Royal assent has recently been granted for The English Devolution and Community Empowerment Act 2026 containing the much-discussed ban on upwards only rent reviews.

Whilst the Act received royal assent on 29 April 2026, the ban is not yet in force. Its implementation still requires the enactment of secondary legislation. 

The timeline for enactment is uncertain, but the general expectation is that the ban will not come into effect until 2027/2028. Furthermore, the specific provisions of the ban are still subject to consultation, particularly on whether to allow caps and collars (i.e. minimum rent decreases and maximum rent increases).

The ban will not apply to existing leases or leases entered into before the ban comes into force or to leases granted at any time pursuant to agreements or options entered into before the ban comes into force, with one notable exception – leases entered into after 17 March 2026 containing options to renew. As and when such leases are renewed, the ban will apply both to the fixing of the initial rent and to any subsequent rent reviews.

What does this mean in practice? 

It is yet to be seen how the anticipated ban will impact the market, although there is scope for a temporary shift in the bargaining position of commercial tenants and sellers of investment properties, who may be able to use the prospect of the ban to their advantage. 

However, for now, it is business as usual. Whilst it is worth parties considering their approaches to negotiations and keeping an eye out for developments, until such time as the ban is implemented, landlords and tenants remain free to enter into leases containing upwards only rent review clauses.

To prepare for rent review reform

Browne Jacobson's specialist commercial real estate team advises landlords, tenants and investors across all aspects of commercial leasing, rent review negotiations and lease restructuring.

As the ban on upwards-only rent reviews moves closer to implementation, we are helping clients across the retail, office and industrial sectors to review their existing lease portfolios, adapt their negotiating strategies and prepare for the changes ahead.

Whether you are entering into a new commercial lease, renegotiating terms or seeking to understand how the English Devolution and Community Empowerment Act 2026 affects your property interests, our team can provide clear, practical advice tailored to your position. Get in touch with our real estate team to find out how we can support you.