The New Ombudsman Scheme is landing as part of the Renters' Rights Act, and it's set to change how landlord and tenant disputes get resolved. Rather than heading straight to court, tenants will be able to take complaints to a dedicated Private Rented Sector Ombudsman, free of charge. Membership will be compulsory for private landlords, expected from around 2028, alongside the new PRS Database.  You have likely heard about the big changes coming: the New Ombudsman Scheme, the one that comes for private landlords. It's a lot to keep track of, but you don't have to do it alone. This isn't a minor tweak. It's a completely new institution being built from scratch for the private rental sector. This scheme is designed to catch out landlords that operate outside of any formal complaints process, so if you're a self-managing landlord with no agent and no redress route, then this is designed to target you. But that's where we come in. In this blog, we will walk you through exactly what the New Ombudsman Scheme is, no jargon, just what's changing and when.

What is the PRS Landlord New Ombudsman Scheme?

The PRS landlord scheme is a free, independent service tenants can use to raise complaints about their landlord, without having to go to court. Currently, nothing like this exists for private landlords. It only applies to social housing and letting agents. The scheme brings private landlords into line with standards that have applied to social landlords and letting agents for years. If you let through an agency that does compliance properly, most of this groundwork will already be done for you, including keeping accurate records of every repair and complaint, logging how each issue was resolved and when, and making sure certificates like gas safety and EICR are always up to date. The new landlord scheme will sit alongside a second new requirement, the PRS Database. The two are being designed to share information so landlords aren't filling in the same details twice.

When is the New Ombudsman Scheme Being Put in Place?

At present, there are no set dates, just estimates - what we do know is that the new Private Rented Sector Database begins its phased rollout in late 2026, with full registration required in 2027. The mandatory PRS Landlord Ombudsman follows later, with full membership expected to become compulsory in 2028. Both are key Phase 2 measures detailed in the government's GOV.UK implementation roadmap.

Not to Be Confused With... (a quick landlord's guide to the other Ombudsmen)

As we mentioned, the New Ombudsman Scheme isn't the only Ombudsman scheme out there. The term gets thrown around a lot in property news, and mix-ups are common, so let's clear things up.
  • Housing Ombudsman Scheme – for social landlords (councils, housing associations) already exists, not relevant to private landlords.
  • New Homes Ombudsman Service – covers new-build snagging and defects, aimed at developers, only relevant if you've bought a new-build property.
  • The Property Ombudsman / Property Redress – existing schemes that letting agents must belong to. 
This article is about the new PRS Landlord Ombudsman and it’s worth knowing that this scheme applies to you personally as the landlord, not just your agent.

How does the New Ombudsman Scheme Work?

The New Ombudsman Scheme is a last resort, not a first stop. It's something that comes into effect if an issue isn't resolved. That's when the tenant can escalate the issue to the Ombudsman for an independent, impartial investigation. Even when something has been escalated to the Ombudsman, it's not a case of going straight to punishment. Early-stage mediation can be offered before a formal decision, which aims to keep things less adversarial. When a decision has been made, it's legally binding. This complaints process protects landlords too, as it allows disputes like a delayed repair, a disagreement over a deposit deduction, or a breakdown in communication to follow a documented route, rather than escalating straight to a solicitor.

What Can be Escalated to an Ombudsman?

Once the scheme is live, tenants will be able to bring a wide range of issues to the Ombudsman, not just serious disrepair. It's worth knowing the full scope, since some of these might surprise you:
  • Failure to complete repairs within a reasonable timeframe
  • Poor or unresponsive communication from the landlord
  • Delays in responding to maintenance issues
  • Damp and mould complaints
  • Unsafe electrics or gas systems
  • Missing or expired safety certificates
  • Property condition disputes
  • Mishandled complaints procedures, meaning how the landlord dealt with the complaint in the first place
  • Deposit-related disagreements
The common thread is how a complaint was handled, not just whether the underlying issue existed.  A landlord who responds promptly and keeps a paper trail is in a far stronger position with the ombudsman than one who goes quiet.

What Powers will the New Ombudsman Scheme have?

It's easy to assume a new Ombudsman just sends a strongly worded letter. Under the New Ombudsman Scheme, it has real power, and it's worth knowing upfront. The Ombudsman can hand out a fine that escalates significantly for repeat offences, with Gov.UK stating it can be; “For offences committed before 1 May 2026, different rules apply. For example, the maximum amount repayable is one year’s rent rather than two years’ rent, and the tenant must apply within one year of the offence being committed, instead of two years.” Beyond that, the Ombudsman can order a landlord to apologise, explain themselves, take corrective action, or pay compensation directly to the tenant, and all of it is legally binding. It's built to work more like mediation than a courtroom, which is good news for landlords who engage properly and put things right early. For landlords who already run things well, this isn't a threat. It's an operational safety net.

How does it fall within the Renters' Rights Bill?

