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What To Do If Your Tenant Stops Paying Rent In Peterborough

Name: What To Do If Your Tenant Stops Paying Rent In Peterborough
Brand: Progressive Lets
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By Wayne Beecham | Created on 18th May 2026

What are your options if a tenant stops making payments? As confirmed by Zoopla, Peterborough offers some of highest rental yields in the East of England, but you can only benefit if you’re collecting the monthly rent.

A tenant who fails to pay rent is a landlord’s worst nightmare – or at least, it’s up there amongst the top three, alongside deliberate damage to the property and not getting entry during an emergency.

But what are the best ways of dealing with a tenant not paying? To get your tenants to pay, or lay the groundwork for evicting them from your buy-to-let in Spalding , Stamford , Boston or Rushden , you need to follow certain steps.

New rules and changes under the Renters’ Rights Act, including the abolishment of Section 21 notices, impact how landlords can deal with non-payment of rent. Landlords must follow the correct processes to avoid legal issues.

Read on to find out what to do if your tenant does not pay rent on your property.

Dealing With Tenants Not Paying Rent

What’s particularly bad news about not getting rent is the landlord going into arrears themselves because they cannot pay the mortgage. And that’s a situation that no landlord wants to find themselves in.

You can evict a tenant for missing rent payments – provided you follow the correct legal eviction process, in line with the current legal procedure for collecting the late rent from a property in England.

Under the rules set out by the Renters’ Rights Act, landlords can now only use Section 8 evictions for non-payment of rent. Also, the mandatory Grounds for arrears have been extended to three months of arrears, with landlords required to provide four weeks’ notice.

A quick explainer of the Renters’ Rights Act – and what it implies for landlords with tenants not paying rent.

To prove you have acted with propriety for the courts (it may come to that), you must lodge all communication, including both your and the tenant’s responses.

If you’re unsure of what to do if a tenant does not pay the rent, read on. This article outlines what to do when a tenant doesn’t pay the rent.

What to do if a tenant doesn’t pay rent?

Crossing the rules covering how long a tenant cannot pay rent before eviction starts, and their rights in the meantime, cause legal difficulties. Here’s how to deal with a tenant not paying rent, and what to avoid doing at all costs.

Do:

Ensure that you understand and follow the new mandatory threshold for issuing a Section 8 (three months’ arrears) and notice period (four weeks).
Document everything – keep good records in case you need to apply to the court.
Check your tenant’s deposit protection and prescribed information are fully compliant, as without this you cannot serve a Section 8 under most Grounds.
Be open – try and agree on a solution such as offering to end the lease or setting up a repayment plan.
Stay calm – approach discussions calmly as you may find a simple resolution.
Check whether the arrears are caused by a Universal Credit delay – Ground 8 cannot be used if the tenant’s arrears is due to UC they are entitled to that has not been paid.

Don’t :

Start to panic – the processes are there to help you resolve the situation.
Act hastily – avoid acting rashly, or you may blunder into a situation that lands you in legal trouble.
Ignore your tenants’ rights – tenants have rights that must be respected, however unfair you believe your tenant is being.

If you can’t find a resolution, you can take action to repossess your property. Read on for details on how and when to evict the tenants.

Want to be a more informed landlord? Find out what counts as a tenant having a pet without permission, get up to speed on the Renters’ Rights Act, and discover the best way to collect rent.

Can I evict my tenant for not paying rent?

Yes, you can evict a tenant if they stop paying , but you have to follow the law and can’t evict them immediately. There are several steps to repossessing your rental property, and eviction should be the last resort.

Since 1 May 2026, Section 21 “no fault” evictions have been abolished and now landlords can only evict tenants for rent arrears under Section 8, using Grounds 8, 10 or 11.

How much rent arrears before a landlord can evict?

The Renters’ Rights Act has introduced significant changes to the legal processes for evicting tenants for non-payment of rent. Previously, landlords could use a Section 21, only requiring two months’ notice.

Under the new rules, a landlord can serve a Section 8 notice under the mandatory Ground 8 after three months of unpaid rent and must provide four weeks’ notice (increased from two weeks).
If rent is paid weekly or fortnightly, the landlord must wait until there are 13 weeks of unpaid rent.
During this waiting period, once one rent payment is missed landlords are still able to take steps such as sending reminder letters and offering the option of repayment plans.
Landlords will also have the option of using Section 8 Ground 10 for any amount of rent arrears or Ground 11 for persistent late rent payments. However, Grounds 10 and 11 are discretionary, which means the court will decide whether to grant possession.

