As the industry continues to react to the Renters’ Rights Bill, most coverage has focused on the pressures it places on landlords – tougher compliance, tighter eviction rules, new registration requirements, and the looming impact on financing and valuations.

And yes, these challenges are real and probably scary for many. But there is an upside buried within the legislation that no one is talking about. In fact, it could become one of the most significant long-term positives for professional landlords and agents.

Ultimately, the Act will squeeze out rogue landlords, and that’s good for the rest of us

For years, responsible landlords and letting agents have operated at a disadvantage. Rogue operators have been able to undercut the market by:

• skimping on safety compliance
• offering low-grade accommodation
• dodging licensing and inspections
• ignoring tenant rights with little consequence

These bad actors drag down market standards, distort pricing, damage tenant trust, and tarnish the reputation of the entire industry. I think the Renters’ Rights Act could change this dynamic.

Compliance landscape

With the introduction of the national landlord database, strengthened enforcement powers, and significantly higher financial penalties, the cost of being a non-compliant landlord is about to rise dramatically.

Those who have been cutting corners will find the new regulatory environment far less forgiving, and for many, no longer profitable. The Negotiator ran an article just this week around a landlord being fined for leaving their tenants for 55 days without a working toilet, these sorts of things just shouldn’t happen.

The Act benefits good landlords and reputable agents because we should see less unfair competition, rogue landlords and agents that have been able to charge similar rents to compliant landlords (without absorbing compliance costs) will be removed. Market standards overall will be higher.

When non-compliant stock and agents quit the sector, the quality of the remaining homes and service landlords and tenants receive will improve. This strengthens consumer confidence and ultimately supports long-term values.

Furthermore, as tenants gain more transparency through the database and ombudsman, they will gravitate towards reputable landlords. Those who already maintain good properties and good relationships may see lower churn, fewer disputes and longer tenancies.

Every major regulatory shift in property, from HMO licensing to short-let regulation, has produced a familiar pattern. The least compliant operators exit, and the sector consolidates around more professional, better-capitalised landlords and agents. The Renters’ Rights Bill is likely to accelerate the same trend in the private rented sector.

None of this is to suggest that the Bill will be easy for landlords. It won’t.

Once the initial turbulence passes, the sector could emerge healthier and more stable than before.

A market with fewer rogue operators, higher standards, greater tenant confidence and clearer compliance expectations is a market that is ultimately better for serious landlords and agents.

It creates a foundation on which long-term, responsible investment can thrive, and for those who already operate to high standards, it gives them the competitive advantage they’ve long deserved.

The Renters’ Rights Bill is reshaping the rental landscape in profound ways. But amid the noise, we must not overlook its potential to professionalise the sector, elevate standards, and push out the operators who have held the industry back.

For the landlords and agents who already do things properly, this moment represents not just a challenge, but a real opportunity.

Angharad Trueman is ARLA Propertymark Past President and Advisory Panel Member and leads the lettings business within the Andrews Property Group.