At Yeti Homes, we know that renting a home in the UK can sometimes hit a bump in the road, especially when it comes to paying rent on time. Whether you’re a tenant struggling to make ends meet or a landlord chasing late payments, rental payment issues can feel overwhelming. But don’t worry, there are clear processes, legal rights, and practical steps to help both sides navigate these challenges.
In this blog, I’ll walk you through why these issues happen, how to prevent them, your rights and responsibilities as a tenant or landlord, and how to resolve problems effectively.
Why Do Rental Payment Issues Happen?
This is the fundamental question you need to understand and preventing such situation is the best approach but things always don’t go as planned. The UK rental market has become tougher in recent years. Combine that with the ongoing cost of living pressures, rising energy bills, groceries, and other essentials, plus the slow wage growth and it’s no surprise that some tenants struggle to keep up with rent.
On the tenant side, unexpected life events like redundancy, illness, or family emergencies can derail even the best budgeting plans. For landlords, late or missed payments can create cashflow problems, especially if they rely on rent to cover mortgage payments or property maintenance.
Sometimes, the issue boils down to communication breakdowns. A tenant might feel too embarrassed to admit they’re struggling, while a landlord might jump to formal action without opening a dialogue. At Yeti Homes, we’ve seen how early communication can prevent small issues from snowballing into major disputes.
Tenant Rights and Responsibilities
As a tenant, your primary responsibility is to pay rent on time, as outlined in your tenancy agreement. This legally binding document sets out how much rent you owe, when it’s due, and how to pay it. Letting agents like Yeti Homes will provide all the necessary agreement details prior, if it is a direct rental agreement then Landlords would need to specify it. But what happens if you can’t pay?
Your Rights
evict you for missing a payment. They must follow a strict legal process, which I’ll explain later. Importantly, illegal eviction, such as changing the locks or forcing you out without a court order, is a criminal offence. You’re also protected from harassment, like constant calls or unannounced visits from your landlord.
If you’re struggling, you have options. According to Citizens Advice, tenants can:
- Talk to your landlord early: Be honest about your situation. Many landlords are willing to work with you if you’re upfront.
- Request a payment plan: Propose spreading arrears over a few months to make repayment manageable.
- Apply for financial help: If you’re on a low income, you may qualify for Housing Benefit or the housing element of Universal Credit. Check with your local council or the Gov.uk website for eligibility.
Your Responsibilities
landlord can make things worse. If you’re in arrears, keep written records of all communication with your landlord. This could be crucial if the situation escalates to court.
For more advice, Shelter UK offers excellent resources on tenant rights and dealing with rent arrears.
Landlord Rights and Processes
As a landlord, you have the right to receive rent as agreed in the tenancy agreement. Rental arrears are one of the most challenging problems for the landlords. When a tenant falls behind, it’s understandable to feel frustrated, but acting impulsively can land you in legal trouble. Here’s how to handle arrears properly.
What landlords can do:
- Send reminders and notices of rent arrears, and open a dialogue. Sometimes a repayment plan is best.
- If arrears continue, use the legal eviction process: a Section 8 notice for breach of tenancy agreement (e.g. unpaid rent), or a Section 21 notice for “no fault” possession (in certain cases) under assured shorthold tenancies.
Difference between Section 8 and Section 21:
| Notice Type | When Used | Reasons Required? | Notice Period / Key Conditions |
| Section 8 | When tenant breaches terms (often rent arrears) | Yes – landlord must state valid legal grounds under Housing Act 2004 | Varies depending on grounds; typically 2 weeks to 2 months notice. |
| Section 21 | “No-fault” possession (e.g. landlord wants property back) for assured shorthold tenancies | No reason needed in standard cases, but strict legal conditions must be met | At least 2 months’ notice; must use correct form (Form 6A) and comply with other legal requirements |
Landlords must ensure any notices are valid. If not, court action may be delayed or dismissed.
Legal obligations:
- Provide tenants with required safety certificates (gas safety etc.), an EPC (Energy Performance Certificate), and deposit protection. If these aren’t in place, certain notices (especially Section 21) may not be valid.
- Respect the time limits: for Section 21, the landlord must start court proceedings within a set period after serving notice. If they do not, they may need to issue a fresh notice.
Practical Steps for Tenants and Landlords
Whether you’re a tenant or a landlord, taking proactive steps can prevent rental payment issues from spiralling out of control. Here’s what you can do:
For Tenants
- Budget Wisely: Track your income and expenses to prioritise rent.
- Seek Advice Early: Contact Citizens Advice or Shelter for free guidance. Your local council may also have housing support teams.
- Communicate in Writing: Email or write to your landlord about any issues, and keep copies. This creates a paper trail if disputes arise.
- Explore Financial Support: Check if you’re eligible for Universal Credit, Discretionary Housing Payments, or local council grants.
For Landlords
- Stay Professional: Avoid aggressive tactics. A calm, clear reminder about missed rent often works better than confrontation.
- Offer Flexibility: If a tenant is genuinely struggling, consider a temporary payment plan. This can save you the cost and hassle of eviction.
- Use Mediation: Services like the Property Redress Scheme can help resolve disputes without going to court.
- Consider Professional Help: Managing arrears can be time consuming and complex. At Yeti Homes, we handle rent collection, tenant communication, and legal notices for landlords, saving you stress.
Mediation and Dispute Resolution
Before rushing to court, both tenants and landlords can benefit from Alternative Dispute Resolution (ADR). Mediation involves a neutral third party helping you reach an agreement. It’s often faster and cheaper than legal action. Many letting agents, including Yeti Homes, offer mediation services to keep things amicable.
If mediation fails, court may be the only option. However, this should be a last resort due to the time, cost, and emotional toll involved. For tenants, Shelter and Citizens Advice can provide free legal advice to prepare your case. For landlords, ensure all paperwork (tenancy agreements, payment records, notices) is in order before heading to court.
How to Avoid Rental Payment Issues
Prevention is always better than trying to fix problems after they arise. Both tenants and landlords can take simple, proactive steps to avoid rental payment issues altogether and keep the tenancy running smoothly.
Over the years as a property manager, I’ve dealt with many cases of late or missed rent, and in most situations, the problem could have been prevented with the right approach. Tenants and landlords usually have two choices: either manage the rental directly with each other, or use a professional management company like Yeti Homes.
From my experience, I would always recommend going through a management company — but it’s important to choose the right one. A good property management company should offer:
- Thorough tenant checks – including credit history and previous landlord references.
- A clear, detailed tenancy agreement – outlining rent terms, responsibilities, and conditions.
- Smooth and transparent communication – so both landlord and tenant always know where they stand.
- Fair and realistic fees – not overpriced, but not suspiciously cheap either.
- Clear guidance on responsibilities – ensuring both landlord and tenant understand their roles.
- Regular property inspections – along with a well-documented inventory at the start of the tenancy.
- Prompt fault management – dealing quickly and effectively with maintenance or repair issues.
- Practical advice and support – guiding both sides if questions or challenges arise.
With these safeguards in place, rental payment issues can often be avoided altogether, creating a smoother and more professional experience for everyone involved.
Conclusion and Call to Action
Rental payment issues can feel daunting, but both tenants and landlords have clear rights and processes to follow. As a tenant, you’re protected from unfair treatment, and there are support options if you’re struggling. As a landlord, you’re entitled to your rent but must act within the law. The key for both sides is early communication, don’t let small problems grow into big ones.
Choose your letting agent wisely, and if you need help or advice, don’t hesitate to get in touch with Yeti Homes. We are always ready to provide help and advice where possible.