At the moment there are no rent controls for assured shorthold tenants in England and Wales.
While there’s no legal limit, it is important to remember that the higher the increase the more likely it is that your tenant(s) will challenge the proposal.
Some landlords choose to increase the rent by a small fixed percentage each year. Others increase the rent in line with the consumer index or annual inflation. Alternatively, you can increase the rent inline with the rental market in your area. You can find out more about how OpenRent landlords navigate rent increases, and join the discussion, by joining our community.
However, it is worth remembering that if a tenant doesn't agree with a proposed rent increase then they have the right to appeal to the Residential property tribunal. A tribunal will request written submissions and supporting evidence from both the landlord and tenant(s). The tribunal will also take into account a number of other factors before making a ruling on the new rent.
It's important to remember that the tribunal could set the rent to be either more than the proposed increase or less than the current rent. Therefore, it can be a high risk decision for both the tenant and landlord to go to tribunal. You can see examples of tribunal rulings on the gov.uk website.
Where possible, we recommend that you work to come to a mutual agreement on the new rent.
Information on this site is by way of general guidance only and may not apply in your particular circumstances. You should not act or refrain from acting upon information on this site without seeking independent legal advice.