Rental Disputes Surge: Tenants Increasingly Challenge Rent Hikes Following Legislative Overhaul
Legal experts are sounding the alarm over a sharp escalation in rental disputes reaching property tribunals, a trend directly attributed to the implementation of the Renters’ Rights Act.
New data from letting agency Hamptons reveals a dramatic surge in activity, with property tribunals issuing 166 market rent decisions in July alone. This figure represents a nearly fourfold increase compared to the same period in 2025, when just 44 decisions were recorded.
The data highlights a significant upward trajectory throughout the year. While the monthly average for the period leading up to late April 2026 stood at 42 decisions, that number climbed to 109 in May and 129 in June, signaling a new era of friction between landlords and tenants. Notably, tenants have initiated approximately 60% of these recent cases.
A Shift in Power Dynamics
Industry analysts suggest that the new legislative framework has fundamentally altered the risk-reward calculation for tenants. Previously, the threat of “no-fault” Section 21 evictions served as a deterrent against challenging rent hikes. With those powers abolished, and the financial risk of backdated rent liability eliminated—tenants now only pay the increased rate from the date of the tribunal’s decision—the path to challenge has become both safer and more accessible.
“The latest tribunal data is a clear indication that the Renters’ Rights Act has shifted the balance of power towards tenants,” says Paul Rooke, a partner at Mayo Wynne Baxter. “By removing the threat of retaliatory eviction and the risk of backdated rent liability, the Act has significantly reduced the downside for those who wish to contest rent increases.”
The average waiting time from application to decision remained at 80 days in July. While this suggests that tribunals are currently managing the increased caseload, experts warn that sustained growth could eventually strain a system already burdened by leasehold and service charge disputes.
Evidence Over Assumption: A New Standard for Landlords
Legal professionals are urging landlords to move away from relying on personal costs as a justification for rent hikes. Under the current landscape, the tribunal is exclusively focused on determining the “market rent”—a figure derived from objective evidence rather than a landlord’s individual financial situation.
“Rent increases can no longer be justified simply by reference to rising costs,” Rooke explains. “Any proposed increase must be supported by robust evidence of market rent, including comparable local lettings, property condition, location, and amenities.”
Kristine Ng, a partner at Morr & Co, echoes this sentiment, noting that the rise in rent tribunal cases is the result of tenants feeling empowered to test whether their landlord’s demands genuinely reflect current local market conditions.
“The right to challenge a rent increase is not new,” Ng says. “What has changed is that the Renters’ Rights Act has made these disputes much more prominent in practice. A landlord may have perfectly legitimate reasons for seeking a higher rent, but if a challenge is brought, the question will ultimately be what rent the property could reasonably achieve on the open market.”
Risk Management for Landlords
As awareness of these rights continues to grow among the renting population, legal experts suggest that landlords must view rigorous evidence-gathering and strict compliance with the statutory Section 13 process as essential risk-management tools.
With rent determination cases set to become a permanent feature of the housing landscape, the consensus is clear: in future disputes, evidence—not assumption—will be the primary factor determining outcomes. For landlords, the days of unilateral rent setting appear to be coming to an end, replaced by a climate of increased scrutiny and procedural accountability.
