Verbal Tenancy Agreements Under the Renters' Rights Act 2025 | TAS

What changed under the Renters’ Rights Act 2025

Section 21 abolished. Fixed-term assured tenancies abolished. Ground 8 threshold raised to 3 months. Information Sheet required for every tenancy by 31 May 2026. Read the full guide.

Until 1 May 2026 it was lawful — though never wise — to let property in England without a written tenancy agreement. The Renters’ Rights Act 2025 has changed the position. Landlords are now required to provide tenants with a written statement of terms, and failure to do so is enforced with a civil penalty of up to £7,000. This page explains what a verbal tenancy is, what landlords with existing verbal arrangements must do before 31 May 2026, and why a written agreement is now non-negotiable.

Can a tenancy still be verbal?

A tenancy can still be created verbally. Possession of the property, payment of rent, and acceptance of that rent are sufficient to create a tenancy by operation of law. The absence of a written agreement does not prevent a tenancy from coming into existence — it never has.

What has changed is the obligation that sits alongside the tenancy. Whether the tenancy was formed by handshake or by signed contract, the landlord must now provide a written statement of terms. The written-statement requirement does not depend on whether the parties signed anything; it depends on whether a tenancy exists. If a tenancy exists, the statement must be served.

What landlords with verbal tenancies must do

If you let a property under a purely verbal arrangement that was in force on 30 April 2026, the tenancy converted to an assured periodic tenancy on 1 May 2026 — exactly as written ASTs did. The conversion is automatic and requires no action.

The action required is documentation. By 31 May 2026, you must:

Provide the tenant with the government Information Sheet. This is the same Information Sheet served to all existing tenants and is a statutory requirement.
Provide a written summary of the main terms of the tenancy. Because there is no written agreement to refer back to, the landlord must produce one. The summary must capture the agreed essentials of the arrangement: parties, property, rent, rent frequency, deposit (if any), tenancy start date, and any specific terms previously agreed verbally (such as the inclusion of bills, parking, or pets).

Both documents must be in writing — paper or PDF. The local authority enforces compliance and can impose a civil penalty of up to £7,000 per tenancy for failures. Keeping evidence of delivery (email read receipts, tracked post, or signed acknowledgments) is strongly recommended.

What the written summary should look like

The summary is a remedial document — it does not need to be a full tenancy agreement, but it should record the essentials clearly enough that there can be no dispute about what was agreed. A practical structure:

Name and service address of the landlord (and any agent).
Name of the tenant or tenants.
Full address of the property.
Date the tenancy began (or, if uncertain, the earliest date you can verify).
Rent amount and how it is paid (monthly, weekly, by standing order, etc.).
Deposit, if any, and which protection scheme it is held in.
What is included (utilities, council tax, parking, garden access, furnishings, etc.).
Any rules or restrictions that were agreed verbally — pets, smoking, sub-letting.
Confirmation that the tenancy is now an assured periodic tenancy under the Housing Act 1988 as amended by the Renters’ Rights Act 2025.

Sign and date the summary. Where possible, ask the tenant to acknowledge receipt — this is good practice and reduces the risk of dispute later.

Why a written tenancy is now essential

The case against verbal tenancies has always been strong, but it is now overwhelming. A landlord operating without a written agreement faces, simultaneously:

The £7,000 civil penalty for failing to provide a written statement.
The inability to register on the PRS Database without complete records (when registration becomes mandatory in late 2026).
Practical evidential problems if the tenancy ends in dispute — proving rent levels, term commencement, deposit handling, and grounds for possession all become harder without a written record.
The risk that a court treats ambiguity in the tenant’s favour where there is no written agreement to consult.

For new tenancies after 1 May 2026, the right answer is a properly drafted written tenancy agreement that incorporates the statement of terms. See how to write a compliant tenancy agreement now.

Common questions

My tenant has been there for years on a handshake. Does the new rule really apply?

Yes. The duration of the tenancy is irrelevant. The Information Sheet and written summary are required for every existing tenancy that was live on 1 May 2026, regardless of how it was originally formed.

What if the tenant refuses to acknowledge the summary?

The tenant’s acknowledgment is helpful evidentially but not legally required. Your obligation is to provide the documents. If the tenant refuses to engage, send them by tracked post and email, keep proof of delivery, and you have discharged your duty.

Can the summary count as a new tenancy agreement?

It is not advisable. A fresh tenancy agreement could be argued to start a new tenancy with new statutory protections, including a fresh 12-month protected period for some grounds for possession. Treat the summary as a remedial record of what was already agreed verbally — not a new contract.

What if I cannot remember when the tenancy started?

Use the earliest date you can evidence — the first rent payment, the first utility bill in the tenant’s name, an early text or email referencing the let. Note in the summary that the date is the earliest verifiable, and explain in your records why a more precise date is unavailable.