On 22 June 2026, the government announced a significant strengthening of enforcement measures aimed at tackling unsafe conditions in the private rented sector. From 23 June 2026, local authorities in England can now issue financial penalties of up to £7,000 against landlords who fail to address serious hazards in rented homes.
The new powers, which form part of the wider reforms introduced through the Renters’ Rights Act 2025, reflect the government’s continued focus on improving housing standards, as illustrated through its recent overhaul of the Housing Health and Safety Rating System (HHSRS) - read our previous article where we examine the framework. They are designed to strengthen local authorities' ability to hold landlords to account where tenants are exposed to serious health and safety hazards.
The new financial penalty which came into force on 23 June 2026, does not replace existing enforcement powers. Local authorities have previously had access to an armoury of tools, including serving improvement notices, carrying out emergency remedial action, prohibiting occupation of all or part of a property and recovering costs from landlords who fail to comply.
In the press release announcing the new financial penalty, the housing secretary confirmed that he had written to mayors across England urging councils to use all powers at their disposal to tackle unsafe housing and protect tenants. This sets a clear expectation that local authorities will take a more proactive approach to enforcement.
The new £7,000 penalty will apply where a council identifies a serious 'Category 1' hazard under the HHSRS and a landlord fails to remedy the problem.
Category 1 hazards represent the highest level of risk to the health or safety of occupiers and trigger a statutory duty on local authorities to take enforcement action. Examples of hazards covered by the system include:
Damp and mould growth
Excess cold and dangerous indoor temperatures
Fire and explosion risks
Faulty or unsafe electrical installations
Structural collapse and falling elements
Falls on stairs, steps and level surfaces
Crowding and inadequate space
Domestic hygiene, pests and refuse issues
Water supply and sanitation risks
Unsafe layouts and design features
The government estimates that around 10% of privately rented homes contain at least one serious health and safety hazard.
The practical impact of the bolstered enforcement regime will most likely impact landlords who adopt a reactive approach to property management. Responsible landlords are proactive and have systems in place which are designed to head issues off at the fore. As such they are unlikely to be affected by the government’s tougher approach.
One of the key areas likely to attract attention is damp and mould. Following extensive public concern about the health impacts of mould in residential properties, local authorities are expected to scrutinise reports of persistent condensation, water ingress, inadequate ventilation and related defects more closely than previously. Landlords should therefore ensure that reported maintenance issues are investigated quickly and thoroughly, as attributing mould problems to tenant behaviour may be insufficient in cases where there are underlying disrepair deficiencies contributing to a hazard.
Other practical steps landlords can take to avoid incurring penalties include:
Conducting regular property inspections
Responding promptly to repair reports
Maintaining detailed records of repairs and communications
Commissioning periodic electrical and fire safety checks
Seeking professional advice where significant hazards are identified
Landlords should also be aware that the government has committed additional funding to support local authority enforcement activity. As councils build their enforcement capability, landlords may see a greater number of inspections and a more robust approach to housing standards across the sector.
The strongest protection against enforcement action remains preventative property management. Regular inspections, prompt repairs and clear documentation of decision-making and remedial works will help landlords reduce the risk of disputes and demonstrate compliance if concerns are raised.
Landlords should also familiarise themselves with the updated HHSRS guidance. While this guidance is aimed primarily at councils and housing professionals, understanding how hazards are assessed will assist landlords in identifying potential risks before they become enforcement issues.
The Renters’ Rights Act 2025, HHSRS and associated regulations are a complex scheme of rules relating to responsible property maintenance in the rental industry. Advice regarding local authorities’ enforcement powers and the scope of the new penalties should be sought by landlords on a case-by-case basis. Please contact Emma Hindon for further information.
