Fixed-Term vs Periodic Tenancy: Why Fixed Terms Are Gone

If you're looking for a fixed-term Assured Shorthold Tenancy template, there's something important to know first: as of 2026, landlords in England can no longer legally grant one for a new letting.

What used to happen

Before the Renters' Rights Act 2025, most residential lettings in England were Assured Shorthold Tenancies (ASTs) with a fixed term — commonly 6 or 12 months. During that fixed term, the tenant had security of tenure; once it ended, the tenancy usually rolled onto a "periodic" (rolling, typically monthly) basis unless renewed or ended.

What changed

The Renters' Rights Act 2025 abolished fixed-term ASTs for new residential lettings in England, alongside scrapping Section 21 "no-fault" evictions. Every new tenancy in the private rented sector now starts, and stays, periodic from day one — there is no fixed term to grant.

What this means in practice

• New tenancies are periodic (rolling) from the start — usually monthly
• Tenants can generally leave by giving notice (commonly 2 months), without waiting for a fixed term to end
• Landlords can only regain possession through specific statutory grounds under the revised Section 8 process — not simply by letting a fixed term expire
• Existing tenancies that started before the Act's commencement convert to periodic terms at the point their fixed term would otherwise have ended, or from the Act's commencement date, depending on transitional rules

Are there any exceptions?

Certain tenancy types sit outside the assured tenancy regime altogether — for example some student accommodation let by specified educational institutions, and some company lets. If you think your letting might be an exception, it's worth getting that confirmed rather than assuming.

What to use instead

For a standard residential letting in England, you need an assured periodic tenancy agreement — not a fixed-term AST, which is no longer available for new lettings.

Frequently asked questions

Can I still offer a fixed-term feel with a break clause?

You can include a minimum term the tenant agrees to, but the tenancy itself is legally periodic from day one — you can't reintroduce a true fixed term for a new letting.

What happened to tenancies that were mid-fixed-term when the Act commenced?

They converted to periodic terms at the point the fixed term would otherwise have ended, or from the Act's commencement, depending on the transitional rules that applied to that tenancy.