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LATEST NEWS  |  January 2026

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Published: 6 January 2026
What is the Employment Rights Act 2025?

On 18 December 2025, the long-awaited Employment Rights Act 2025 recevied royal assent. The Act marks the most significant overhaul of UK employment law in over a decade. Most provisions will roll out gradually through 2026 – 27, per the Government’s July 2025 roadmap.

This article outlines changes employers must plan for in 2026 and beyond.

CONTENTS:

Unfair Dismissal: Shortened Qualifying Period & Removal of Cap

Reduced Qualifying Period

  • Employees will be able to bring an unfair dismissal claim after just six months’ service, down from the current two-year requirement—expected to be effective from 1 January 2027. Employees joining on or after 1 July 2026 could thus benefit.

  • Employers should revise probationary policies and performance frameworks during the first half of 2026.

 

Removal of Compensation Cap

  • The Act removes the existing limit on compensatory awards, which currently cap awards at the lesser of 52 weeks’ pay or £118,223.

  • Effective timing is not yet confirmed (likely alongside the six-month rule change). Awaiting government’s impact assessment.

  • This change heightens risk exposure—particularly for senior staff dismissals—and may shift claims away from uncapped remedies such as discrimination or whistleblowing.

​​

Extended Tribunal Claim Window & ACAS Deepening

  • The deadline for bringing Employment Tribunal claims is extended from three to six months.

  • To manage potential volumes, the ACAS Early Conciliation window will extend from six to twelve weeks, effective from 1 December 2025 (already in force).

​​

Collective Redundancy: Broader Scope & Higher Penalty

  • The Act retains the 'at one establishment' test and supplements it with a nationwide threshold for redundancy levels, to be defined in future regulations.

  • The cap on redundancy consultation protective awards will double from 90 to 180 days’ pay, effective April 2026.

  • Failure to consult properly exposes companies to significantly increased financial liabilities.

​​

Restrictions on 'Fire & Rehire' Tactics

  • From October 2026, employers making 'restricted variations'—such as altering pay or hours—without agreement will face claims of automatic unfair dismissal, unless necessary to salvage the business in financial distress.

  • Changing duties or workplace location is exempt.

  • 'Fire and replace' arrangements targeting substitutes with contractors or agency workers are also covered.

  • Contract clauses allowing unilateral variations for restricted changes will be voided.

​​​​​

Zero‑Hours Contracts & Shift Guarantees

  • The Act introduces rights focused on guaranteed hours, advance notice of shifts, and compensation for cancellations or rescheduling.

  • Employers may use fixed-term guaranteed hour offers if it is reasonable.

  • These intricate provisions will be fleshed out via secondary legislation, slated for completion in 2027, with rollout likely mid to late 2027.

Modernising Trade Union Rights

Information Duty

  • Employers must notify workers in writing of the right to join a trade union, likely included in contracts or policy statements.

Workplace Access & Recognition

  • Statutory access rights for listed unions (including virtual access) are expected from October 2026, allowing recruitment and representative activities.

  • The union recognition threshold falls from 10% to a range between 2 – 10%, specifics to be determined via regulation; likely effect from April 2026.

Industrial Action Reform

  • Ballot thresholds are lowered – 50% turnout no longer required; a simple majority is sufficient.

  • Electronic balloting will be introduced.

  • Minimum notice to employers may be reduced (e.g., from 14 to 10 days).

  • These changes are expected in April – October 2026.

Day‑One Statutory Rights & Family Leave

  • From April 2026, employees will enjoy day-one rights to:

    • Statutory Sick Pay, with no lower earnings limit;

    • Paternity leave;

    • Unpaid parental leave.

  • Bereavement leave, pregnancy-linked protections, and anti-dismissal safeguards will follow in 2027 after statutory updates.

Flexible Working Rights

  • From 2027, employees will gain day-one rights to request flexible working, and employers must provide grounds for refusal with explanation.

Preventing Harassment & Third‑Party Liability

  • From October 2026, the Act strengthens employer duties to take 'all reasonable steps' to prevent harassment – including third-party harassment (e.g., by customers or clients).

  • Sexual harassment becomes a category of protected disclosure under whistleblowing rules.

Equality Action Plans & Reporting Requirements

  • Larger employers (250+ employees) must publish an equality action plan addressing the gender pay gap and menopause support.

