In recent years, landlords and letting agents have faced increasing scrutiny over blanket tenancy policies such as “No DSS” or “No Children”. While these phrases were once commonplace in property listings, they are now increasingly out of step with the direction of the Renters’ Rights Act.
As the legislation pushes for a more accessible and transparent private rented sector, understanding what is and is not appropriate when selecting tenants is essential for landlords seeking to remain compliant while protecting their investment.
This guide breaks down the legal position and outlines what checks landlords can still carry out with confidence.
Related: Renting to pet owners: What changes in 2026 under the Renters’ Rights Act
Why “No DSS” policies are no longer acceptable
The term “No DSS” (referring to tenants receiving housing benefit or Universal Credit) has been widely challenged in UK courts. While benefit status itself is not a protected characteristic, blanket bans of this kind are increasingly difficult to justify under the direction of the Renters’ Rights Act, which promotes fair and consistent access to housing. In practice, such policies can disadvantage certain groups and are now widely viewed as incompatible with a more transparent, tenant-focused lettings framework.
This is because groups more likely to receive benefits, including women, disabled individuals, and some ethnic minorities, are protected under the Act. A policy that disproportionately disadvantages these groups without sufficient justification is likely unlawful.
Landlords must therefore avoid applying any blanket restriction based on a tenant’s source of income. Each application should instead be assessed on its individual merits.
The issue with “No Children” restrictions
Similarly, policies stating “No Children” are increasingly difficult to justify under the direction of the Renters’ Rights Act, which aims to improve access to housing for families. Blanket restrictions of this kind can limit opportunities for households with children and are out of step with a more inclusive, tenant-focused lettings framework. Where concerns exist, decisions should be based on the suitability of the property rather than applying a broad restriction.
There are, however, limited exceptions. For example, certain properties may be unsuitable for families due to safety concerns or local authority licensing conditions. Even in these cases, landlords must ensure that decisions are evidence-based and proportionate, rather than applied as a blanket rule.
What the Renters’ Rights Act means for landlords
The Renters’ Rights Act signals a clear shift towards a more transparent and accessible private rented sector. For landlords, this means ensuring that tenant selection processes are fair, consistent, and based on objective criteria.
Rather than relying on blanket restrictions, landlords are expected to assess each applicant on their individual circumstances, particularly when it comes to affordability and suitability for the property.
Key practices to avoid include:
- Refusing applicants purely because they receive benefits
- Applying blanket bans on families without a clear, property-specific justification
- Using inconsistent criteria when assessing different applicants
- Advertising language that restricts or discourages certain types of tenants
Importantly, decisions should always be evidence-based. Even informal or long-standing practices can create risk if they result in unfair or inconsistent outcomes.
Related: Rent increases under the Renters’ Rights Act
What landlords can still legally check
Landlords retain the right to carry out robust tenant referencing and affordability checks. The key is consistency and objectivity.
Landlords can still assess:
- Income level and affordability (typically based on rent-to-income ratios)
- Employment status or financial stability
- Credit history and referencing outcomes
- Previous landlord references
- Right to Rent status (as required by law)
Crucially, these checks must be applied equally to all applicants, regardless of background or personal circumstances.
How to stay compliant while protecting your investment
Balancing legal compliance with risk management is entirely achievable with the right approach. Rather than relying on outdated blanket policies, landlords should focus on clear, evidence-based criteria.
This includes setting transparent affordability thresholds, documenting decision-making processes, and ensuring all applicants are assessed consistently. Working with a professional letting agent can also provide reassurance, helping to navigate compliance while securing reliable tenants.
Related: Making Tax Digital from April 2026: A practical update for landlords
A shifting landscape for landlords
The rental market continues to evolve, with increasing emphasis on fairness, transparency, and accountability. Landlords who adapt their approach not only reduce legal risk but also open their properties to a wider pool of tenants.
By focusing on financial suitability rather than personal circumstances, landlords can make informed decisions that are both commercially sound and legally compliant.
Get expert guidance on your lettings strategy
If you’re unsure how these changes affect your lettings strategy, our local experts are here to help. From compliance guidance to tenant sourcing and full property management, Parkers provides tailored support for landlords at every stage.
Book a valuation today to understand your property’s potential and ensure your approach aligns with current legislation.
