Tenancy agreement explained: What to include and legal requirements in the UK
A tenancy agreement is one of the most important documents in any rental arrangement. It sets out the rights and responsibilities of both landlord and tenant, helping to prevent misunderstandings and reduce the risk of disputes.
In the UK, a tenancy agreement (sometimes called a rental agreement) provides the legal framework for a tenancy. While it is possible to have a verbal agreement, a clear written contract gives both parties greater certainty and protection.
This guide explains what a tenancy agreement is, what it should include, and the legal requirements landlords must follow. It also covers how tenancy agreements are changing under the Renters’ Rights Act from 1 May 2026.
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What is a tenancy agreement?
A tenancy agreement is a legally binding contract between a landlord and a tenant. It gives the tenant the right to live in a property and sets out the terms both parties must follow during the tenancy.
In the UK, the terms tenancy agreement and rental agreement are used interchangeably.
A well-written agreement typically covers:
- how much rent is paid and when
- how the deposit is handled
- who is responsible for repairs and maintenance
- how the tenancy can be ended
Having this clearly documented helps avoid disputes and provides important evidence if an issue needs to be resolved through a formal process such as a tenancy deposit dispute.
What should you include in your residential tenancy agreement?
Whatever type of tenancy agreement you have, there are a number of clauses that should be included. These should be written in plain and simple language.
We advise that any rental agreement should be as specific as possible and include the following clauses:
Name and contact details of the property owner and the tenant
Names and contact details of any person party to the agreement, along with the full address of the property which is being let. This confirms the detail of who is responsible for the property.
Rent payments and payment dates
How much the rent will be, how frequently it will be due and payment dates, how it will be paid and how and when the rent will be reviewed.
Deposit protection details
The deposit amount and how it will be protected, or if the tenant has been offered and is using a deposit replacement membership, and in what circumstances any money can be withheld from the tenant when the tenancy ends, such as to repair damage caused by tenants and rent arrears.
Start date and end date of the tenancy
Date that the tenancy begins and the agreed length of the rental agreement, if relevant to the region (for example, in Scotland tenancies are open ended), including any break clause.
Ending the tenancy early, break clauses and notice periods
Whether the tenancy can be ended early and how this can be done, including how much notice is required and if there are any costs (these must be transparent, and reasonable). A ‘break clause’ allows the landlord or tenant to end the tenancy early, provided that sufficient written notice has been served beyond a given date, for example for a 12 month contract, a break clause of six months may be included. The exact notice period, the terms of the break clause and how it can be activated must all be included in the tenancy agreement.
Ending a tenancy early and the costs involved is a common basis for a dispute. For more information on what is required, see our guide.
Frequency of inspections to the property
How often mid-term inspections to the property will take place, when appliances such as the boiler will be serviced and the minimum amount of notice that will be provided.
Repairs and maintenance
Tenant and landlord responsibilities, for things such as repairs including:
- how and when the tenant should report any damage to you so it can be dealt with promptly
- the landlord’s statutory responsibilities for, amongst other things, structural repairs such as the gas, electricity and water installations which must be kept to the required standard. This can also include how to manage damp, mould and condensation which is such a common problem – Total Landlord has produced a tenant checklist which you can download here
Garden maintenance
If there is a garden, responsibility for garden maintenance should be clear. For example, who is responsible for front and back gardens, trees, shrubs and borders, mowing, weeding and general upkeep. This must be reasonable and it should be clear that tenants must report any damage to areas that may not be their responsibility (e.g. fences, sheds). Rules in HMO properties can vary.
Bills
Which bills your tenants are responsible for and which you will cover. Include water and other utility bills, council tax, TV licence, broadband or details of service charges.
Cleaning detail
How the property should be returned at the end of the tenancy. The tenant is only responsible for returning the property cleaned to the same standard as when they moved in.
Pet clauses
Include a clause on whether pets are allowed in the property or not. Most landlords prohibit pets but the Government’s model tenancy agreement has been updated to prevent a ‘no pets’ blanket ban, and you need to offer clear written reasons for refusing a pet when a request is made so it’s a good idea to include a pet clause in the tenancy agreement. Read more about pets in lets in our article here.
