As the Renters’ Rights Bill nears Royal Assent, property technology provider Reapit is urging letting agents to take early action on rent arrears to protect their income, safeguard landlords and attract new clients.
Data from PayProp, Reapit’s automated rental payment platform, shows a strong link between proactive arrears management and agency growth.
The top 10% of agencies using PayProp with the lowest arrears in September 2025 had fewer than 1.4 tenants in arrears per agency, with tenants owing an average of £513 – less than 39% of average monthly UK rent, according to the Office for National Statistics.
These agencies increased their lettings management commission income by more than 13% in the past year, highlighting the financial advantage of effective arrears management.
With the Renters’ Rights Bill due for final consideration in the House of Lords on 14th October, Reapit is warning that upcoming reforms will make arrears management even more critical.
The legislation will extend the threshold for tenant arrears in England to three months before an eviction notice can be issued.
Current court delays already mean landlords wait an average of 27.9 weeks to repossess a property, and with accelerated possession being removed, delays are expected to grow further.
Dr Neil Cobbold, commercial director at Reapit, said: “With the Renters’ Rights Bill set to extend eviction timelines, agents who don’t act immediately on arrears could find themselves stuck, struggling to collect late rent, incapable of evicting, and unable to give landlords the assurance that they’ll be able to take legal possession of their properties within a reasonable time of tenants defaulting.
“That’s why automation and early intervention are essential strategies with managing arrears for any agency that wants to protect their income and grow their landlord portfolio.”
Reapit’s PayProp platform provides live, bank-integrated payment tracking, allowing agents to view real-time rent status and automatically flag arrears.
Automated reminders can be sent in bulk via email or text, prompting 64% of tenants to pay within 48 hours.
Cobbold added: “The most successful agents on our platform are those who act early. They’re not just protecting their commission; they’re building a reputation for financial control and professionalism that attracts landlords who are increasingly nervous about arrears and eviction delays.
“We see that play out in their growth stats, with the agents that manage arrears the best growing their rental commission income over the last 12 months. And those are the agents landlords are looking to protect their rental income.”
