How will the new Private Rented Sector Ombudsman service work?

The private rented sector is undergoing some of the biggest changes seen in decades. With the Renters’ Rights Act now reshaping how landlords and tenants interact, one of the most important upcoming changes is the introduction of the new Private Rented Sector Ombudsman.

The purpose of the service is to give tenants a quicker and more accessible route for resolving complaints about their landlord. Rather than every dispute escalating to court, the new system is designed to provide fair, impartial and binding decisions when things go wrong.

For landlords, this will create a new legal responsibility. Once the scheme is fully introduced, membership of the Private Rented Sector Ombudsman will be mandatory for private landlords in England with assured or regulated tenancies. This will include landlords who manage their properties themselves and those who use a letting agent.

Here, we’ll take a closer look at how the new system will work, what types of complaints it may cover and what landlords need to do to prepare.

What is the Private Rented Sector Ombudsman?

The Private Rented Sector Ombudsman will be a new independent redress service for tenants in England. It is being introduced under the Renters’ Rights Act to improve standards across the rental market and give tenants a simpler way to raise complaints.

At the moment, tenants may need to rely on their local council, deposit protection scheme, the courts or a letting agent redress scheme, depending on the nature of the issue. This can be confusing, slow and expensive.

The new Private Rented Sector Ombudsman is intended to make complaint handling clearer. Tenants will be able to use the service for free, and the Ombudsman will have the power to make decisions that landlords must follow.

This is a significant shift. It means complaints will no longer be something landlords can afford to ignore or leave unresolved for long periods of time.

When will the PRS landlord ombudsman start?

As of May 2026, the PRS landlord ombudsman is not yet fully operational. The Renters’ Rights Act has created the legal framework for the service, but the government is introducing the reforms in phases.

The first phase, which came into force on 1 May 2026, focused on tenancy reform. This included the move to periodic tenancies and the abolition of Section 21 ‘no-fault’ evictions.

The PRS landlord ombudsman is expected to come later, as part of Phase 2. The government has said this phase will also include the new Private Rented Sector Database. The database is due to start rolling out from late 2026, with the Ombudsman expected to follow after this. Current government guidance says landlords are expected to be required to join the scheme in 2028, once the service is ready.

So, landlords do not need to join the new scheme immediately in May 2026. However, it is important to prepare now, because membership will become mandatory once the relevant provisions are switched on.

Will landlords have to join the scheme?

Yes. Once the scheme is implemented, private landlords in England with assured or regulated tenancies will be legally required to join the Private Rented Sector Ombudsman. This will apply even if you use a managing agent.

This is an important point. Some landlords may assume that if a letting agent manages the property, the agent’s redress scheme will be enough. However, government guidance makes clear that landlords will still need to join because they remain legally responsible for their own behaviour and obligations to tenants, particularly when it comes to property standards and repairs.

Letting agents will continue to be covered by existing agent redress schemes. However, where both the landlord and agent are involved in a complaint, the Private Rented Sector Ombudsman may work with the relevant agent redress scheme to investigate the issue.

What complaints will the Ombudsman deal with?

The Private Rented Sector Ombudsman will deal with tenant complaints about a landlord’s actions or behaviour. The final scheme rules are still to be confirmed, but based on current government guidance, complaints may relate to issues such as:

• poor repairs handling
• delays in responding to maintenance issues
• failure to provide information
• poor communication
• unreasonable behaviour
• property standards
• failure to deal with damp, mould or safety concerns
• unfair handling of tenant requests
• complaints linked to pets, where a tenant believes consent has been unreasonably refused
• complaints connected to wider Renters’ Rights Act duties.

The Ombudsman is not designed to replace every existing route of enforcement. For example, some issues may still need to go through the courts, the First-tier Tribunal, local council enforcement, tenancy deposit schemes or letting agent redress schemes.

However, the new PRS landlord ombudsman will give tenants another route to redress and could become one of the first places tenants turn when a complaint has not been resolved properly.

Can landlords use the Ombudsman to complain about tenants?

No. The Private Rented Sector Ombudsman is being created as a tenant redress service. Government guidance says it would be inappropriate for landlords to seek binding decisions from a service designed to protect consumer rights. This means only tenants will be able to use the service to seek redress from landlords.

That does not mean landlords will have no options when problems arise. Landlords will still be able to use the relevant legal routes when a tenant breaches the tenancy agreement, falls into rent arrears, causes damage or behaves antisocially.

The government has also said it is exploring options for landlord-initiated mediation, but this is separate from the PRS landlord ombudsman.

What powers will the Ombudsman have?

One of the biggest changes is that the Private Rented Sector Ombudsman will be able to issue binding decisions. This means landlords will be required to comply with the outcome of a complaint.

The Ombudsman will have the power to require landlords to:

• apologise to the tenant
• provide information
• take remedial action
• carry out practical steps to resolve the issue
• pay compensation.