How long does it take to evict a tenant for not paying rent?

Given that the mandatory Ground 8 only comes into effect after three months’ missed rent and there is a four week notice period, evictions are inevitably going to take longer.

If the tenant does not leave after being served the notice, landlords will have apply to court for a possession order and wait for a hearing date. There may be the added complication (and waiting time) of instructing county bailiffs to enforce the eviction.

The accelerated possession procedure is no longer available, so the timelines are expected to be longer, particularly with the current pressures on the court system.

Therefore, finding a solution with your tenant may be easier and faster than resorting to using eviction procedures.

What the Renters’ Rights Act 2025 means for rent arrears evictions

The key changes in the Renters’ Rights Act 2025 that impact rent arrears evictions are summarised below:

Abolishment of Section 21 eviction from 1 May 2026 – Any rent arrears possessions must use a Section 8 notice.
Increase in mandatory arrears threshold – The rent arrears threshold for Ground 8 increased from two months to three months (or 13 weeks for weekly/fortnightly rent payment tenancies).
Increased notice period – The notice period for Ground 8 and Ground 10 has increased from two weeks to four weeks.
Form 3A replaces Form 3 – A new form must now be completed and submitted as the prescribed Section 8 notice.
Ground 8 not allowed for UC payment delays – If rent arrears have been caused by Universal Credit delays of payments the tenant is entitled to, landlords cannot use Ground 8.
Abolishment of assured shorthold tenancies – From 1 May 2026, all tenancies reverted to periodic.
Accelerated possession procedure abolished – There is no option for landlords to speed up evictions through this procedure.

Universal Credit, benefits and rent arrears

Greater protection has been given to tenants who receive Universal Credit to avoid evictions for rent arrears where the cause was a delay in receiving their UC payment. This protection includes landlords not being able to use Ground 8 under Section 8 for these circumstances.

The government has introduced changes to the UC system, and many people receiving health related payments are required to undergo assessments. There have been lots of delays encountered due to a combination of increased administrative burden and the introduction of more complex assessments.

Landlords can apply for a Managed Payment to Landlord through the gov.uk website if tenants are struggling to pay rent due to UC delays. The application can be for regular monthly rent and/or rent arrears.
An option for landlords with vulnerable tenants is an APA (Alternative Payment Arrangement). This includes managed payments to landlords, more frequent payments or splitting an award of payment between partners in a couple.
Performing comprehensive credit checks for prospective tenants is advisable to identify tenants who are more likely to experience UC disruption.

Steps To Take When A Tenant Is Not Paying Rent

If you’d like to know what to do about late rent payment, then follow the process below. We explain the steps you can take to reclaim lost income, or if necessary, evict the tenant from the property.

1. Record All Payments

Make sure you keep detailed records of when the rent is due and when it is paid. Confirm the date, amount and time period the money refers to with your tenant by sending them a receipt.

If you have more than one tenant and it’s not a joint tenancy, send each receipt individually. That way, it’s easy to tell who has paid and is behind with rent. If your property is a joint tenancy, the rent is the collective responsibility of everyone living there.

It’s essential to keep this information up-to-date and stored away safely – in case you need it in the future, e.g. to apply for possession of the property for the tenant in rent arrears. That’s because the courts will always want to see written evidence.

2. Have A Chat With Your Tenant

Find out why your tenant has missed payments by chatting with them about it. Perhaps they have lost their job or a significant debt has come in, and they’ve had to pay it off quickly to avoid court proceedings etc. Whatever the reason, it’s best to have it all out in the open so that you both know where you stand.

You could, for instance, allow them to pay in instalments for an agreed time until they get back on their feet financially. This is recommended if they have been good tenants and have always previously paid on time. Point them towards the local authority for housing benefits, if that’s the issue, or to money advice agencies that may be able to help.

There are new rules regarding Universal Credit recipients. If missed payments are due to delays in receiving UC, Ground 8 cannot be used. You should ask the tenant whether the missed payment is related to UC delays or changes, to understand where you stand. It is possible to apply for a Managed Payment to Landlord (MPTL) so that the housing payment within the UC is paid directly to you.

In the worst-case scenario, if your tenant is really behind with rent and can’t ever see themselves making up the shortfall any time soon, you could allow them to break their lease and walk away. That way, you can get paying tenants in and get your buy-to-let mortgage back on track without further rent loss.

3. Send The Tenant A Letter Or Email

It may be that your tenant is embarrassed about failing to meet their commitments. Or, they don’t know much about tenancy law and are frightened that you will throw them out. But you can’t let them bury their head in the sand – it’s not good for them anyway.

