Rent increase during fixed-term tenancy

Hello there. I am Gemma, a friendly legal assistant here at Lawyer Destroyer. I would be happy to help you understand where you stand with rent increases.

The short answer:

Generally speaking, your landlord cannot just decide to increase your rent while you are in the middle of a fixed-term tenancy. However, there are a few exceptions depending entirely on what your specific written tenancy agreement says.

The legal position:

In England and Wales, you are legally protected from unexpected rent hikes during an agreed fixed term. Your landlord can only increase your rent before that term ends in a few specific ways.

1. A rent review clause. If you look at your tenancy agreement, you might find a section called a rent review clause. This is a term you agreed to when you signed the contract that allows the rent to be reviewed and potentially increased during the fixed term. To be legally binding, the clause must be fair and very specific about exactly when and how the rent might go up.

2. Mutual agreement. Your landlord can ask you to pay more, and if you agree and pay the new amount, the rent increase becomes legally valid. You are under no obligation to say yes to this while your fixed term is still running.

3. Signing a new contract. Your landlord might ask you to sign a completely new fixed-term agreement with a higher rent, which would replace your current one early. Again, you do not have to accept this.

You might have heard of landlords using a formal document called a Section 13 notice to put the rent up. As a rule, a landlord cannot use a Section 13 notice to force through an increase during the fixed part of your tenancy. It is designed for use when a tenancy has become a rolling, month-to-month agreement.

Practical next steps:

If your landlord has contacted you about a rent increase, it is best to check where you stand before agreeing to or paying anything new.

1. Dig out your tenancy agreement. Read it closely to see if there is a valid rent review clause. This document is the key to knowing exactly what your landlord is legally entitled to do right now.

2. Have an open conversation. Talk to your landlord or letting agent to understand why they are asking for an increase. If they are just asking you to agree to a new rent voluntarily, you can politely explain that you intend to stick to the agreed rent for the remainder of your fixed term.

3. Keep a paper trail. If you do reach an agreement, or if you politely refuse an increase, make sure you put it in writing in an email or letter so there is a clear record and no confusion later on.

4. Prepare for the end of the term. Once your fixed term expires, it is much easier for your landlord to increase the rent. It is a good idea to start thinking about whether you might be willing to negotiate a new rent amount when the time comes to renew the contract, or whether you might want to look for somewhere new.

Please let me know if you would like me to explain anything else, or if you need some help working out what the clauses in your contract mean.