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What changes for landlords in 2026? – [Rules & Dates]

MTD for Landlords What Property Owners Need to Know by 2026 scaled

2026 is an important year for landlords in the UK. Along with new tenancy rules under the Renters’ Rights Act, many landlords will also need to prepare for Making Tax Digital (MTD) requirements.

These changes are designed to improve tenant rights, make renting fairer, and move tax reporting online. Whether you own one rental property or manage a larger portfolio, understanding these updates can help you stay compliant and avoid unnecessary problems.

In this blog, we’ll explain the changes for landlords in 2026, what they mean, and how you can prepare.

 

Rentersโ€™ rights act – major tenancy reforms

The Rentersโ€™ Rights Act 2025 came into force on 1 May 2026, introducing sweeping changes to how tenancies operate in England.

Key changes from 1 May 2026:

From 1 May 2026, several new rental rules will apply to landlords and tenants:

    • Existing Assured Shorthold Tenancies (ASTs) will automatically change into Assured Periodic Tenancies (APTs). This means most tenancies will become rolling agreements instead of ending on a fixed date.
    • Tenants can leave their rental property by giving two monthsโ€™ notice, as long as the notice matches the rental period rules.
    • Section 21 โ€œno-faultโ€ evictions will no longer be available. Landlords must now have a valid legal reason under Section 8 if they want tenants to leave.
    • Landlords can only increase rent by following the official Section 13 rent increase process.
    • New rules will stop rental bidding wars, where tenants are encouraged to offer more than the advertised rent.
    • Landlords cannot refuse tenants unfairly because they receive benefits or have children.
    • Tenants will have a stronger right to keep pets in rental homes. Landlords can only refuse a pet request for a valid reason.
    • Local authorities will have more power to take action against landlords who break the rules.

 

Making Tax Digital (MTD) for Landlords – from 6 April 2026

From 6 April 2026, Making Tax Digital for Income Tax became mandatory for unincorporated landlords whose gross rental and self-employment income exceeded ยฃ50,000 in the 2024-25 tax year.

What This Means:

    • Landlords must keep digital records of all income and expenses.
    • They must submit quarterly updates to HMRC using recognised MTD software.
    • The first quarterly update deadline is 7 August 2026.
    • From April 2027, the threshold will drop to ยฃ30,000, bringing more landlords into scope.

How to Prepare:

    • Speak to your accountant about MTD-compatible software.
    • Use a separate bank account for rental transactions to simplify record-keeping.
    • Ensure letting agents provide digital receipts for all expenses.

New EPC metrics and energy efficiency standards – By end of 2026

The government confirmed in January 2026 that new Energy Performance Certificate (EPC) metrics will be introduced by the second half of 2026.

Proposed new EPC metrics:

    • Fabric performance – how well the building retains heat.
    • Heating system efficiency – including support for heat pumps and cleaner technologies.
    • Smart readiness – ability to use smart tariffs and technologies like solar panels.
    • Energy cost – estimated running costs for tenants.

Future minimum standards:

    • From 2028, all new tenancies must meet EPC band C.
    • From 2030, this will apply to all existing tenancies.
    • The new Home Energy Model becomes compulsory from 1 October 2029.

 

Commonhold and leasehold reform bill – published 27 January 2026

The government published the draft Commonhold and Leasehold Reform Bill on 27 January 2026, aiming to modernise flat ownership.

Key Proposals:

    • Promote commonhold ownership as an alternative to leasehold, giving flat owners more control.
    • Ban new leasehold flats in future developments.
    • Cap ground rent at ยฃ250 and end forfeiture rights.

This reform primarily affects landlords who own or manage leasehold flats, but it signals a long-term shift in property ownership models.

 

Potential regulation of letting agents – expected in 2026

Although not yet confirmed, there is growing pressure for minimum qualifications and a Code of Practice for letting agents in 2026.

    • The 2025 MHCLG consultation proposed a Code of Practice for all property agents.
    • This would be enforced by National Trading Standards and redress schemes.
    • Landlords who rely on agents should stay informed, as this could affect compliance support and service quality.

Important dates for Landlords in 2026

Landlords need to be aware of several important dates as new tax and tenancy rules come into effect. Planning ahead can help you stay compliant and avoid last-minute issues.

Date Change
6 April 2026 Making Tax Digital (MTD) begins for landlords with income >ยฃ50,000
1 May 2026 Rentersโ€™ Rights Act fully implemented – ASTs become periodic, Section 21 abolished
31 May 2026 Deadline to serve Information Sheet and Written Statement of Terms to existing tenants
7 August 2026 First MTD quarterly update deadline
Second half of 2026 New EPC metrics to be confirmed
2028 Minimum EPC band C for new tenancies
2030 Minimum EPC band C for all tenancies
1 October 2029 New Home Energy Model becomes compulsory

How Nomi’s MTD software can help Landlords

Preparing for MTD for Landlords is much easier with compatible accounting software.

Nomi’s Making Tax Digital software helps landlords and accountants manage their tax obligations by allowing them to:

    • Keep digital financial records
    • Record rental income and expenses
    • Submit MTD updates directly to HMRC
    • Stay organised throughout the tax year
    • Manage tax reporting from one platform

Using MTD-compatible software early gives landlords time to become familiar with digital record-keeping before the rules apply to them.

 

Conclusion

MTD for landlords is a major change in the way property owners manage and report their tax information. By preparing early, choosing the right software, and building good digital record-keeping habits, landlords can make the transition easier and avoid unnecessary stress.

Nomiโ€™s MTD-compliant software for landlords helps simplify tax compliance by allowing you to track rental income, record expenses, keep digital records, and submit quarterly updates to HMRC. With everything managed in one place, landlords can save time, stay organised, and feel more confident about meeting their MTD requirements.

Disclaimer:
The information in this blog is based on the latest available guidance and updates from official government sources at the time of writing. Rules and regulations may change, so landlords should check the latest government guidance or seek professional advice to ensure they remain compliant.

 

Frequently asked questions

  1. How is tax changing for landlords in 2026?
    Ans: From 6 April 2026, landlords earning over ยฃ50,000 must use Making Tax Digital, keeping digital records and submitting quarterly updates to HMRC.
  1. Why are landlords selling up in 2026?
    Ans: Landlords are exiting due to Renters’ Rights Act restrictions, costly EPC upgrades, higher taxes, reduced allowances, and rising mortgage rates.
  1. How do I avoid paying tax on my rental property?
    Ans: You can’t avoid tax legally, but you can minimise it by claiming all allowable expenses, using reliefs, and seeking professional tax planning advice.
  1. How much notice does a landlord have to give their tenants?
    Ans: Tenants give 2 months’ notice. Landlords need 2-4 months’ depending on the ground, with no more no-fault Section 21 evictions allowed from 1 May 2026.

 

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