This makes the new PRS landlord ombudsman very different from an informal complaints service. If a complaint is upheld, landlords will not simply be able to disregard the decision.

Failure to comply with an Ombudsman decision could result in the landlord being expelled from the scheme. This may then trigger enforcement action by the local council.

What happens if a landlord does not join?

Once the scheme becomes mandatory, landlords who fail to join could face serious consequences.

Local councils will be able to take enforcement action against landlords who fail to register with the Private Rented Sector Ombudsman. According to government guidance, this may include civil penalties of up to £7,000 for initial breaches and up to £40,000, or criminal prosecution, for continuing or repeated breaches.

Tenants may also be able to seek a rent repayment order where a landlord commits an offence by persistently failing to join the Ombudsman scheme.

This makes it essential for landlords to keep track of the implementation timeline. Once membership becomes compulsory, ignoring the scheme could quickly become a costly mistake.

How will tenants use the service?

The process is expected to be designed to be simple and accessible. Tenants will be able to use the service for free.

In most cases, tenants will likely be expected to raise the complaint with their landlord first and give them an opportunity to resolve it. If the issue is not dealt with properly, the tenant may then escalate the complaint to the Private Rented Sector Ombudsman.

The Ombudsman will then review the evidence from both sides. This may include emails, letters, photographs, repair reports, inspection notes, contractor invoices, tenancy agreements and records of communication.

A decision will then be made. If the complaint is upheld, the landlord may be ordered to take action, provide information, apologise or pay compensation.

Why is the PRS landlord ombudsman being introduced?

The rental market has grown significantly over the years, but complaint handling has not always kept pace. While many landlords act responsibly, some tenants have struggled to get problems resolved, particularly when they are worried about retaliatory eviction or do not know where to turn.

The PRS landlord ombudsman is intended to create a fairer and more consistent system.

It should benefit tenants by giving them a free route to raise complaints. It should also benefit responsible landlords by helping to resolve issues more quickly and discouraging poor practice across the sector.

The government has said the service will also provide landlords with tools, guidance and training to help improve complaint handling. This means the Ombudsman will not only be an enforcement mechanism, but also a source of support for landlords who want to get things right.

How does this affect landlords who use managing agents?

If you use a managing agent, you will still need to pay attention to the Private Rented Sector Ombudsman.

A letting agent may handle day-to-day communication, maintenance and tenant complaints, but the landlord still retains legal responsibility for the property and the tenancy. This is particularly important for repairs, safety, standards and compliance.

If a tenant complains about something that involves both the landlord and the agent, the Ombudsman may cooperate with the agent’s redress scheme. This could result in a joint investigation or joint decision where appropriate.

For landlords, the practical message is simple: make sure your agent has clear processes in place and keeps accurate records. If a complaint is escalated, you will need evidence showing what was reported, when it was reported, what action was taken and how the tenant was kept informed.

What should landlords do now?

Although the PRS landlord ombudsman is not expected to become mandatory until later, landlords should start preparing now.

The best way to prepare is to improve your complaint handling and record keeping before the scheme goes live. This means making sure every tenant issue is logged, acknowledged and dealt with in a reasonable timeframe.

Landlords should also review their current processes for repairs, maintenance and communication. Many complaints arise not just because something has gone wrong, but because the tenant feels ignored or left without updates.

Being proactive now will make it much easier to comply once the Private Rented Sector Ombudsman becomes mandatory.

The landlord’s checklist

To prepare for the new PRS landlord ombudsman, landlords should:

• create a clear complaints process
• make sure tenants know how to report issues
• keep written records of all complaints
• respond to tenants within reasonable timeframes
• log repairs, inspections and contractor updates
• keep copies of photographs, invoices and reports
• review how your letting agent handles complaints
• keep tenancy documents organised
• stay up to date with Renters’ Rights Act implementation
• prepare to register when membership becomes mandatory.

This is also a good time to review your wider landlord compliance. The Ombudsman will sit alongside other Renters’ Rights Act reforms, including the Private Rented Sector Database, new enforcement powers, changes to possession rules and higher expectations around property standards.

The Private Rented Sector Ombudsman is set to become a major part of the new rental landscape in England. Once fully implemented, it will give tenants a free and independent route to raise complaints, while requiring landlords to follow binding decisions.

For responsible landlords, the key is preparation. Good communication, organised records and prompt action can help prevent complaints from escalating in the first place.

The PRS landlord ombudsman should not be viewed simply as another layer of regulation. It is also a reminder that landlords need to manage their rental properties professionally, fairly and transparently.

So, if you’re looking for landlord insurance to help protect your rental property, get in touch with CIA Landlords today for a tailored quote on 01788 818 670. You can also visit our advice centre for more information on managing your rental property.

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