Rent Arrears Framework — England and Wales
Updated

This guidance reflects the Renters' Rights Act 2025, in force from 1 May 2026. What has changed?

  1. Home
  2. The Arrears Lifecycle

The Arrears Lifecycle

The six stages through which a rent arrears situation may progress, with guidance on what each stage involves and what both parties should expect.

Stage 1

Early Arrears

Early arrears begin when a rent payment is missed or is insufficient. This includes partial payments and payments that are significantly late. At this stage the arrears may result from a temporary difficulty. In many cases, early arrears can be resolved quickly and without formal action.

Landlords should

  • Note the missed or short payment promptly
  • Make first contact with the tenant within a few days
  • Keep this contact brief and factual — confirm whether payment has been made or ask if there is an issue
  • Record the date and content of the contact

Tenants should expect

  • To be contacted by their landlord or agent
  • To communicate clearly if the payment was an error or is about to be corrected
  • To raise any genuine difficulty early rather than waiting
Why this stage matters: Prompt identification of arrears prevents them from accumulating. Many cases that reach formal legal action could have been resolved at Stage 1 had the issue been addressed immediately.
Stage 2

Initial Communication

If the arrears are not resolved following first contact, or if the tenant has not responded, the landlord or agent should make a more formal written communication confirming the arrears and requesting payment or contact within a specified period.

Landlords should

  • Send a written arrears notice by email or letter
  • State the amount owed and the date(s) payment was due
  • Request payment or contact within 7 to 14 days
  • State that failure to respond may result in further action
  • Date the notice and retain a copy

Tenants should expect

  • A formal written notice if they have not responded to initial contact
  • That ignoring this notice will not prevent further escalation
  • To communicate any reason for the arrears at this stage — benefit delays, personal difficulty, or other circumstances
Why this stage matters: The written record created at Stage 2 is important if the matter escalates. It demonstrates that the landlord took a structured, reasonable approach and gave the tenant clear opportunity to engage before further action was taken.
Stage 3

Managed Arrears

Where a tenant engages and acknowledges the arrears, a repayment arrangement may be agreed. This stage covers situations where both parties are communicating and an attempt is being made to manage and reduce the outstanding balance. A managed arrangement does not mean the landlord has waived their right to recover the full amount.

A repayment arrangement should include

  • The total amount of arrears outstanding
  • The amount to be paid each week or month in addition to ongoing rent
  • The expected date by which arrears will be cleared
  • A clear statement of what will happen if the arrangement is not maintained
  • Written confirmation acknowledged by both parties

Tenants should expect

  • To maintain any agreed arrangement strictly
  • That failure to do so is likely to result in escalation
  • To contact their landlord early if they experience difficulty maintaining payments
Why this stage matters: A functioning repayment arrangement is in the interests of both parties. It allows the landlord to recover the arrears without formal proceedings and allows the tenant to remain in the property.
Stage 4

Formal Notice Stage

Where arrears have not been resolved through communication and any repayment arrangement has broken down or not been agreed, the landlord may proceed to serve formal notice. Under the Renters' Rights Act 2025, in force from 1 May 2026, landlords in England must use a Section 8 notice. Section 21 no-fault evictions are abolished from this date.

Mandatory threshold (Ground 8)

  • Monthly tenancies: at least 3 months' rent outstanding at the date of notice and at the court hearing
  • Weekly tenancies: at least 13 weeks' rent outstanding
  • Minimum notice period: 4 weeks
  • These thresholds reflect the Renters' Rights Act 2025 — previous thresholds (2 months / 8 weeks) applied before 1 May 2026

Discretionary grounds

  • Ground 10 applies where any rent is outstanding
  • Ground 11 applies where rent has been persistently paid late — no arrears need to be outstanding
  • The court has discretion on these grounds and will consider the circumstances of both parties
Why this stage matters: The formal notice stage marks a significant escalation. It creates a legal record that the landlord has followed a proper process. Landlords who reach this stage without having documented Stages 1 to 3 may face difficulties if the matter proceeds to court.
Wales: Wales operates under a separate legal framework under the Renting Homes (Wales) Act 2016. Landlords in Wales should take specific legal advice on the applicable grounds and procedures for their jurisdiction.
Stage 5

Recovery and Escalation

If the tenant does not respond to the Section 8 notice, does not vacate the property, and does not resolve the arrears, the landlord may take further steps toward a formal county court claim. This stage may include instructing a specialist arrears recovery organisation or legal representative.

Pre-litigation steps

  • Write to the tenant confirming the current arrears balance
  • Make a final request for payment or contact
  • Confirm the intention to issue court proceedings if the matter is not resolved within a specified period
  • Instruct a specialist recovery organisation or solicitor if appropriate

Tenants should expect

  • That formal legal proceedings are imminent
  • To seek independent advice immediately
  • Free advice is available from Citizens Advice, Shelter, local authority housing teams, and the Housing Loss Prevention Advice Service
Why this stage matters: County court proceedings involve costs for both parties. Stage 5 represents a final opportunity to resolve the matter without the additional burden of court fees, legal costs, and the impact of a county court judgment on the tenant's credit record.
Stage 6

Legal Proceedings

Where all earlier stages have been completed and the arrears remain unresolved, the landlord or their representative may issue a county court possession claim. This is the final stage of the framework.

How a possession claim works

  • A claim is made to the county court setting out the grounds for possession and the arrears outstanding
  • The tenant is notified and given an opportunity to respond
  • Where Ground 8 is established and the threshold is met, the court must grant a possession order
  • A possession order specifies the date by which the tenant must vacate
  • If the tenant does not leave, the landlord may apply for a warrant of possession

Costs and consequences

  • Court fees for a possession claim are in the region of £400 to £450
  • Outstanding arrears remain a debt owed by the tenant
  • A county court judgment affects the tenant's credit record for up to six years
  • The landlord has six years to pursue recovery of unpaid rent
Why this stage matters: Legal proceedings represent the point at which all structured attempts at resolution have been exhausted. The framework's purpose is to ensure this stage is reached only after a documented, proportionate, and fair process — protecting the legal position of the landlord and ensuring the tenant has been given reasonable opportunity to resolve the situation at each earlier stage.

The six stages

Related guidance

Get advice

Home About The Arrears Lifecycle Landlord Guidance Tenant Guidance Principles Adoption FAQs Contact

The Rent Arrears Framework is an independent not-for-profit guidance initiative. It does not provide legal advice or individual case management.

This framework applies to the private rental sector in England and Wales. Content reflects the Renters' Rights Act 2025, in force from 1 May 2026.

© Rent Arrears Framework 2026 — rentarrearsframework.com