If your tenant has stopped paying rent, it’s understandable to feel worried. For many landlords, rent is used to cover a mortgage, service charge and other running costs. Even a short delay can create pressure.
The good news is that early, calm action can make a real difference. The sooner you understand what has happened, check your protection and keep proper records, the more options you’re likely to have.
Since Section 21 no-fault evictions ended for private landlords in England on 1 May 2026, the old shortcut is no longer available. If arrears continue, possession will generally need to follow the Section 8 route under the new Renters’ Rights Act 2026 changes.
Here’s what London landlords should do now.
Don’t wait
Week one is easier than month three.
Contact the tenant as soon as a payment is missed. A short-term problem may be easier to resolve before arrears build up and become difficult for both sides.
There may be a straightforward explanation:
- A change of job or delayed wages
- A delayed Universal Credit payment
- An unexpected household bill
- A banking issue
- A misunderstanding about the payment date
- A temporary personal or family problem
Early contact also helps you create a clear timeline. Make a note of when the rent was due, when it was missed and what the tenant explained. Keep copies of messages and emails.
If the situation later requires formal action, evidence and paperwork will matter. A complete record is much stronger than trying to reconstruct events several months later.
Check your cover
Before taking further steps, check whether you have:
- Rent protection insurance
- Legal expenses cover
- Rent guarantee insurance
- Eviction cover
- Cover provided through your letting agent
Read the policy carefully. It may require you to notify the insurer within a particular number of days after the first missed payment. It may also require specific referencing, tenancy or arrears-management procedures to have been followed.
Delaying notification can invalidate cover. Don’t assume that you can wait until the arrears become serious before making contact.
Lyss Homes includes free Rent Protection and Eviction Cover with our fully managed lettings service where we find the tenant and manage the property. The exact terms, conditions and requirements should always be checked in the relevant policy or service documentation.
You can find out more about our fully managed lettings service or speak to our team about what applies to your property.
Talk first
A missed payment doesn’t always mean a tenancy has irretrievably broken down.
Start with a polite, practical conversation. Ask what has happened and whether the tenant expects the problem to be resolved soon. Keep the tone professional and avoid making assumptions.
If the tenant can repay the arrears, agree a written repayment plan. It should set out:
- The total amount currently owed
- The regular rent that must continue to be paid
- The additional amount to be paid towards arrears
- The payment dates
- What happens if an agreed payment is missed
Put the agreement in writing and ask both sides to confirm it. A realistic plan is often more useful than demanding an amount the tenant cannot afford.
Courts will generally want to see evidence that the situation has been handled reasonably. A genuine attempt to resolve the arrears can help demonstrate that you have acted fairly.
Where appropriate, you can also ask the council or Universal Credit to consider managed payments of the housing element directly to the landlord. This may help where a tenant is struggling to manage their rent payments.
You can signpost the tenant to:
- Their local council’s homelessness prevention team
- Citizens Advice
- StepChange
- Shelter
- Other reputable debt advice charities
Helping a tenant access advice does not mean giving up your rights as a landlord. It can be a sensible way to address the problem before it becomes more serious.
Don’t raise the rent
Increasing the rent won’t solve existing arrears.
Under the current rules, rent can generally be increased only once a year using the Section 13 process. The landlord must use Form 4A and give at least two months’ notice before the increase takes effect.
A proposed increase must also reflect the market rent for the property. It is not a substitute for recovering money that is already owed.
If your tenant is already struggling to pay, a rent increase could make the situation worse. Deal with the arrears separately and take proper advice before considering any future rent review.
Understand Section 8
From 1 May 2026, private landlords in England can no longer serve a new Section 21 notice to recover possession without giving a specific reason. Possession cases now rely on the relevant Section 8 grounds.
For serious rent arrears, Ground 8 is the mandatory rent arrears ground. In straightforward terms, at least two months’ rent, or eight weeks’ rent where rent is paid weekly, must be unpaid:
- When the notice is served; and
- At the date of the possession hearing.