Subletting
Rules on subletting and details of whether other people are allowed the use of the property, and if so, which rooms and for how long. Most standard tenancy agreements do not permit sub-letting.
Smoking clauses
We would advise against permitting smoking in a rental property, but as it is often a common cause for disputes, it is important to include your position on smoking in the property in the tenancy agreement.
Nuisance in the property
Include any actions that might increase insurance costs or cause a disturbance to you or the neighbours, for example playing loud music after certain hours.
Use of the property
Outline the use of the property for residential purposes and that the property is not to be used for illegal purposes, or for business purposes without consent which cannot be unreasonably withheld.
Vacant periods
Include details on what the tenant should do if the property is going to be empty for a specified number of consecutive days. This usually includes turning off the water or leaving the heating on a low setting during the winter months. Specify that the property must always be locked and secure (including using any burglar alarm) when empty, and make sure that you include any measures required by your landlord insurance.
Furniture
Whether the property is furnished or unfurnished, and terms around the introduction or removal of furniture in the property, including who is responsible for removal costs if excess furniture is left in the property without permission.
Taking possession
Set out how, and why, you may be required to legally repossess the property by using either Section 8 or Section 21 of the Housing Act 1988 (in England and Wales) or Section 33.
Legal requirements for tenancy agreements in the UK
Tenancy agreements must comply with UK housing law. While the exact requirements vary slightly across regions, there are key principles all landlords should follow.
Written vs verbal agreements
Verbal agreements can be legally valid in England and Wales. However, written agreements provide a clear record of what has been agreed, making it easier to resolve disputes.
Deposit protection requirements
If a landlord takes a deposit, it must be protected in a government-approved scheme within 30 days. Landlords must also provide tenants with prescribed information.
You can read more about tenancy deposit protection rules and what landlords need to do.
Tenant Fees Act implications
The Tenant Fees Act limits what landlords and agents can charge. Most fees are banned, and deposits are capped.
This means tenancy agreements must not include clauses requiring prohibited payments, such as mandatory professional cleaning charges.
You can find full guidance on the Tenant Fees Act.
Types of tenancy agreements
There are several types of tenancy agreements used in the UK:
- Fixed-term tenancies: agreements for a set period, often six or 12 months
- Periodic tenancies: rolling agreements with no fixed end date
- Licences to occupy: usually for lodgers, with fewer legal protections
How tenancy agreements are changing under the Renters’ Rights Act
From 1 May 2026, the Renters’ Rights Act will introduce important changes to tenancy agreements in England.
Most tenancies will move to a periodic system by default, meaning they will continue on a rolling basis rather than ending after a fixed term.
This aims to give tenants greater flexibility while still allowing landlords to regain possession where there are valid legal grounds.
While tenancy structures are changing, existing protections will remain in place. For example:
- deposits must still be protected
- most tenant fees will remain banned
- clear written terms will still be essential
Landlords can prepare by reviewing their agreements and understanding how these changes affect them. Our Renters’ Rights Act readiness checklist provides further guidance.
Protect your deposit today
If you have taken a cash deposit, you must protect it in a government authorised scheme within 30 calendar days
Tenancy agreement vs rental agreement
There is no legal difference between a tenancy agreement and a rental agreement in the UK. Both refer to the same type of contract. “Tenancy agreement” is the more commonly used term in UK law, while “rental agreement” is more widely used in other countries.
What happens if something is missing from a tenancy agreement?
Missing or unclear terms can lead to disputes and make it harder to enforce responsibilities.
For example, if responsibilities for maintenance or rent payments are not clearly defined, disagreements are more likely. This can become particularly important at the end of a tenancy.
A well-written agreement can support a fair outcome through a dispute resolution service if needed.
Rental agreements in Scotland
Periodic tenancies have been the default tenancy arrangement in Scotland since 2017. This tenancy is open-ended, with tenants able to serve just 28 days’ notice to end their agreement and leave the property. If you are a Scottish landlord, you will need a Private Residential Tenancy (PRT) agreement. Visit the Scottish Association of Landlords or mygov.scot for more information.
Rental agreements in Wales
Under the Renting Homes Act, which came into force in Wales on 1 December 2022, tenants and licencees are now known as ‘contract-holders’ and tenancy agreements have been replaced with ‘occupation contracts’.
