Landlord database: How controversial scheme will work - and what buy-to-let owners and tenants need to know

Landlords may soon need to sign up to a national database that will be visible to councils and tenants, if a controversial piece of legislation goes through.

The rental sector is on the cusp of the biggest shake-up to date when the Renters Rights Bill becomes law either later this year or early in 2026.

One of its key reforms is a national private rented sector database that will require every landlord in England to register and list details of every property they let.

The aim is to give local authorities and tenants a single source of information about who owns and manages each rental property.

Landlords who fail to register will be unable to legally let their properties and face fines for not doing so.

And they could even be subject to a landlord ombudsman, which will handle complaints from tenants and could force them to pay compensation.

While it is possible this element of the bill could be removed or watered down before it passes into law, some landlords are concerned about the change - with some worried it will become a 'Trustpilot-style' review website.

'Once the PRS database goes live, enforcement will be swift and visible,' says Allison Thompson, national lettings managing director at Leaders.

'Tenants will be able to search the database to check whether a landlord is properly registered and whether they have received any fines or penalties.

'Being proactive now will reduce the risk of fines and help landlords maintain a positive reputation in the market.'

The bill will also create a single landlord ombudsman that all private landlords will also need to join.

'The ombudsman will provide an independent route to resolve complaints about landlord service and property standards,' adds Thompson.

'All landlords, even those managing properties themselves, must join the ombudsman, which will have the power to order landlords to apologise, provide information, take remedial action, or pay compensation.

'Landlords who fail to comply with the ombudsman's decisions could face enforcement action, including fines and potential removal from the database.'

Landlords will be required to provide their name, contact details and the address of every property they let.

Registration is expected to be renewed periodically, with fees applying each time.

Local authorities will be able to issue civil penalties for failure to register while renters will be able to check if their landlord is legally registered.

'Designed properly, the database should make it easy for the vast majority of compliant landlords to demonstrate to tenants and prospective tenants that their properties meet all required standards,' says Chris Norris, chief policy officer at the National Residential Landlords Association.

'As a minimum, gas and electricity safety certificates should be fully digitised so they can be easily uploaded onto the database, alongside existing Energy Performance Certificates.

'The database should also include a signed declaration by a landlord which confirms that a property meets the requirements of the planned decent homes standard for the sector.'

For those who fail to register, local authorities will have the power to issue civil penalties of up to £7,000 for a first offence and up to £40,000 for the most serious or repeated breaches.

They will also be able to prevent unregistered landlords from legally letting their properties.

A database will raise some fears among landlords that they could find their reputations and properties made public, with tenants able to rank them in a similar way to Trustpilot where customers rate companies using a star system.

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'It won't be a review site in the traditional sense and tenants won't be posting ratings - but in many ways, the database will likely have similar consequences,' says Sián Hemming-Metcalfe, operations director at property management software company Inventory Base.

'If you're fined or found to have breached legislation or are non-compliant, that information could be made searchable and then visible to prospective tenants.

'It becomes a public trust marker. Reputation will increasingly rest on a landlord's ability to stay compliant and proactive.'

Chris Norris, chief policy officer at the National Residential Landlords Association also does not envisage the database allowing for ratings or reviews, though.

He says: 'Whilst the Government has not yet outlined what it believes should be on the database, or the timeframes for its implementation, we do not anticipate it becoming a Trustpilot-style review site.'

The introduction of a landlord database may lead some landlords to ask why tenants won't be subject to the same type of scrutiny.

After all, for every bad landlord, there are also reports of bad tenants who fail to look after properties or pay the rent.

Hemming-Metcalfe says: 'It's understandable that landlords may feel the system is one-sided, especially when there's no formal database for tenants - who can be equally rogue when it comes to their conduct in rental properties.

'But in reality, landlords already have access to credit checks, references, and legal recourse.

'What we're seeing here is a rebalancing of the sector - one that gives tenants more visibility and landlords more responsibility.

'Fairness comes through transparency on both sides, so it could be seen as an opportunity to show you are not only a good landlord, but a fair and compliant one.'

The Renters Rights Bill is likely to come into force later this year or in early 2026.

The advice, however, is to get prepared for the new rules now.

'While a definitive start date is still to be confirmed, the imminent introduction of the Renter's Rights Bill means landlords shouldn't wait for the legislation to come into force,' adds Hemming-Metcalfe.

'The database will likely be rolled out soon after, and enforcement is expected to be swift.

'As a landlord, now is the time to get your property records in order and ensure your processes are watertight.'