringing tenancies to an end, for example, by insisting a student must move out on their previously agreed check-out date. Different approaches may be required for students whose tenancies end before or after the 31 July 2026.
• Familiarising themselves on what documents they will need to give tenants on or before the 31 May 2026 including the Government’s “Information Sheet” and the Ground 4A written statement if they intend to rely on the new Ground 4A possession ground. The Government indicated in their roadmap that the Information Sheet will be published online in advance in March 2026.
• Applying for Code membership, if eligible. While it is not possible to say with certainty at this stage who will fall within the exemption as the details will need to be set out in regulations, the Government confirms in their roadmap their intention that the exemption will exempt private PBSA that complies with the UNIPOL and ANUK student housing codes. As Code membership is required for the exemption and to access modified Ground 4A it is vital that steps are taken early to ensure membership in advance of the Act’s commencement date on 1 May 2026.

How can Anthony Gold help you?

The Renters’ Rights Act brings a substantial shake up of the private rented sector and is particularly complicated for PBSA providers who will need to manage tenancies converting to periodic tenancies mid-year whilst also transitioning to a new tenancy regime for the next academic cycle.

If you are a PBSA provider and need help navigating the new legal landscape, please contact our expert housing team at mail@anthonygold.co.uk or 020 7940 4060.