Types of tenancy agreements – plus RRA changes for landlords

A written tenancy agreement makes things clear between you and your tenants. But which type of agreement is right for you? We run through some of the main options for UK landlords.

Big changes are also on the horizon for landlords in England. From 1 May 2026, the Renters’ Rights Act will completely change how tenancies work. Our guide will help you get to grips with the different types of tenancy so you can pick the right one.

Types of tenancy in England

These are some of the types of tenancy you may come across in England:

• assured shorthold tenancy (scrapped from 1 May 2026)
• non-assured shorthold tenancy
• excluded tenancy (lodging)
• assured tenancy
• regulated tenancy
• company let

The most common form of tenancy in England is currently the assured shorthold tenancy – which will be abolished from 1 May 2026. But we’ll run through each tenancy type so you can understand the differences – and prepare for the upcoming law changes.

Assured shorthold tenancy

Right now, most tenancies in England are automatically assured shorthold tenancies (ASTs). To use an AST, the property must be private, it must be the tenant’s main home, and you cannot live in the property.

You can use an AST even if you rent individual rooms to tenants who share facilities. But you can’t use an AST if you charge over £100,000 a year in rent, if you charge no rent, or if it’s a holiday let.

Most AST agreements have an initial fixed term of six or 12 months. You must protect the tenant’s deposit in a government-approved deposit protection scheme.

Non-assured shorthold tenancy

You can only use this type of tenancy in situations where an AST or assured periodic tenancy doesn’t apply. This might be because the rent is less than £250 a year, the tenant has their main home elsewhere, or you live in the same property as your tenant.

Because this isn’t an assured periodic tenancy, you don’t have to put the deposit into a government-backed scheme. You also don’t have to give a Section 8 notice to end the tenancy.

But the tenant still has the right to stay in the property until the end of the fixed term. This applies as long as they follow the rules of the tenancy agreement.

Excluded tenancy agreement (for lodgers)

If you live in the property with your tenant and share facilities, this usually counts as an excluded tenancy. Having a lodger in your home is a common example.

Excluded tenancies don’t give the tenant as many protections as an assured periodic tenancy. You don’t need to protect your tenant’s deposit in a government-approved scheme.

You can also usually evict the tenant without a court order and without giving four weeks’ notice. You just need to make sure you stick to the terms of your agreement.

Assured tenancy

If you’re just beginning to rent out your property, you’re unlikely to use this type of tenancy.

Assured tenancies were more common in the past. Tenancies that began between 1989 and 1997 might be assured tenancies, and they give tenants long-term rights to stay in the property. Housing associations often use them to rent out homes.

Regulated tenancy

This is another agreement that you’re unlikely to use today. It was a long-term tenancy used before 1989.

Tenants on a regulated tenancy are entitled to a fair rent. The Valuation Office Agency is responsible for setting this rate.

Company let

If you rent your property to a company rather than a person, the tenancy isn’t an AST. Company let tenancy agreements aren’t governed by the same rules for deposit protection and eviction.

Instead of serving a Section 8 notice, you can give a ‘notice to quit’ to end the tenancy.

If you have a company let, make sure you read more about how business tenancies differ from residential ones in our guide to the 1954 Landlord and Tenant Act.

Tenancy agreements in Wales

If your property is in Wales, you don’t use ASTs. Under the Renting Homes (Wales) Act, all agreements are now called ‘occupation contracts’.

Tenants are known as ‘contract-holders’. The standard occupation contract is the most common type used by private landlords in Wales.

You must give your contract-holders a written statement setting out the terms of their contract within 14 days of them moving in.

Tenancy agreements in Scotland

Scotland also operates under a different system. If you rent out a property in Scotland, you’ll use a private residential tenancy (PRT).

PRTs are open-ended, which means they don’t have a fixed term. A tenancy lasts until the tenant gives notice to leave, or you use one of the 18 specific grounds for eviction.

You must provide your tenant with written terms and a specific set of statutory notes that explain their rights.

Tenancy agreements in Northern Ireland

In Northern Ireland, private rentals are governed by the Private Tenancies Act (Northern Ireland) 2022. You’ll typically use a standard tenancy agreement.

Landlords in Northern Ireland must follow strict rules around notice periods, which depend on how long the tenant has lived in the property. You also have a legal duty to provide a rent receipt if your tenant pays in cash.

What is a periodic tenancy?

A periodic tenancy is a rolling contract without a fixed end date. The periodic tenancy notice is usually as long as one rental period, such as one month. But this varies depending on where in the UK you’re rental property is located.

This currently happens in England when a previous AST comes to an end and you haven’t agreed a new fixed term. But from 1 May 2026, the Renters’ Rights Act will make assured periodic tenancies the standard for all private rentals in England. Under the new rules, tenants will have to give two month’s notice if they want to end their tenancy. All existing ASTs will automatically become assured periodic tenancies.  

What is a fixed-term tenancy agreement?

A fixed-term tenancy agreement lasts for an agreed amount of time. Tenants can’t move out early unless there’s a break clause in your agreement, or you agree to end the tenancy early.

Remember, the government is abolishing fixed-term tenancies in England from 1 May 2026. After this date, you’ll only be able to offer rolling periodic tenancies.

What is a break clause in a tenancy agreement?

Some fixed-term tenancy agreements include a break clause. A break clause is a set date in the agreement where you or the tenant can end the tenancy early.

For example, a break clause in a 12-month agreement might say it’s possible to end a tenancy after six months. The tenant would usually need to give one month’s notice, while the landlord might need to give two months’ notice.

As fixed-term tenancies are being phased out in England in 2026, break clauses will soon become a thing of the past for English landlords.

More useful articles for landlords

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• A landlords guide to sitting tenants
• How often should landlords redecorate a rental property?
• Do landlords need content insurance?

The information given in this article isn’t legal advice. If you need help with your buy-to-let property and your tenancy agreement, you should get guidance from a legal professional.