There are two types of contract: ‘Secure’ for the social rented sector and ‘Standard’ for the private rented sector. Existing tenancy agreements will ‘convert’ to the relevant occupation contract on the day of implementation, and landlords have a maximum of six months to issue a written statement of the converted occupation contract to their contract-holders. Visit gov.wales for guidance and forms, including model written statements that landlords can use as a basis for new and converted contracts. You can also read more about the changes on the Wales section of the NRLA website.
Ending a tenancy agreement
Tenancies can end in different ways depending on the agreement.
This may include:
- reaching the end of a fixed term
- mutual agreement
- notice being given under a break clause
If no new agreement is signed, the tenancy may become periodic.
Clear terms in the agreement help both parties understand what is required when ending a tenancy.
Protect your deposit today
If you have taken a cash deposit, you must protect it in a government authorised scheme within 30 calendar days
Additional clauses in a rental agreement
You can also include individually negotiated clauses at the end of the tenancy agreement, for example relating to decorating a property or when and how the landlord can access the property. These must be fair, reasonable, clearly communicated and signed by the tenant, otherwise they could be seen as unfair and will be difficult to enforce. Any unfair, unreasonable or illegal clauses will be invalid and any court or adjudicator will simply disregard them. For this reason, a solicitor may be needed to draft additional clauses.
It is quite common for landlords and tenants to identify changes after the tenancy has started, and in this scenario an addendum can be created and signed, which is then simply an addition to the overall AST tenancy agreement.
If there is an issue requiring resolution between you and the tenant at any stage of the tenancy, the tenancy agreement is one of the most important pieces of evidence you will need to provide to an adjudicator, as it outlines both your and the tenant’s responsibilities. This is a contract which should be robust and comprehensive, containing anything you may need to rely on at a later date.
Example resolution case study – withholding rent
The following case study involves a tenant withholding rent and highlights the importance of the tenancy agreement as evidence.
Disputed amount: £625
Background:
- A resolution case was raised over unpaid rent and fees for re-letting the property. This followed the tenant’s decision to withhold rent and end the tenancy early due to the landlord’s extensive delay in completing repairs
The tenant said:
- the landlord fell short of their responsibility in the tenancy agreement by neglecting their duty to carry out repairs on a defective boiler and faulty electrics
- these were grounds for them to end the tenancy, move out of the property and pay no more rent for the remainder of the contract
The landlord’s response was that:
- although the tenant claimed the property was uninhabitable after having no heating or hot water for eight days and no electricity for two days, they were always kept informed. The repairs were delayed from being completed because of a delay in receiving the parts required to fix the problems
- the tenant remained responsible for paying the outstanding rent. However, new tenants were found and moved in 17 days later, so this is the only rent being claimed together with the agent’s re-letting fees, which were to be covered by the deposit
What evidence was submitted?
- The tenant provided email communication between them and the landlord and two gas safety warning notices
- The landlord provided a copy of the tenancy agreement and a copy of the tenant’s emails saying they were moving out early and not paying any more rent
Adjudicator’s findings:
- The landlord had the dangerous fire and boiler disconnected and had arranged for the fire to be removed and the boiler replaced
- There was insufficient evidence that the property was uninhabitable. While repairs were required, the tenant may have been able to deduct the cost of any remedial work from the rent if the landlord had refused to get the work done or there was an unreasonable delay
- In this case, the agent had carried out their duty and organised the work in reasonable time and no tenant has an automatic right to stop paying rent
- In line with the terms of the tenancy agreement, the adjudicator found that the tenant was unable to end the tenancy early without the landlord’s agreement
Outcome
- The landlord was awarded the 17 days’ outstanding rent plus reasonable re-letting costs which they had also claimed
Learning points
- A tenant has no right to stop paying the rent and this should be clear in the tenancy agreement
- Paying rent is a fundamental part of a tenancy agreement and only the ‘rule of set off’, which involves a very specific process, would support withholding any rent
- Always keep written records of communication and follow up any calls in an email as these are often key supporting documents for negotiation if an issue requires resolution
Ending a tenancy agreement early
One way you can end a tenancy early without including a ‘break clause’, is if the tenant has broken the terms of the tenancy agreement. Typical examples of a breach of the tenancy agreement include falling behind on monthly rent payments, malicious damage to the property or inappropriate behaviour towards other residents. The other way is by mutual agreement where you come to an arrangement that suits all parties, even if there is no break clause.
