If you’re a landlord looking to increase rent legally, using the correct rent increase notice is essential. Whether you’re dealing with a periodic tenancy, an assured shorthold tenancy (AST), or a tenancy agreement that contains a rent review clause, it’s important to follow the correct legal process.
In this guide, you’ll learn when and how to use a Section 13 notice to increase rent, download a free Section 13 notice template, and understand your obligations under the Housing Act 1988.
We have also included a raising rent letter template that landlords can adapt for their own properties.
Free Rent Increase Notice Template
You can use the following rent increase letter template when notifying tenants of a proposed rent increase.
What Is a Section 13 Notice?
A Section 13 notice is the formal legal notice used by landlords in England and Wales to increase rent for tenants on a periodic tenancy.
The notice is issued under Section 13 of the Housing Act 1988, which gives landlords the right to propose a rent increase without creating a new tenancy agreement.
A Section 13 notice to increase rent can only be used in specific circumstances and must follow the prescribed format set out by the government.
Many landlords search for a:
- Section 13 notice template
- Section 13 notice template free
- Section 13 rent increase template
- Rent increase letter
- Raising rent letter template
However, it is important to understand that a standard rent increase letter is not always sufficient. In many cases, a formal Section 13 notice is legally required.
When Should You Use a Section 13 Notice?
A landlord can use a Section 13 notice when:
- The tenancy is a periodic tenancy.
- The tenancy agreement does not contain a valid rent review clause.
- The landlord wants to increase the rent without signing a new agreement.
- At least 12 months have passed since the last rent increase using Section 13.
The notice cannot generally be used during a fixed term unless the tenancy agreement specifically allows rent increases.
Types of Tenancy and Rent Increases
The process for increasing rent depends on the types of tenancy involved.
Fixed-Term Tenancies
If the tenant is still within a fixed term, the landlord can usually only increase rent if:
- The tenancy agreement contains a rent review clause.
- The tenant agrees to the increase.
- A new tenancy agreement is signed.
Periodic Tenancies
For periodic tenancies, landlords can generally use a Section 13 notice to increase rent.
Periodic tenancies continue automatically after the fixed term expires and may run:
- Monthly
- Weekly
- Quarterly
- Annually
Most private residential landlords encounter periodic tenancies after the original AST ends.
How Much Notice Must Be Given?
The required notice period depends on how often rent is paid.
For most monthly periodic tenancies, landlords must provide at least one month’s notice.
For yearly tenancies, landlords typically need to provide six months notice.
The notice must clearly state:
- Current rent
- Proposed new rent
- Effective date of increase
- Property address
- Tenant details
Failing to provide the correct notice period can invalidate the rent increase.
How to Send a Rent Increase Notice
When you send a rent increase notice, it is good practice to:
- Check the tenancy agreement.
- Review local market rents.
- Give the correct notice period.
- Keep proof of service.
- Maintain written records.
Landlords should always communicate professionally and explain the reasons behind any proposed increase.
Many disputes can be avoided through early communication before formally serving a Section 13 notice.
What Is a Rent Review Clause?
A rent review clause is a provision within a tenancy agreement that allows rent to be increased according to an agreed mechanism.
For example, the clause may state that:
- Rent increases annually.
- Rent rises in line with inflation.
- Rent is reviewed against market rates.
If a valid rent review clause exists, landlords may not need to use a Section 13 notice.
Always review the tenancy agreement carefully before serving any formal notice.
How Often Can a Landlord Increase Rent?
Under the Housing Act 1988, landlords generally cannot use a Section 13 notice more than once every 12 months.
However, rent may be increased more frequently if:
- The tenancy agreement allows it.
- The tenant agrees voluntarily.
- A new tenancy agreement is signed.
The proposed increase should be reasonable and reflect local market conditions.
Can Tenants Challenge a Rent Increase?
Yes.
Tenants can challenge a proposed increase if they believe the new rent is above the market rate.
If a tenant disagrees with the proposed rent, they may refer the matter to the First-tier Tribunal (Property Chamber) before the increase takes effect.
The tribunal will consider factors such as:
- Comparable local rents.
- Property condition.
- Location.
- Market evidence.
The tribunal can determine what it considers to be a fair market rent.
This means landlords should ensure any proposed increase is supported by local market data.
Best Practice When Increasing Rent
When planning to increase the rent, landlords should:
1. Research Market Rents
Compare similar properties in the area to justify the increase.
2. Communicate Early
Providing advance warning often improves tenant relations.
3. Be Reasonable
Large rent increases may encourage tenants to move out or challenge the increase.
4. Document Everything
Keep copies of:
- Rent increase notice
- Emails
- Letters
- Proof of service
5. Retain Good Tenants
A slightly lower increase can often be more profitable than losing a reliable tenant and facing a void period.
Common Mistakes Landlords Make
Using the Wrong Notice
A standard rent increase letter may not be sufficient where a formal Section 13 notice is required.
Ignoring the Tenancy Agreement
Always check whether a rent review clause already exists.
Giving Insufficient Notice
Failure to provide the correct notice period can invalidate the increase.
Setting Unrealistic Rents
A significant increase above market levels may lead to challenges or tenant turnover.
Should You Use a Rent Increase Letter or Section 13 Notice?
The answer depends on the tenancy type.
| Situation | Recommended Method |
|---|---|
| Fixed term tenancy with agreement | Mutual agreement |
| Fixed term with rent review clause | Follow clause |
| Monthly periodic tenancy | Section 13 notice |
| Tenant voluntarily agrees | Written agreement |
| New tenancy being signed | New tenancy agreement |
For most periodic tenancies, landlords should use the prescribed Section 13 notice template rather than a simple letter.
Download a Free Section 13 Notice Template
If you need a Section 13 notice template free, you should use the latest prescribed government form to ensure compliance with current legislation.
Using the correct Section 13 rent increase template helps protect landlords from disputes and ensures the increase is legally enforceable.
Final Thoughts
Increasing rent is a normal part of property management, but landlords must follow the correct legal process. Whether you use a raising rent letter template, a formal rent increase notice, or a Section 13 notice to increase rent, understanding the requirements of the Housing Act 1988 is essential.
By giving the correct notice period, checking the tenancy agreement, reviewing local market rents, and communicating clearly with tenants, landlords can increase rent fairly while maintaining positive tenant relationships.
Using the correct Section 13 notice template ensures compliance and reduces the risk of disputes, tribunal challenges, and delays.
FAQs
A Section 13 notice is the formal legal notice landlords use to propose a rent increase for certain periodic tenancies in England and Wales under the Housing Act 1988.
A landlord can usually use a Section 13 notice when the tenancy is periodic and the tenancy agreement does not contain a valid rent review clause.
No. A rent increase letter is an informal written notice, while a Section 13 notice is a prescribed legal form used to increase rent in specific tenancy situations.
For most monthly periodic tenancies, landlords must give at least one month’s notice. Longer rental periods may require more notice.
Yes. Tenants can challenge a proposed rent increase if they believe it is above the market rent. They must usually do this before the new rent start date.
Rent can usually only be increased during a fixed term if the tenancy agreement includes a rent review clause or the tenant agrees to the increase.
Landlords should use the latest official prescribed Section 13 notice template to make sure the notice is legally valid.
A rent increase notice should include the tenant’s name, property address, current rent, proposed new rent, start date, notice period, and landlord details.