The Renters' Rights Act is a significant leap for the private rental sector. The New Ombudsman Scheme is part of Phase 2 of the Act, separate from the headline tenancy changes (abolishing Section 21, moving to periodic tenancies) that already came into force on 1 May 2026. Phase 2 rolls out in two stages, both from late 2026, with the PRS Database coming into effect first, then the Ombudsman. The government has said the Ombudsman's scheme administrator will be chosen at least 12 to 18 months before it goes live, giving landlords real notice rather than a sudden switch-on. This is a staged, telegraphed rollout, not an overnight change.  If you work with an agency that does things properly, they'll be tracking every step so you can get advice along the way.

Who is required to join the New Ombudsman Scheme?

Probably the first question you had when you heard the news, and the answer is clear. As Gov.uk confirms for the PRS Database that sits alongside it: “Signing up to the PRS Database will be mandatory for all PRS landlords, and they will be required to pay an annual fee which will be confirmed closer to launch.” The same principle applies to the Ombudsman: the onus is on you. Using an agent doesn't let you off the hook. As the legal landlord, membership sits with you personally, not just with whoever manages the property. If you use an agency that handles compliance deadlines on your behalf, alongside things like deposit protection and gas safety certification, you'll still need to work with them to stay compliant. They can't do it for you.

How will it affect the private rental sector?

This will hit a lot of households. The private rental sector in the UK is huge. In fact, according to the English Housing Survey; “In 2024-25, the private rented sector accounted for 4.7 million or 19% of households.” That's the scale of what's being reshaped here. Every one of those households, and every landlord who lets to them, will eventually sit inside this new redress system. The practical effect for landlords is more formal accountability across the board, raising the bar industry-wide rather than singling anyone out. For hands-on landlords, that's a good thing. It puts pressure on the rogue or absent landlords who currently operate with no oversight at all, not on landlords who already do things properly.

What are the penalties for failing to join?

The penalties for failing to join can be hard, and repeat offences can lead to a repayment order being sought, according to the official guide; “Civil penalties of up to £7,000 for initial breaches and up to £40,000 or criminal prosecution for continuing or repeated breaches” On top of the fine, non-members can also be barred from serving a valid Section 8 notice, meaning a landlord who hasn't joined may simply be unable to lawfully regain possession of their own property. Tenants can also pursue a Rent Repayment Order on top of any council fine, and it can add up quickly. But this doesn't need to be stressful or cause for panic. If you're already working with an agent who tracks these deadlines for you, staying on top of this is straightforward.

Getting Ahead of the New Ombudsman Scheme

The New Ombudsman Scheme isn't today's problem, but that doesn't mean it can be ignored. For landlords whose processes aren't quite up to scratch, now is the time to get things in order. Landlords who start now will find 2028 a non-event. Good management habits, documented repairs, prompt communication, and clear records will already put you ahead of most of what the scheme expects. Using a managing agent doesn't remove your personal responsibility to join, but it does mean someone is already tracking the deadlines, fees, and paperwork on your behalf. Miller Rose is following every stage of the rollout, from the PRS Database in late 2026 through to mandatory Ombudsman membership in 2028, so our landlords hear about changes from us before they need to worry about them. Landlords letting through Miller Rose already have a partner handling compliance. Get in touch to have one less thing to think about.

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Frequently Asked Questions about the New Ombudsman Scheme

Do I need to join the New Ombudsman Scheme right now?

No. Membership is expected to become mandatory around 2028, once the service is fully ready to launch.

Does using a letting agent mean I don't need to join myself?

No. As the registered landlord, membership sits with you personally, even if an agent manages the property day-to-day.

What happens if a tenant makes a complaint through the Ombudsman?

The Ombudsman investigates independently and can order a landlord to apologise, take corrective action, or pay compensation. These decisions are legally binding, and repeated non-compliance can lead to expulsion from the scheme, plus separate council enforcement.

What are the penalties for not joining?

Local councils can issue a civil penalty of up to £7,000 for an initial breach, rising to up to £40,000 or criminal prosecution for repeated or continuing breaches. Non-members may also be unable to serve a valid Section 8 notice, which can prevent a landlord lawfully regaining possession of their own property.

Will I have to pay to be a member?

Yes. The government has confirmed landlords will pay a fee to fund the service, though the exact amount hasn't been published and is expected to be confirmed closer to launch.

Is this the same as the Housing Ombudsman or the New Homes Ombudsman?

No. Those cover social housing and new-build defects, respectively. The PRS Landlord Ombudsman is a new, separate scheme specifically for private landlords.

Can I join early, or is there a voluntary option now?

Not yet. The existing voluntary membership route sits with the Housing Ombudsman Service and is explicitly separate from the new PRS scheme, which isn't open for sign-up yet. The best move right now is getting your complaint-handling and compliance records in order ahead of time.

How can Miller Rose help me prepare?

We handle compliance deadlines like this for our managed landlords as standard, from certification to record-keeping. If you let with us, we'll keep you informed as each stage of the rollout goes live, so you're never caught off guard.