This second test is important. Arrears must still be at or above the required threshold when the case reaches court. If the tenant reduces the arrears below the threshold before the hearing, a Ground 8 claim can fail.
Grounds 10 and 11 may also be relevant:
- Ground 10 covers rent arrears where the required Ground 8 threshold is not met.
- Ground 11 covers persistent late payment, even where the tenant is not currently at the full Ground 8 threshold.
These are discretionary grounds. The court decides whether it is reasonable to grant possession after considering the evidence and circumstances.
The notice period, exact wording, prescribed form and evidence required depend on the ground used and the rules in force at the time. Before serving anything, check the latest government guidance and obtain professional legal advice.
A notice that is incomplete, served incorrectly or based on the wrong ground can cause delay and additional cost.
Keep everything
Good records are essential for landlords dealing with arrears.
Keep:
- A rent account statement showing every payment and missed payment
- The signed tenancy agreement
- Tenant referencing and affordability information
- Bank statements or payment records
- Emails, letters and messages
- Notes of calls and meetings
- Any repayment plan
- Evidence of the arrears at the date notice was served
- Evidence of the arrears at the date of the hearing
- Copies of notices and proof of service
Avoid relying only on informal phone calls. Follow up important conversations in writing with a short summary of what was discussed.
Clear records can help you resolve the matter and will be important if you need to make an insurance claim or start possession proceedings.
Don’t self-evict
Never change the locks, remove belongings, cut off utilities or threaten the tenant.
These actions may amount to illegal eviction or harassment. Illegal eviction is a criminal offence and can lead to serious penalties, compensation claims and damage to your reputation as a landlord.
It can also weaken your position when trying to recover possession lawfully.
If the tenant does not leave after the correct notice and any required court process, you must use a court order and authorised bailiffs to enforce possession. Do not take matters into your own hands.
Following the proper process protects the tenant, but it also protects you.
Check compliance
Before serving a notice, review your wider landlord obligations. Problems elsewhere can affect your ability to recover possession and may create additional risk.
Check that you have:
- Protected the deposit within 30 days
- Given the tenant the required prescribed information
- Kept gas safety records up to date
- Obtained a valid EICR
- Completed right to rent checks
- Complied with any selective, additional or mandatory licensing requirements
- Met relevant property safety and repair duties
- Provided the information and documents required under current rules
The national Private Rented Sector Database is also part of the changing compliance landscape. Registration opens across England from 15 December 2026. London’s published commencement date for the registration requirement is 15 July 2027.
You can review the Private Rented Sector Database Regulations 2026 and current government information as the registration process develops.
How can an agent help?
A good lettings agency can help you act earlier and reduce avoidable mistakes.
For landlords, effective property management services can include:
- Monitoring rent payments
- Contacting tenants promptly after a missed payment
- Keeping an accurate rent account
- Managing communication professionally
- Assessing affordability and references before the tenancy starts
- Checking that the tenancy paperwork is complete
- Advising on the next practical step
- Helping coordinate legal advice where needed
- Supporting insurance notifications and claims
This is particularly useful for first-time landlords and owners managing a buy to let investment alongside work and family commitments.
At Lyss Homes, our service is personal and hands-on. We keep landlords updated, explain the options clearly and aim to make the process as smooth and stress-free as possible. Our fully managed service also includes free Rent Protection and Eviction Cover when we find and manage the tenancy, subject to the applicable terms.
Need help?
If your tenant has just missed a payment, you don’t need to wait until the situation becomes overwhelming.
Start by checking the rent account, speaking to the tenant and reviewing your cover. If the arrears continue, take professional legal advice before serving a notice or beginning possession proceedings.
Our lettings team is here to provide honest advice and explain how our fully managed service could support you.
Disclaimer: This article is general information for London landlords and is not legal advice. Housing law and the relevant procedures can change. Possession proceedings should be handled with professional legal advice, and landlords should check the latest government guidance and prescribed forms before taking action.