How to be an ethical landlord

Usually, the narrative around being a landlord is a rather negative one, but the topic of becoming an ethical landlord is becoming more and more popular. With the first phase of the Renters’ Rights Act changes coming into force from 1 May 2026, there are certain non-negotiables when it comes to the ethics of being a landlord and ethical renting. Essentially, new Section 21 (‘no-fault’) notices can no longer be served, rental bidding is banned, and a national PRS Database is planned as part of the rollout (with the database going live later in 2026).

In this new landscape, being an ethical landlord is the most robust business strategy available. You now need to move beyond just remaining compliant and into a more service-first mindset. By prioritising ethical renting, you’re not only protecting your tenants, but you’re also protecting your reputation and rental yield, too. Here’s how to rent your property out following these new standards. 

Elements of ethical renting

Let’s take a look at how you can use the new changes in the Renters’ Rights Act to use more ethical practices with your tenants. 

Section 21 Ban

There has been a fundamental shift in the contract between landlord and tenant with the abolition of Section 21. Every tenancy is now an Assured Periodic Tenancy from the beginning of the tenancy period. This way, you’re providing your tenants with security around the tenancy. 

So, what is the ethical shift?  Well, instead of relying on the threat of a 2-month notice to keep tenants in the property,  ethical landlords will shift their focus to tenant retention. So, by providing a long-term home for your tenants, you’re reducing the void periods and turnover costs. 

Also, you can now implement ethical renting by discussing long-term plans with your tenants, building a foundation of trust with them. 

Fair pricing

As you may already know, you must not invite, encourage, or accept offers above the advertised rent (in written adverts) from 1 May 2026. So now tenants won’t get caught up in a rental bidding war that they can’t win. Here, the ethical shift is setting a defensible rental price by using local market data, where you can set fair rental prices that cover your costs and allow for maintenance. This way, your rental property will also remain affordable for your target market. 

• Transparent adverts: Always make sure your rental property is advertised transparently and that there are no hidden fees. The law now states that you are not allowed to accept a penny more than what your property is marketed for. 
• Annual reviews: According to the new Section 13 regulation, you’re only able to increase rent once a year. Ethical renting means that you keep increasing incrementally and in line with inflation or clear improvements to the property, instead of making sudden huge jumps that tenants can’t afford. 

Transparency 

There is now the Private Rented Sector Database, which is a central hub on which landlords will need to register their property. This is a compliance tool that helps to increase transparency amongst landlords, allowing tenants to verify the details of the landlord and to ensure that the property meets safety standards. 

• Awaab’s Law: Awaab’s Law was originally made for social housing, but has now been extended to the private sector. This means that landlords have a duty of care to fix hazards within a specific timeframe. As an ethical landlord, you’ll have a pre-vetted team of contractors that are ready to act as soon as a report is made. 
• The digital pack: As part of transparency, it is advised that you provide your tenants with a digital folder containing the EPC, EICR and the Gas Safety certificate before moving in. 

Ending discrimination

One of the main legal shifts is the ban on discriminating against families. Ethical renting means that you evaluate a tenant based on their ability to pay and their references, as opposed to basing this on their source of income or family structure. 

• Objective referencing: Make sure that you use professional referencing agencies that focus on affordability and remain objective. 
• Removing barriers: Avoid using language like ‘no kids’ or ‘no DSS’ in adverts. Rather, use the suitability of the property to portray how you’ll be able to support the tenant and how you can make reasonable adjustments. 

Pets 

As part of the Renters’ Rights Act, tenants now have a legal right to request pets, which you cannot unreasonably refuse as a landlord. As part of being an ethical landlord, you’ll need to recognise that for many tenants, having a pet is a vital part of their mental wellbeing. 

You also need to make sure that you have the right processes in place, however, when it comes to ethical renting. This includes ensuring that you have a proper pet policy in place that outlines the expectations for cleanliness and noise control. This way, you can still be open to requests, but look after your rental property. 

Professionalism through redress

The Act creates a Private Landlord Ombudsman scheme, but it’s not part of the 1 May 2026 ‘Phase 1’ changes. Mandatory sign-up is currently shown for 2028 in the government rollout plan.

• Internal first: Always try your best to resolve the issue directly with the tenant first. As an ethical landlord, you should always try your best to listen to grievances without becoming defensive. 
• Respect the redress: Don’t get offended if the tenant uses the redress process. Instead, view it as a third-party process. 

The ROI of ethics

There is a definite link between being an ethical landlord and certain specific benefits, for example: 

• Higher tenant retention: This will lower the highest cost in renting out a property, which is turnover. 
• Lower legal risk: You’ll be able to prevent certain fines and penalties when implementing ethical renting. 
• Better property condition: Tenants will naturally look after your property when they feel respected and listened to. 

By following the ethical landlord path, you are contributing to a healthier and more efficient housing market where your tenants feel secure, and your investment is stable. 

As a landlord, you may also be looking for landlord insurance to protect your investment. CIA Landlords has the knowledge needed to find a quote best suited to your needs. For more information on landlord insurance and managing your rental property ethically, feel free to visit our advice centre. Otherwise, make sure to get in touch with our friendly team of specialists at CIA Landlord Insurance on 01788 818 670.