A letter provides evidence that you have attempted to contact your tenant to ask what’s wrong and to see if you can help. The correspondence should also outline the amount of rent money owed and further insistence that all future payments are paid on the date mentioned in the tenancy agreement.

Then outline the process of non-payment of rent resulting in a court application and repossession of your property (after three months unpaid rent).

You can use an example letter for a tenant not paying rent for inspiration – like this template from Which?. However, to reflect the Renters’ Rights Act changes, it is advisable to reference the new three months arrears threshold and adjust the wording around ‘court action’ to say you intend to serve a Section 8 notice if arrears meet the three month threshold.

4. Send A Letter To The Guarantor

If you still haven’t been paid rental money two weeks after the due date, send the tenant another letter insisting that failure to pay will result in you applying to the court for a repossession order.

If there is a guarantor, write to them, explaining that the tenant’s missed rental payments breach the tenancy agreement. This often has the desired effect. Find out ‘What is a guarantor for rent?’ in our handy guide.

Taking more than one month’s rent in advance is no longer allowed under the Renters’ Rights Act, so having a robust guarantor agreement will be an even more important protection for landlords.

This is a good time to contact your landlord insurance provider to let them know about the missed rental payments. Your policy may cover you for this scenario, and your insurer can explain what you need to do to make a claim.

5. Prepare to serve a Section 8 notice

It’s three weeks after the due rental date, and you still haven’t received any money from your tenant. With your tenant not paying rent and not responding, now is the time to write them another letter confirming you are prepared to serve a Section 8 notice if they reach the three month rent arrears threshold.

Write again to the guarantor, informing them that you still haven’t received the due rental payment.

Once arrears reach three months, you should now prepare to serve a Section 8 using Ground 8 (mandatory) and you can also use Grounds 10 and 11 as a backup.

Want to be a more informed landlord? Read our guide on inheriting a house, check the rules on smoke and carbon monoxide alarms in rental properties, and learn more about becoming a landlord.

So, how do you evict a tenant for not paying rent?

6. Serve A Notice Of Eviction

The next step is to serve a Section 8 notice, and you must follow the threshold and notice rules. Otherwise, the court can refuse to grant your order.

Serving A Section 8 notice

To serve a Section 8 notice, use the Form 3A. You will be required to indicate the Grounds you are relying on and include the legal wording for each Ground. You must give four weeks’ notice to the tenant that you are serving a Section 8 notice.

The three main Grounds related to rent arrears are:

Ground 8 (mandatory) – three months’ rent arrears at notice and at hearing. The court must grant possession if met.
Ground 10 (discretionary) – any rent lawfully due and unpaid. The court decides if Grounds for possession are reasonable.
Ground 11 (discretionary) – persistent delay in paying rent. This is useful where tenant pays in dribs and drabs.

It is essential that you have met all your compliance obligations or this will impact your legal right to serve an eviction notice.

For example, you must have ensured that the tenancy deposit was protected under an approved scheme and transferred into it by the required deadline. You must also be compliant with having valid certificates such an EPC and Gas Safety certificate and you should have provided the tenant with the How to Rent guide.

8. Taking A Tenant To Court

If your tenant’s not paying rent and won’t leave, UK landlords can claim the tenant’s rent arrears and ask for repossession of your property by taking them to court. At the same time, you can claim for claim court expenses. The judge can only award repossession if you have followed the legal steps for the Section 8 notice. Court delays are likely to be longer under the new regime, with all possession claims requiring a court hearing.

9. Rent Arrears And Court Proceedings

Under Ground 8, the court must grant a possession order if the three month rent arrears threshold has been reached by the notice date and hearing date. This means that the tenant cannot avoid the order by paying an amount before the hearing to move out of the threshold.

Regarding financial compensation, the judge can insist that the tenant pays you the money owed in rent arrears, plus expenses, such as solicitors fees and court costs. Alternatively, the judge sometimes specifies a particular amount, known as a money judgement. As the landlord, you have six years to enforce it.

10. Get Cover For Unpaid Rent

To ensure you never have to worry about a missed rent payment again, consider landlord insurance. Many companies will also take care of the whole eviction process for you, meaning you don’t have to deal with the tenant face-to-face.

Landlord insurance companies will insist on a suitable tenancy agreement and will expect you to have carried out proper background and reference checks on the tenant.

