As the Renters’ Rights Act continues to be implemented, a new Private Rented Sector Ombudsman service is due to launch towards the end of 2026. The intention is to provide a quicker, more accessible route for resolving landlord–tenant disputes, particularly those that often escalate into expensive, time-consuming court action. For landlords, the key takeaway is clear: this is not an optional “nice to have” service. It will be a legal requirement, backed by meaningful enforcement powers.

The new ombudsman is being positioned as an independent and impartial dispute resolution body, designed to deliver decisions that are binding on both parties. In practice, this means that when an eligible complaint is accepted and a final decision is made, landlords and tenants will be expected to comply with the outcome. The model is framed as a faster and more affordable alternative to court, and it also introduces a structured route for tenants to pursue complaints without needing to navigate formal legal proceedings.

What types of disputes could land on a landlord’s desk?

From the information currently available, the ombudsman’s remit is broad. It is expected to deal with common end-of-tenancy and in-tenancy issues such as deposit disagreements, tenancy agreement disputes, and property condition concerns tied to repairs and maintenance. That includes ongoing condition issues like damp and mould, and complaints about unfair behaviour or unfair treatment. A specific inclusion that has attracted attention is tenant requests, including requests to keep a pet. Where a landlord refuses a request, the ombudsman may be able to review whether that refusal was reasonable.

Importantly for landlords, the service is not only about deciding who is “right” in a dispute. It is also expected to support resolution through mediation, encouraging both sides to reach a workable outcome without defaulting immediately to a formal ruling.

Ombudsman powers and what they could mean in practice

One of the more significant implications for landlords is the stated ability for the ombudsman to require certain actions as part of a resolution. Based on the current outline, outcomes could include requiring a landlord to apologise, provide information, carry out remedial steps, and pay compensation. While that may sound wide-ranging, the practical impact will likely depend on how complaints are assessed and what evidence is presented – meaning the keeping of records and clear processes are likely to matter more than ever.

Mandatory registration and a single compliance pathway

Registration will be compulsory for all private landlords in England with assured or regulated tenancies. This applies whether the landlord self-manages or uses an agent, so landlords should not assume an agent relationship removes the obligation to join. The government also plans to connect registration with a new national Private Rented Sector Database, aiming to create a single portal where landlords can manage compliance tasks in one place.

Membership will involve a fee. The cost has not been set yet, but it is expected to be determined following consultation with industry stakeholders to ensure it is “fair and proportionate”.

Enforcement, penalties, and why non-compliance is not a risk worth taking

The scheme will be enforced, with local authorities given strong powers to act where landlords do not join. The penalty framework described is substantial, and escalates quickly for repeat issues. In headline terms:

• A civil penalty of up to £7,000 can apply for an initial failure to register
• For repeated offences or ongoing non-compliance, penalties can rise to £40,000, and criminal prosecution is presented as a possibility in the most serious cases
• Tenants may also be able to pursue a rent repayment order where a landlord commits an offence by repeatedly failing to join

For landlords, the question is not whether joining is worthwhile, but how to make compliance routine and reduce the risk of disputes escalating to the ombudsman in the first place.

How landlords can prepare

Even though the service is not yet operating, landlords can act now to minimise future friction and risk. The most practical steps described involve tightening up internal processes and evidence trails. That includes documenting how complaints are handled, making sure issues are addressed directly as early as possible, and keeping comprehensive records of communications, inspections, and signed agreements. If a dispute does progress, the quality of documentation may be central to demonstrating that actions were reasonable and that issues were managed appropriately.

For landlords, the arrival of a mandatory ombudsman signals a clear move towards increased accountability within the private rented sector. The direction of travel is also unmistakable: dispute resolution is being redesigned to be more accessible for tenants and less dependent on court action. Landlords who prepare early – by improving processes, recordkeeping, and complaint handling – are likely to be better placed to manage complaints efficiently and avoid avoidable costs and disruption.