  • Initially voluntary from April 2026, becoming mandatory in 2027.

NDAs & Transparency

  • The Act bans confidentiality clauses that silence workers from reporting harassment / discrimination or critiquing employer responses.

  • Regulations defining 'excepted agreements' will follow; effective date remains to be confirmed.

Creating the Fair Work Agency & Strengthening Enforcement

  • A new Fair Work Agency (FWA) will launch in April 2026, with authority to audit wages, sick pay, holiday pay, and record keeping.

Final Thoughts

The Employment Rights Act 2025 transforms the employer–employee relationship:

  • Lower thresholds for dismissal claims

  • Uncapped compensation

  • Expanded family-friendly and worker rights

  • Enhanced union access and industrial-action flexibility

  • Strengthened anti-harassment protections

  • Regulatory body (FWA) with stronger enforcement powers

Given the phased rollout through 2027, employers must act now to overhaul policies, upgrade systems, and train staff ahead of each implementation phase. Proactive planning is key to managing compliance and avoiding costly disputes.

Navigating this sweeping legislative change is complex – but with strategic preparation across 2026 and 2027, businesses can protect themselves and support their workforce through a fairer, more modern employment framework.

Do you have any questions about the Employment Rights Act 2025?

Contact us to schedule a consultation with one of our friendly and knowledgeable solicitors.
We are here to guide you through every step of the process, making it as straightforward and stress-free as possible.
What is the Renters’ Rights Act 2025? Published: 20 November 2025

The new Renters’ Rights Act is coming into force on 1 May 2026. It sets out a new legal framework for short-term residential lettings in England, but further regulations are needed before it takes full effect. The government has promised to announce its implementation plans soon.

CONTENTS:

Big Changes to Tenancy Types

The Act abolishes Assured Shorthold Tenancies (ASTs) and the widely used section 21 ‘no-fault’ evictions.

 

Instead, all short-term tenancies will become Assured Periodic Tenancies (APTs). These are rolling tenancies with no fixed end date.

  • Landlords can only end a tenancy using specific legal reasons (called “grounds”).

  • Tenants can leave at any time with proper notice—usually two months.

 

Existing ASTs will automatically convert into APTs when the Act comes into force. Landlords won’t be allowed to offer new fixed-term tenancies anymore.

Ending Tenancies: What's Allowed

Landlords must use the section 8 process to end a tenancy, citing one or more legal grounds. These grounds are now more numerous and detailed.

  • Mandatory grounds mean the court must grant possession if the landlord proves the case.

  • Discretionary grounds allow the court to decide based on fairness.

Even with mandatory grounds, courts will consider human rights and justice. Possession is never guaranteed just because a notice is served.

Due to court delays, landlords are advised to keep detailed records of tenant behaviour and compliance.

Student Accommodation 

The rules for student lettings vary:

  • University-owned housing is exempt.

  • Purpose-built student accommodation (PBSA) will also be exempt if managed under approved codes (e.g. ANUK/Unipol, UUK).

  • Non-PBSA student housing will follow the new APT rules.

 

A new rule (ground 4A) allows landlords to regain possession of student HMOs between 1 June and 30 September, but only if certain conditions are met—like giving advance notice and timing the tenancy correctly.

Rent Increases

Landlords can only raise rent once a year using a statutory process under section 13 of the Housing Act 1988.

  • Two months’ notice is required.

  • Tenants can challenge increases at the First-Tier Tribunal (FTT).

  • The FTT can’t raise rent above the landlord’s proposed amount.

  • Rent increases won’t be backdated unless future regulations allow it.

 

This change creates uncertainty for landlords and investors, especially if many tenants challenge rent increases.

Advance Rent Payments

The Act bans landlords and agents from asking for rent before a tenancy is signed.

  • Holding deposits (up to one week’s rent) are still allowed.

  • Once the tenancy starts, rent can’t be required more than one month in advance.

  • Tenants can choose to pay more upfront, but landlords can’t demand it.

 

When a tenancy ends, tenants must be refunded any rent paid for days after the end date.

Tenancy Deposits

Deposit caps remain unchanged:

  • 5 weeks’ rent if annual rent is under £50,000.

  • 6 weeks’ rent if it’s £50,000 or more.

 

Deposit protection rules continue for converted ASTs and new APTs. PBSA tenancies are exempt unless codes of practice require protection.

