Section 21 Claims Are Rising Fast
Ministry of Justice possession claim statistics for England and Wales show that private landlord possession claims reached 28,724 in 2024, up 15% on 2023 and the highest annual figure since 2015. Within that total, the share of claims brought under Section 21 of the Housing Act 1988 has grown disproportionately. In the final quarter of 2024, Section 21 claims accounted for 78% of all private landlord possession claims, compared with 71% in the same quarter of 2022. The surge reflects a deliberate, rational response by landlords to a legislative deadline that is now less than two years away.
What Is Driving the Section 21 Surge?
1. The Renters' Rights Act Abolition of Section 21
The Renters' Rights Act 2025 received Royal Assent on 27 October 2025. It abolishes Section 21 no-fault evictions in England, with commencement expected in 2026. Once in force, landlords will only be able to regain possession through Section 8 grounds, all of which require a specified reason and, in most cases, evidence. The Act also ends fixed-term assured shorthold tenancies, moving all tenancies to periodic. Landlords who want to sell, move a family member in, or exit the market are accelerating possession claims now while Section 21 remains available.
2. Mortgage Rate Pressure and Section 24 Tax Changes
Buy-to-let mortgage rates peaked above 6% in 2023 and remain elevated. Combined with the phased restriction of mortgage interest relief under Section 24 of the Finance Act 2015, many leveraged landlords are running thin or negative margins. For those landlords, the decision to sell is financial, not ideological. A Section 21 notice is the cleanest route to vacant possession before a sale, and the surge reflects that.
3. EPC and Decent Homes Standards
The government has confirmed that rented homes must reach EPC C by 2030. The Decent Homes Standard will also apply to the private rented sector. For landlords with older stock, the cost of compliance can exceed the property's yield. Rather than invest, some are exiting. Again, Section 21 is the exit mechanism of choice while it lasts.
4. Court Backlogs and Accelerated Filings
HM Courts & Tribunals Service data shows the average time from claim to possession order in 2024 was 22.4 weeks, up from 18.1 weeks in 2019. Landlords who anticipate needing possession in 2026 are filing now to avoid the post-abolition bottleneck. The surge is partly a queue-jumping effect: claims that would have been brought in 2026 are being brought in 2025.
Regional Variation in Possession Claims
The surge is not evenly distributed. London and the South East account for 41% of all Section 21 claims, driven by higher property values, more leveraged landlords, and a larger private rented sector. The North West and West Midlands have seen the fastest percentage growth, at 22% and 19% respectively year on year. In these regions, landlord exits are concentrated in terraced stock with EPC ratings below C.
Implications for Landlords
1. Section 21 Notices Are Under Scrutiny
Courts are applying the prescribed requirements strictly. A Section 21 notice is invalid if the deposit was not protected within 30 days, if the tenant was not given the How to Rent guide, if a gas safety certificate was not served before the tenancy started, or if the property is in a selective licensing area without a licence. The surge in claims has been accompanied by a rise in challenges. Landlords who cannot evidence compliance will lose.
2. The Case for Better Record-Keeping
Every Section 21 claim depends on a paper trail: the tenancy agreement, the deposit certificate, the gas safety record, the EPC, the How to Rent guide, and the notice itself. Missing one document can invalidate the claim and cost months. This is where property inventory software earns its place. A dated, auditable inventory and compliance log gives a landlord or agent the evidence needed to defend a claim and to demonstrate the property's condition at the start and end of the tenancy.
3. Section 8 Will Become the Default Route
Once Section 21 is abolished, landlords will rely on Section 8 grounds. Ground 1 (landlord wants to move in), Ground 1A (landlord wants to sell), and Ground 8 (rent arrears) will do most of the work. Each requires evidence. Ground 8, for example, requires at least two months' rent arrears at the date of the notice and at the date of the hearing. Landlords who do not keep accurate rent statements will struggle to prove it.
4. Rent Arrears and the New Grounds
The Renters' Rights Act introduces a new mandatory ground for repeated rent arrears and extends the notice period for some grounds to four months. It also removes the ability to use Section 21 during the first six months of a tenancy. Landlords need to understand the new notice periods and the evidence thresholds before they serve any notice.
What Landlords Should Do Now
- Audit your compliance documents. Check that every tenancy has a valid EPC, gas safety certificate, electrical installation condition report, deposit protection certificate, and How to Rent guide. If any are missing, remedy before serving notice.
- Review your tenancy agreements. Ensure they are up to date with the Renters' Rights Act and that any periodic tenancy terms are clear.
- Keep a dated inventory. Use a professional inventory with photographs and a schedule of condition. This supports both Section 21 and Section 8 claims and reduces deposit disputes.
- Consider a Section 8 claim where grounds exist. If you have rent arrears or another ground, Section 8 may be faster and less vulnerable to challenge than Section 21.
- Take advice before serving notice. A single procedural error can invalidate a notice and delay possession by months.
The Court Backlog Will Not Clear Quickly
HMCTS has recruited additional judges and introduced a digital possession claim service, but the backlog remains. The average time from claim to order is over five months. Landlords who file now are competing for court time with a growing volume of claims. The practical consequence is that possession is slower and more expensive than at any point in the last decade.
What the Surge Means for the Market
The surge is a symptom of a market adjusting to a new legal framework. Landlords are not leaving in droves, but the marginal landlord is leaving. The result is a smaller private rented sector, higher rents, and more competition for the homes that remain. For landlords who stay, the opportunity is a less crowded market and a more professional operating environment. For those who leave, the priority is a clean, evidenced exit.
Frequently Asked Questions
Is Section 21 still available in 2025?
Yes. Section 21 remains available in England until the Renters' Rights Act commencement date, expected in 2026. In Wales, the Renting Homes (Wales) Act 2016 already replaced Section 21 with a landlord's notice under Section 173.
How long does a Section 21 claim take?
From serving notice to possession order, the process typically takes four to six months, depending on the court. The notice period is two months, and the court backlog adds further delay.
Can I serve a Section 21 notice if my tenant is in arrears?
Yes, but you must follow the correct procedure. You cannot use the accelerated possession procedure if you are also claiming rent arrears. You may need to issue a separate money claim.
What happens if my Section 21 notice is invalid?
The tenant can challenge it, and the court will dismiss the claim. You will need to remedy the defect and serve a new notice, which resets the clock.
Book a Demo of Our Property Inventory CRM
With the Section 21 surge showing no sign of slowing, the landlords and agents who win are those with clean, auditable records. Our property inventory CRM helps you create dated, photographic inventories, track compliance certificates, and store every document you need to support a possession claim. Book a demo today and see how a single platform can protect your position before the Renters' Rights Act changes the rules for good.