Rent Repayment Order UK 2026 — Complete Landlord Guide to RTOs, Tribunal Process, and Defences

Trigger offences — what landlord conduct can result in an RTO

The list of RTO trigger offences has been expanded progressively since 2004. As of 2026 (following RRA 2025 implementation), an RTO can be made where the landlord has committed any of the following offences:

• Letting without a mandatory HMO licence: The most common RTO trigger. Any landlord who lets an HMO that meets the mandatory licensing threshold (5 or more persons in 2 or more households; England) without a licence commits an offence under HA 2004 s.72(1). The RTO can be for up to 12 months' rent received during the unlicensed period
• Letting without a selective or additional licence: Where a local authority has designated a selective licensing area (all residential properties require a licence) or an additional licensing area (HMOs below the mandatory threshold require a licence), letting without the required licence is a trigger offence. With over 60 selective licensing schemes currently active across England, this is increasingly relevant for all private landlords in designated areas
• Failure to comply with an improvement notice or prohibition order: Where a local authority has served an improvement notice (HA 2004 s.11-12) or prohibition order (HA 2004 s.20-21) following an HHSRS inspection and the landlord fails to comply by the compliance date, an RTO can be made for rent received during the non-compliance period
• Illegal eviction and harassment: Using or threatening violence to secure entry (Criminal Law Act 1977 s.6); doing acts likely to interfere with the peace and comfort of a residential occupier, or persistently withdrawing or withholding services reasonably required for occupation (Protection from Eviction Act 1977 s.1(3)); unlawful eviction (PEA 1977 s.1(2)) — all trigger RTOs
• Breach of a banning order: Letting or managing a property in breach of a banning order (HA 2016 s.21) triggers an RTO. Banning orders are made by the First-tier Tribunal following a conviction for a banning order offence and prevent the landlord from renting or managing residential property for a minimum of 1 year
• RRA 2025 new offences: From the dates when the Property Portal (Private Rented Sector Database) and mandatory PRS ombudsman provisions come into force, failing to register on the Property Portal (RRA 2025 s.64) and failing to join the PRS ombudsman scheme (RRA 2025 s.92) become trigger offences for RTOs. This significantly broadens RTO exposure for non-compliant landlords

Who can apply for an RTO — tenants, former tenants, and local authorities

The Housing and Planning Act 2016 opened RTO applications to tenants, not just local housing authorities. The standing rules determine who can apply in respect of which periods:

• Current tenants: A tenant who paid rent during a period when the landlord was committing a trigger offence can apply to the First-tier Tribunal (Property Chamber) for an RTO. The tenant must have occupied the property as their only or main home during the relevant period. Joint tenants can apply individually — each tenant's application covers their share of the rent they paid
• Former tenants: A former tenant who paid rent during the period of the offence can apply even after the tenancy has ended, provided they apply within 12 months of the last day on which the offence was committed. This 12-month time limit is strict and cannot be extended by the tribunal. Landlords should be aware that resolved licensing breaches can still attract applications from tenants who left during the unlicensed period
• Local housing authorities: A local authority can apply for an RTO on its own behalf (where the rent was paid in housing benefit or universal credit) or to pass the benefit to tenants. Where a local authority applies, the maximum recoverable amount is 12 months' rent — whereas for tenant applications the amount is at the tribunal's discretion up to 12 months. Local authorities can also apply in respect of offences committed before the 2016 Act's expansion
• Universal credit housing element: Where a tenant was receiving universal credit (housing element) or housing benefit during the relevant period, the RTO can cover the UC/HB payments — not just rent paid directly by the tenant. This means landlords who let to UC/HB claimants without a licence face repayment not only to the tenant but potentially to the local authority in respect of public funds paid over

The First-tier Tribunal process — how RTO applications work

RTO applications are heard by the First-tier Tribunal (Property Chamber) in England. The process is relatively accessible — designed to be used by tenants without legal representation — but landlords should understand the procedural steps and the evidential burden they face:

• Application: The applicant (tenant or local authority) submits a Form RTO1 (or equivalent) to the First-tier Tribunal. The application must set out the period of occupation, the amount of rent paid, and the alleged offence. The applicant does not need to prove the offence to the criminal standard (beyond reasonable doubt) — the tribunal applies the civil standard (balance of probabilities)
• Landlord's response: Once the application is served, the landlord has an opportunity to file a response contesting the offence, the period, or the amount. Landlords should respond promptly and provide evidence: licensing applications made before the offence period; evidence of diligence in applying for the licence; evidence of conduct and financial circumstances relevant to mitigation
• How the tribunal calculates the amount: The tribunal has discretion to order any amount up to the maximum (12 months' rent for the relevant period). In determining the amount the tribunal considers: the severity of the offence; the conduct of the parties (did the landlord apply for a licence promptly?); the financial position of the landlord; and whether the landlord is a 'good landlord' in other respects. Tribunals have ordered amounts ranging from 25% of maximum to 100%; the trend since 2020 has been toward higher awards
• No criminal conviction required: The tribunal makes its own finding on the balance of probabilities. A landlord acquitted of the criminal offence (or never prosecuted) can still have an RTO made against them. Conversely, a landlord who was convicted criminally should generally expect a higher tribunal award. The tribunal's finding of an offence does not create a criminal record

Landlord defences, mitigation, and banning orders

While RTOs are a powerful enforcement tool, landlords have access to defences and mitigation arguments that can reduce or eliminate the order. Understanding these in advance — and proactively managing compliance — is the most effective protection:

• Reasonable excuse defence: For some trigger offences (including failure to comply with an improvement notice), a 'reasonable excuse' defence is available. If the landlord can demonstrate that they had a genuine and objectively reasonable excuse for the breach (for example, the tenant refused access for remediation works), this can prevent the RTO or reduce the amount. Document all access refusals and compliance efforts contemporaneously
• Mitigation — proactive licensing steps: A landlord who can show that they applied for a licence before the offence was detected, that the delay was caused by the local authority's processing backlog, or that the breach was entirely accidental and promptly remedied, can expect a significantly reduced RTO amount. Tribunals look favourably on landlords who proactively comply and unfavourably on those who knew of the requirement and ignored it
• Banning orders: A banning order under Housing and Planning Act 2016 Part 2 can be made where a landlord is convicted of a banning order offence (serious criminal offence or specified housing offence). A banning order prevents the landlord from letting or managing residential property for a minimum period (at least 1 year). Banning orders are recorded on the national database maintained by DLUHC. Letting in breach of a banning order is a trigger offence for a further RTO and a criminal offence
• RTO insurance: Some specialist landlord insurance policies offer RTO defence cover — meeting the costs of responding to an RTO application. More comprehensive policies may offer RTO indemnity cover (covering the amount ordered by the tribunal). Landlords with large portfolios or properties in selective licensing areas should consider this cover

Frequently asked questions