What is a break clause in a tenancy agreement?
As mentioned earlier, the break clause allows either the tenant or the landlord to end the tenancy early, provided that sufficient written notice has been served. There is no standard format for a break clause, but usually it can only be used on or after a specified date. For example a break clause might say the tenant can end the tenancy six months after it starts if they give one month’s notice. It is important that the break clause is clear – the exact notice period, the terms of the break clause and how it can be activated must all be included in the tenancy agreement.
Suzy Hershman, Resolution Department Lead at mydeposits, explains,
“Common problems adjudicators find is the poor drafting of some terms in tenancy agreements, a good example being break clauses, which can be interpreted in different ways and have the unintended effect of being contrary to the original intent.”
What happens when the tenancy agreement ends?
Even if the tenancy has run its course and is ending in line with the dates in the tenancy agreement, it is still a good idea that the landlord and the tenant communicate with one another to confirm that the tenancy is ending, to avoid any misunderstandings.
If the tenancy ends, with no new fixed term having been agreed and the tenant is still in the property, then a ‘periodic tenancy’ comes into effect. This is a rolling tenancy with no fixed end date, which usually runs from month to month – in line with the terms in the original agreement. The statutory notice for ending a periodic tenancy remains unchanged and the terms and conditions of the periodic tenancy remain the same and can continue indefinitely. However, the landlord can now repossess the property once the correct written notice has been provided.
The proposals put forward by the Government in the Renters’ Reform Bill, aim to move all tenants on ASTs to a ‘single system of periodic tenancies’, which means that tenants will need to give two months’ notice if they wish to leave. Under the Bill, Section 21 will also be abolished but landlords wishing to repossess their property will be able to use the strengthened Section 8 grounds instead.
Protect your deposit today
If you have taken a cash deposit, you must protect it in a government authorised scheme within 30 calendar days
FAQs
If you still have questions about tenancy agreements, here are some of the most common points landlords and tenants ask about:
Is a tenancy agreement legally required in the UK?
No, but it is strongly recommended. A written agreement provides clear evidence of the terms agreed between landlord and tenant and helps prevent disputes.
Can a tenancy agreement be verbal?
Yes, verbal agreements can be legally valid in England and Wales. However, they are harder to prove and can lead to misunderstandings.
What makes a tenancy agreement valid?
A tenancy agreement must clearly set out the rights and responsibilities of both parties and comply with UK housing law, including rules on deposits and permitted fees.
Can a landlord change a tenancy agreement?
Only if both parties agree, or where changes are allowed under the law. Any changes should be recorded in writing.
How long should a tenancy agreement last?
Tenancy agreements are often set for a fixed term, such as six or 12 months. However, from 1 May 2026, most tenancies in England are expected to move to periodic agreements under the Renters’ Rights Act.
What happens if there is no tenancy agreement?
A tenancy can still exist without a written agreement, but it may be harder to resolve disputes or prove what was agreed. This can create risks for both landlords and tenants.
Can a tenant leave before the tenancy agreement ends?
A tenant may be able to leave early if there is a break clause, if the landlord agrees, or if there has been a breach of the agreement. Otherwise, the tenant may remain responsible for rent until the agreement ends.
Can a landlord end a tenancy agreement early?
A landlord can only end a tenancy by following the correct legal process. This may involve serving notice and relying on valid legal grounds, depending on the type of tenancy and current legislation.
Does a tenancy agreement need to include deposit details?
Yes. The agreement should clearly state the deposit amount, how it is protected, and the conditions under which deductions may be made.
In summary
The tenancy agreement is a legal contract between you and the tenant, so it is important to take it seriously and make sure it is right for you. With a clear tenancy agreement in place, all parties understand the expectations of them during their tenancy. This reduces the chance of misunderstandings, contributing to a more transparent relationship between landlord and tenant, and ultimately helping to protect your investment.
If you are a landlord and would like guidance on tenancy agreements, contact housing law specialists, Landlord Action, who can assist with writing and reviewing tenancy agreements. If you are an agent, contact HF Assist for specialist advice from legal experts.