No More Rent Bidding Wars

Landlords must advertise a fixed rent and cannot accept offers above that amount. This aims to stop competitive bidding that drives up prices.

No Discrimination

Landlords and agents cannot refuse tenants just because they have children or claim benefits.

  • Exceptions apply for overcrowding or insurance restrictions.

  • Discriminatory clauses in tenancy agreements or adverts will be unenforceable.

Pets

Tenants have the right to request permission to keep a pet.

  • Requests must be in writing.

  • Landlords must respond within 28 days.

  • Consent can’t be unreasonably withheld, unless restricted by a superior lease.

 

Government guidance will clarify when refusal is reasonable (e.g. property size or number of pets).

Awaab’s Law & Decent Homes Standard

These rules, previously for social housing, will now apply to private rentals.

  • Awaab’s Law requires landlords to fix health hazards quickly.

  • Decent Homes Standard will apply from 2035 or 2037, depending on future regulations.

New PRS Database

Landlords must register themselves and their properties in a new Private Rented Sector (PRS) database.

  • Properties can’t be advertised or rented without registration.

  • Unique identifiers must be included in adverts.

  • Possession orders won’t be granted unless registration is active.

 

Details on costs and public access are still to come.

Landlord Redress Scheme

Landlords must join a new ombudsman scheme to resolve disputes with tenants.

  • Launch date and fees are unknown.

  • The scheme will likely follow after the APT regime begins.

Information for Tenants

Landlords must provide a written statement of terms before a new APT starts.

  • For existing tenancies, landlords must give tenants a summary of changes within one month of the Act coming into force.

  • Agents can handle this on behalf of landlords.

Penalties for Non-Compliance

Landlords and agents face civil fines and criminal charges for breaking the rules.

  • Fines range from £7,000 for minor breaches to £40,000 for serious or repeated offences.

  • Offences include:

    • Misusing possession grounds.

    • Marketing properties without proper registration.

    • Providing false info to the PRS database.

    • Failing to join the ombudsman scheme.

When Will It Start?

There’s no confirmed start date yet. The government says it will give landlords sufficient notice.

  • The tenancy regime could begin as early as spring 2026.

  • Anti-discrimination rules and rent bidding bans may come in at the same time.

  • The PRS database and ombudsman scheme may follow later.

 

Transitional rules will apply. For example, section 21 and section 8 notices served before the Act takes effect will remain valid.

Final Thoughts

The Renters’ Rights Act 2025 is a major shift in how residential lettings work in England. Landlords and agents should start preparing now by:

  • Reviewing tenancy agreements.

  • Updating record-keeping practices.

  • Understanding the new grounds for possession.

  • Planning for rent reviews and tenant communications.

Do you have any questions about the Renters' Rights Act 2025?

Contact us to schedule a consultation with one of our friendly and knowledgeable solicitors.
We are here to guide you through every step of the process, making it as straightforward and stress-free as possible.

PRESS RELEASE  |  April 2025

Local firm reveals ambitious growth plan with senior hire and rebrand

Heritage Legal has today revealed its ambitious new growth plan, which includes recruiting senior lawyer Rob Tiffen to head a new Business Services team, and rebranding to Broadstone Legal.

 

Rob is well established in the local business community, having worked at some of the leading national and regional firms in Norfolk, and has acted for many of the region's well-known SMEs and high net worth individuals. Rob's recruitment follows close behind Matthew Dugdale joining in September 2024, another experienced and well-known senior property lawyer, to head the Property team. Together with Dominic Pearson, existing head of the highly regarded Private Client team, they have over 45 years' combined experience in their respective areas.

 

Rob Tiffen said "There is an opportunity at the moment for a law firm to really focus on the SME market, and I am excited to have a chance to do that here at Broadstone Legal. Our new Business Services department aims to develop into the leading SME focused business law team in the region, and I am looking forward to working alongside such excellent colleagues as Matthew and Dominic to grow the business".

 

The firm is also rebranding to Broadstone Legal as part of its growth plans. Dominic Pearson, previously the Managing Director of Heritage Law and Head of Private Client at Broadstone Legal said "the new branding gives us a fresh and contemporary identity that reflects our values as an organisation. We aim to be one of the leading firms in the region, with a reputation for delivering practical solutions with compassion and professionalism, building on the success that Heritage Legal has already enjoyed."

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