The Landlord Ombudsman & Renters Rights Bill – We Explain it All

Landlords: The UK Rental Market is Evolving – Are You Ready to Evolve With It?

As the owner of Keystones Property in Romford, I’ve had a front-row seat to the seismic shifts shaking the UK rental market. For landlords, 2025 isn’t just another year of tenancy agreements and rent collections — it’s a call to professionalise, adapt, and future-proof.

Legislation, compliance, and tenant expectations are moving faster than ever. If you’re still managing your portfolio with an “amateur landlord” mindset, it’s time for a major rethink. Here’s what you need to know — and why partnering with an expert letting agency like ours isn’t just helpful, but essential.

Professional to Amateur Mindset – Mix of High Yield vs Capital Appreciation

I have advised landlords that they need to shift their thinking into a professional landlord’s mindset and if they have a few buy to lets that are being swallowed up by the current interest rates being too high and their cash flow is limited, I would also now advise to balance your portfolio by higher yielding buy to lets that you can find around the country where purchase prices are lower and yields are higher for your cash flow.

You can pick 3 Bedroom Houses up in some areas around the country for between £100,000-£150,000 and still gain a rental return of £1000+ which is approximately a 10% Yield making your buy to let cashflow more sustainable to shifts and shakes.

Need to do a refurb after your tenant has left? You would have that cashflow after a few years.

A portfolio nowadays needs to be more diverse with a mixed bunch of high capital appreciation and high yields, also the higher yielding/lower priced properties are better for those thieving stamp duty land tax lawmakers at the helm in our government that want to swallow everything we have worked hard for in our lives right now! (Rant about government over).

What else do we need to be prepared for as Landlords moving forward?

A Shifting Legal Landscape:

EPC Regulations Tightening

The government’s energy efficiency push means rental properties will soon need to meet minimum EPC ratings. While the previously proposed EPC ‘C’ deadline for 2025 was scrapped, the direction of travel is clear: landlords must invest in insulation, energy-saving improvements, and sustainable upgrades. These changes are creeping in via local planning requirements and tenant demand—and ignoring them could devalue your property or make it harder to let.

The Renters Reform Bill – Rights for Tenants, Responsibility for You

The long-awaited Renters Reform Bill is picking up pace. Key features include the abolition of Section 21 “no fault” evictions, fixed-term tenancy changes, and a push towards open-ended tenancies. While designed to empower renters, it also places new pressures on landlords — especially around how you handle tenant disputes, serve notices, and ensure ongoing compliance.

Anti-Money Laundering & Sanctions Checks (as of 14 May 2025)

You might not associate property letting with international finance laws, but since 14 May, anti-money laundering (AML) regulations now apply to more rental agents and landlords. Politically Exposed Persons (PEP) and sanctions checking must be conducted thoroughly at the start of a tenancy, and in some cases, throughout. Failure to comply can lead to serious penalties — even if you think you’re “just a small landlord.”

Personally, I think this is ridiculous, albeit checking tenants does make sense as their rent money could be created by illegal means, but if a landlord has already owned his property for a few years, I only see that his money has already been laundered, why are we checking these landlords?

If someone can explain it to me, then I am all ears, I may be not understanding the point of the AML checks on Landlords here, but please email me as I would love to know on [email protected]

The Ombudsman Requirement – What You Really Need to Know

Perhaps the most significant change on the horizon is the mandatory Ombudsman scheme for all private landlords.

Historically, landlords using agents have benefited from the agent’s membership in redress schemes like The Property Ombudsman (TPO). However, with the Renters Reform Bill, every landlord — whether self-managing or using an agent — will be legally required to join an Ombudsman scheme.

Here’s what this means:

Dispute Resolution Made Formal: Tenants will be able to raise complaints against landlords directly with an Ombudsman, who has the power to issue binding decisions — including financial compensation.

Increased Accountability: If you’re not complying with tenancy law, acting fairly, or addressing maintenance promptly, expect to be held to account.

Administrative Burden: You’ll need to provide evidence of compliance, log communications, and follow specific protocols — exactly the kind of paperwork most landlords weren’t trained to handle.

Simply put, this system enforces transparency, traceability, and tenant-first standards — the same standards that letting agencies like Keystones Property have adhered to for years. Landlords who choose to self-manage without a deep understanding of regulations are opening themselves up to financial and reputational risk.

From Amateur to Professional – It’s Time to Rethink the Role

These aren’t minor legislative tweaks. They represent a fundamental transformation of what it means to be a landlord in the UK.

Whereas once it was enough to “let and forget,” the market now demands strategic, data-led, regulation-savvy property management. In short: landlords need to start thinking like professionals.

How Keystones Property Supports You

At Keystones Property, we’ve been preparing for these changes long before they hit the headlines. We offer:

Full compliance services: including EPC guidance, AML checks, and tenant vetting.

Hands-off management: so you don’t need to worry about Ombudsman documentation or tenant disputes.

Local market expertise: ensuring your properties remain profitable and legally sound.

Whether you own one flat or twenty, our job is to take the stress out of compliance, maximise your returns, and help you operate like a modern property investor — not a hobbyist.

Final Thoughts

These legislative changes aren’t going away. Landlords who resist will face rising fines, void periods, and falling property values. But those who adapt—and partner with experts—will find this new era offers just as many opportunities as challenges.

Let’s shift gears together.

Contact Keystones Property today, and let’s build a better, compliant, and profitable future for your property investments.

Enquire at [email protected] and we can manage your portfolio together.