Reducing Ombudsman risk: why tenancy set-up matters more than ever

Landlord and letting agent shaking hands during tenancy agreement meeting

With the Renters’ Rights Act set to reshape the private rented sector, the expectations placed on landlords and letting agents are becoming clearer and more demanding. Alongside strengthened tenant protections comes increased scrutiny, particularly through redress schemes and the Property Ombudsman.

For landlords, the message is simple: many complaints don’t begin with disputes, they begin with unclear, incomplete, or poorly managed tenancy set-ups.

Here, we explore how a well-executed tenancy set-up can significantly reduce the likelihood of complaints and protect both landlords and tenants under the evolving regulatory landscape.

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Why tenancy set-up is now under the spotlight

The Renters’ Rights Act introduces reforms designed to improve transparency, fairness, and accountability. This includes stronger routes for tenants to raise concerns, meaning issues that may once have gone unreported are now far more likely to escalate.

In many Ombudsman cases, the root cause is not a major failure, but a breakdown in communication or documentation at the very start of the tenancy. Missing information, unclear responsibilities, or unrealistic expectations can quickly lead to dissatisfaction.

A robust tenancy set-up creates clarity from day one, reducing misunderstandings and demonstrating professionalism – two key factors in avoiding formal complaints.

Clear and compliant documentation: your first line of defence

One of the most common triggers for disputes is inconsistency or ambiguity in tenancy documents. Under the new regulatory framework, landlords must ensure that all paperwork is not only legally compliant but also clearly understood by tenants.

This includes the tenancy agreement, prescribed information, and supporting documents such as the ‘How to Rent’ guide and deposit protection details. These should be presented in an accessible, transparent way, avoiding overly complex language wherever possible.

Crucially, documentation should reflect the reality of how the property will be managed. Any mismatch between what is written and what is delivered, whether in relation to repairs, notice periods, or tenant rights, can quickly lead to complaints.

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Setting expectations early and realistically

Many Ombudsman cases stem from differing expectations rather than outright wrongdoing. Tenants may assume a certain level of service or response time, while landlords operate under different assumptions.

The tenancy set-up stage is the ideal opportunity to align these expectations. This includes clearly explaining:

  • How and when repairs will be handled
  • Expected response times for maintenance issues
  • Tenant responsibilities for reporting problems promptly
  • Communication channels and points of contact

By addressing these areas upfront, landlords reduce the risk of frustration building over time. Transparency not only prevents complaints but also fosters a more positive landlord-tenant relationship.

Property condition and inventory: removing ambiguity

Disputes around property condition, particularly at the end of a tenancy, are among the most frequent issues escalated to the PRS Ombudsman.

A detailed, independent inventory and schedule of condition is essential. This should include high-quality photographs, clear descriptions, and, where possible, tenant sign-off at the start of the tenancy.

Equally important is ensuring the property is presented in a safe, clean, and well-maintained condition at move-in. Any existing issues should be documented and communicated openly.

This level of detail removes ambiguity later, providing a clear reference point and reducing the likelihood of disagreements over damage, cleanliness, or deposit deductions.

Compliance checks: small details, big impact

Failure to meet statutory requirements remains a significant driver of complaints and potential penalties. The Renters’ Rights Act places even greater emphasis on compliance, making it essential that all checks are completed accurately and on time.

Key areas include:

  • Gas safety certification and annual checks
  • Electrical safety standards (EICR compliance)
  • Energy Performance Certificates (EPCs)
  • Right to Rent checks
  • Deposit protection within the required timeframe

While these may seem procedural, errors or omissions can quickly escalate into formal complaints. A structured, checklist-driven approach ensures nothing is overlooked and demonstrates due diligence.

Related: Pet-friendly tenancies: How the Renters’ Rights Act 2025 changes the rules for landlords

Communication: the overlooked risk factor

Even where documentation and compliance are in place, poor communication can undermine an otherwise well-managed tenancy.

From the outset, tenants should know exactly who to contact, how to raise issues, and what response they can expect. Written confirmation of key conversations can also help avoid misunderstandings later.

Importantly, tone matters. A professional, approachable communication style can often de-escalate concerns before they develop into formal complaints.

The role of professional management

For many landlords, navigating the increasing complexity of regulation and tenant expectations can be challenging. Professional letting agents play a vital role in ensuring that tenancy set-ups are handled correctly, consistently, and in line with current legislation.

At Hunters, we take a proactive approach to tenancy management, focusing on prevention rather than resolution. By ensuring every tenancy begins with clarity, compliance, and strong communication, we help landlords minimise risk while delivering a better experience for tenants.

Final thoughts: prevention is better than escalation

As the Renters’ Rights Act reshapes the sector, the cost of getting things wrong, both financially and reputationally, is rising. However, most complaints are preventable with the right processes in place.

A thorough tenancy set-up is not just administrative, it is strategic. It sets the tone for the entire tenancy and acts as a safeguard against future disputes.

By investing time and care at the beginning, landlords can significantly reduce PRS Ombudsman risk and build more stable, successful tenancies.

Speak to your local Hunters branch today to discover how our expert lettings services can support you at every stage of the tenancy journey.

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