Upwards Only Rent Review ban receives Royal Assent

The English Devolution and Community Empowerment Bill received Royal Assent on 29 April 2026 and is now the English Devolution and Community Empowerment Act 2026. Among a wide-ranging set of devolution measures, the Act contains a statutory ban on upwards only rent review (UORR) clauses in new and renewal commercial leases granted after the relevant provisions in the Act come into force. 

When the ban on UORR clauses takes effect

The UORR provisions are not in force on Royal Assent. A separate commencement date will be fixed by regulations, and the market expectation is that may not be before 2027, although later this year is also a possibility. There are indications that the Government will consult on the detail of implementation, including the potential use of caps and collars, before commencement, a process which itself will require a certain amount of time. 

What the Act does 

The Act introduces a statutory ban on UORR clauses in new and renewal commercial leases in England and Wales, taking effect by way of two new schedules introduced into the Landlord and Tenant Act 1954. The ban targets variable rent review mechanisms that prevent the rent from falling below any stated floor, whether that is the passing rent or any other minimum figure. So, where a variable mechanism such as traditional open-market, index-linked (RPI/CPI etc) or turnover-linked reviews is used to review the rent, the landlord will have to accept natural outcome of that mechanism, whether that brings about an increase or a decrease in the rent.  

You can read much more about the Act’s provisions in our FAQs at Ban on upwards only rent reviews (UORRs): your questions answered - Burges Salmon. We’ll be updating these in the coming days with our latest thinking.

Next steps 

Whilst there is no immediate change to the law on UORR clauses as a result of Royal Assent, the legislative position is now settled, which gives greater certainty ahead of the provisions coming into force. Although some questions remain as to the specifics of how the ban will operate in practice, it is hoped that these will be settled through any consultation process which follows and the resulting government guidance. We will be monitoring developments closely. 

The English Devolution and Community Empowerment Bill has received Royal Assent.

https://www.gov.uk/government/news/english-devolution-bill-receives-royal-assent