Serving a Section 21 or Section 8 notice in England should be straightforward—but all too often, it’s invalidated by missing or non-compliant paperwork. The cost? Months of delay, extra rent arrears, and possible enforcement action.
In 2025, landlords and letting agents face stricter rules—particularly around sanctions reporting—and local councils are actively pursuing breaches. The safest move? Audit every compliance requirement before you start possession proceedings.
The 2025 Compliance Landscape
Financial Sanctions Reporting – No Rent Threshold
From 14 May 2025, letting agents will be legally obliged to report to the Office of Financial Sanctions Implementation (OFSI) if they know or suspect that:
- A landlord, tenant, or guarantor is a designated person; or
- A sanctions breach has occurred.
Unlike Anti-Money Laundering (AML) rules under the Money Laundering Regulations, this new sanctions reporting duty applies to all lets—there is no €10,000/month threshold.
(Private landlords are not brought into AML supervision by this change, but still face other compliance duties.)
AML Supervision Rules – Still Threshold-Based
The AML rules for letting agents remain unchanged: you fall under AML supervision if you handle rents equivalent to €10,000/month or more. That’s when full customer due diligence (CDD) applies, including identity checks and record-keeping.
Section 21: The Prescribed Document Checklist
To serve a valid Section 21 notice in England, you must have given the tenant:
- Gas Safety Certificate (before they move in, then annually)
- Energy Performance Certificate (EPC)
- Latest “How to Rent” guide
- Deposit protection and prescribed information within 30 days
- Any required property licence (e.g., HMO licence)
You must also have repaid any unlawful fees or deposits and ensure there’s no active improvement notice for disrepair.
EICR compliance is mandatory under separate regulations but failure alone does not invalidate a Section 21 notice—it does carry civil penalty risk.
EPC Standards – What’s Coming
Right now, the Minimum Energy Efficiency Standard (MEES) is E for private rented property. The government is consulting on raising this to EPC C by 2030, but it’s not law yet. Landlords should plan ahead to avoid costly retrofits later.
Why Letting Agents Should Use a Compliance Check
If you’re a letting agent, checking every document before serving notice isn’t just about legal safety—it protects your agency’s reputation and avoids disputes with landlords.
Our Legal Compliance Check service:
- Reviews Gas Safety, EPC, EICR, How to Rent guide
- Confirms deposit protection and prescribed info
- Checks licensing, alarms, Right to Rent, and more
- Highlights missing or non-compliant items
- Costs just £60 + VAT
It’s the fastest way to ensure your notices stand up in court—without you having to wade through complex housing law.
👉 Book your Compliance Check here
Frequently Asked Questions
Q: Do I need an EICR for a valid Section 21?
A: You must have an Electrical Installation Condition Report (EICR) under the Electrical Safety Standards in the Private Rented Sector Regulations, but lack of an EICR alone doesn’t invalidate a Section 21 notice. It can, however, lead to a penalty of up to £30,000.
Q: Are sanctions checks now compulsory for every tenancy?
A: For letting agents, yes—from 14 May 2025 sanctions reporting applies to all lets. For AML checks, the €10,000/month threshold still applies.
Q: What documents make a Section 21 invalid?
A: Missing or late Gas Safety, EPC, How to Rent, deposit protection, or required licences can all invalidate a Section 21.
Q: Do private landlords have to follow these sanctions rules?
A: Private landlords aren’t directly covered by the new OFSI reporting duty, but they still face penalties for breaching other landlord compliance laws.
Q: How much does a compliance check cost?
A: Our fixed-fee audit is £60 + VAT.
Final Word
In 2025, compliance failures are one of the fastest ways to lose possession claims. A short, fixed-price audit could mean the difference between a smooth eviction and months of costly delay.
Book your Compliance Check today and move forward with confidence.