Here at Progressive Lets, we offer an Advanced Rent Option (ARO). Landlords benefit from our normal fully-managed package with the additional benefit of receiving a year’s rent upfront. ARO offers Landlords the ultimate in terms of peace of mind, convenience and financial freedom. Click here to find out more.

Dealing with non-payment of rent FAQ

Can a landlord deduct rent arrears from a tenant’s deposit?

Yes, but only at the end of the tenancy and only through the correct process. If a tenant has left the property owing rent, you can make a claim against the deposit held in an approved tenancy deposit protection scheme. You must raise the claim within the scheme’s specified timeframe and provide evidence of the arrears, such as your rent ledger and any correspondence with the tenant.

The tenant has the right to dispute the deduction, in which case the scheme’s adjudication service will decide. Deducting from a deposit is not a substitute for following the Section 8 process during a live tenancy: the two procedures are separate.

Does rent guarantee insurance still pay out under the Renters’ Rights Act?

Most rent guarantee policies will still pay out, but the Renters’ Rights Act changes mean that the wait before a valid claim can be made is likely to be longer, given the new three-month mandatory arrears threshold before Ground 8 can be used.

Some insurers have updated their policy terms in response to the Act, so it is important to read the small print carefully, particularly around how the policy defines the trigger point for a claim, whether it aligns with the new Ground 8 threshold, and whether legal expenses for court proceedings are included. If you are taking out a new policy, check explicitly that it reflects the post-May 2026 legal framework.

What happens to rent arrears if a tenant abandons the property?

If a tenant leaves without notice and stops paying rent, landlords in England cannot simply re-let the property without taking steps to confirm the tenancy has genuinely ended. Under current law there is no formal abandonment procedure, so the safest approach is to attempt contact by letter and phone, document all attempts, and if there is strong evidence the tenant has left permanently, such as removed belongings, returned keys, or a neighbour’s account, then take legal advice before re-entering. Any rent owed remains a debt the tenant is liable for, and you can pursue it through the small claims court for amounts up to £10,000 or the county court for larger sums.

Can a landlord charge interest or late payment fees on overdue rent?

Under the Tenant Fees Act 2019, landlords cannot charge tenants arbitrary fees for late rent payments. However, if the tenancy agreement includes a clause permitting interest on arrears, you can charge up to 3% above the Bank of England base rate on outstanding rent. This must be explicitly stated in the tenancy agreement – you cannot add it retrospectively. The interest only begins to accrue after the rent has been unpaid for 14 days. Even where permitted, charging interest is rarely a practical substitute for addressing the arrears directly and should be seen as a record-keeping tool rather than a revenue mechanism.

Does a joint tenancy change how rent arrears are handled?

In a joint tenancy, all tenants are jointly and severally liable for the full rent, meaning you can pursue any one of them for the entire outstanding amount, regardless of which individual stopped paying.

This can be both an advantage and a complication. If one co-tenant falls into arrears but the others are paying their share, the Section 8 process still applies to the tenancy as a whole, not just to the non-paying individual. Any possession order, if granted, would affect all tenants. It is worth taking legal advice in joint tenancy arrears situations, particularly where relationships between co-tenants have broken down.

What credit and referencing checks reduce the risk of rent arrears in Peterborough?

A thorough referencing process before granting a tenancy is the most effective protection against rent arrears. This should include a full credit check from a recognised referencing agency, verification of the prospective tenant’s employment status and income, a previous landlord reference, and confirmation of the right to rent in the UK.

For Peterborough landlords, it is also worth understanding the local employment picture – the city has a significant logistics and distribution sector, which can carry seasonal or shift-pattern income volatility. Where income is irregular or a tenant relies on Universal Credit, a guarantor agreement or rent in advance (up to one month’s worth, as permitted under the Renters’ Rights Act) provides an additional layer of security.

How Can We Help?

The new rules under the Renters’ Rights Act have many implications for landlord responsibilities and legal processes. Rent arrears recovery now has a more structured and evidence-driven process, longer waiting times and stricter requirements. Non-compliance can risk a failed possession claim and lost rent, so landlords cannot afford to make any errors.

If you would like any advice regarding rent arrears procedures, we provide support to landlords in Northampton , Corby , Wellingborough or Kettering. Our team of experts is here to help answer any query you may have, contact us today.

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Wayne Beecham

Wayne is East Midland’s answer to property management. His hard work and high standards of service have gained him a fierce reputation within the regional lettings market. He knows what it takes to own and manage a profitable portfolio himself, because he is not only a successful investor and landlord, but co-founder and “hands on” managing director of Progressive Lets.

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