What is an Assured Shorthold Tenancy? Explained for 2026
An AST is the default form of letting in England. Here's what it is, when it doesn't apply, and how the Renters' Rights Act 2024 will change it forever.
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Introduction
ASTs are the foundation of the modern PRS — and they're about to become history. With the Renters' Rights Act abolishing them, understanding both the current rules and what's coming is essential. Here's the plain-English explainer.
Statutory origin
The Housing Act 1988 created the Assured Tenancy regime; the Housing Act 1996 made AST the default residential tenancy from 28 February 1997. Any private residential tenancy created after that date is presumed to be an AST unless excluded.
AST eligibility
Annual rent under £100,000 (urban) or above £250 (£1,000 in London). Property let as a separate dwelling. Tenant is an individual (not company). Tenant's only or principal home. Landlord is not a resident landlord. Tenant has exclusive possession.
Not an AST
Lodger arrangements (excluded tenancy), holiday lets, company lets, social housing in most cases, agricultural tenancies. These follow different regimes — usually common-law tenancies or licence agreements with less tenant protection but also less landlord regulation.
Fixed term and periodic
ASTs usually have a 6 or 12-month fixed term. When that ends, unless a new fixed term is signed, the tenancy automatically rolls into a statutory periodic tenancy on the same terms with monthly periods (where rent is monthly).
Ending an AST today
Section 21 — no-fault notice, two months minimum, requires gateway compliance (deposit protected, How to Rent given, gas safety, EPC, EICR, licensing). Section 8 — fault-based, 17 grounds, various notice periods, may need court hearing. Surrender by agreement.
Deposit and prescribed information
Deposit capped at five weeks' rent (Tenant Fees Act). Must be protected in TDS, DPS or mydeposits within 30 days. Prescribed Information served on tenant within 30 days. Get any of this wrong and Section 21 is invalid until rectified.
After the Renters' Rights Act
No new ASTs will be created — every assured tenancy will be a single periodic 'assured tenancy'. Section 21 abolished. Strengthened Section 8 grounds (sale, moving in, redevelopment). Stronger tenant rights to challenge rent at the First-tier Tribunal. Existing ASTs convert automatically on the appointed day.
Final word
Smart Sleep Property handles the heavy lifting — referencing, compliance, deposits, repairs, and full tenancy management across Norwich and Norfolk. Get in touch if you'd like us to handle this for you.
Frequently asked questions
What is the key rule for assured shorthold tenancy?+
An Assured Shorthold Tenancy is the standard residential tenancy in England with a fixed term (commonly 6 or 12 months) followed by automatic roll into a statutory periodic. Created by the Housing Act 1988 (amended 1996). The Renters' Rights Act 2024 abolishes new ASTs and converts existing ones int
Does this apply across England?+
Yes — this guide covers England. Scotland, Wales and Northern Ireland have separate but broadly similar regimes.
Where can I get help?+
Smart Sleep Property offers compliance support, document templates and full management for Norwich and Norfolk landlords.
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