"Our data shows that many tenants rely on rent in advance as a practical, proven solution. Four in ten landlords are open to this where it helps a reliable applicant secure a home"
- Allison Thompson - LRG
The Renters’ Rights Bill aims to make renting fairer, but research from Leaders Romans Group (LRG) suggests it could unintentionally block access to good-quality housing for tenants who depend on paying rent upfront. This includes overseas applicants, the self-employed, and those without a UK credit history.
Central to the issue is a proposed cap limiting advance rent payments to just one month. While intended to protect renters, this change would remove an option many currently use to secure a home.
LRG’s Q1 2025 Lettings Report found that 57% of tenants have faced difficulties securing a property. Among these, 21% identified raising several months’ rent upfront as their main challenge. This practice often strengthens applications when conventional references are limited. Other common barriers include lacking UK credit history at 11% and having self-employed or irregular income at 10%.
The report also highlights landlords’ perspectives on low-income tenants. With additional advance rent, 41% of landlords say they are likely to accept a low-income applicant. Without this option, that figure drops to just 6%.
The National Residential Landlords Association (NRLA) research supports this, showing that 91% of landlords take no more than one month’s rent upfront, while only 8% ask for more, typically when references or credit histories are weak.
Both the NRLA and Propertymark warn that removing the ability to negotiate advance payments will make it harder for tenants with poor credit or variable incomes to secure homes.
Goodlord’s tenant referencing guidance confirms that self-employed renters trading for less than six months usually need to offer a guarantor or pay rent in advance to meet affordability criteria.
International renters may face particular difficulties. A recent article in The Times noted that overseas students, often unable to provide UK guarantors, rely on paying several months upfront to pass referencing. Without this option, they may have to accept more expensive and less flexible accommodation.
“The intention to make renting fairer is positive, but fairness must start at the application stage," comments Allison Thompson (pictured), national lettings managing director at LRG. "Our data shows that many tenants rely on rent in advance as a practical, proven solution. Four in ten landlords are open to this where it helps a reliable applicant secure a home."
"Capping advance rent could have the opposite effect to what’s intended, making the system less fair for those who already face barriers. We urge Parliament to protect the option for landlords and tenants to agree a higher up-front payment where it’s the only route to securing a home. Negotiated advance payments, used with safeguards, are a bridge into housing, not a loophole.”
As the Bill moves through Parliament, LRG calls for amendments that maintain controlled flexibility. This would allow landlords to respond to individual tenant circumstances while operating within clear and fair safeguards.
