Landlords have scored a quiet but significant victory following the Government’s decision to drop controversial pet insurance clauses from its Renters’ Rights Bill. The U-turn, confirmed during the Bill’s report stage in the House of Lords, came after months of uncertainty over how pet-related damage would be managed legally in the private rental sector.
The now-scrapped proposal would have allowed landlords to require tenants with pets to take out pet damage insurance, but concerns over timing and market readiness have led ministers to abandon the idea altogether — for now.
Baroness Taylor of Stevenage, speaking on behalf of the Government, said: “I have listened carefully and recognise that while the insurance industry does respond to public policy, there is a risk that relevant insurance does not come on to the market sufficiently quickly following the implementation of the Bill.”
Insurance industry not ready for mass rollout
The proposal had been widely seen as a sensible compromise between pet-friendly rental reform and landlords’ need to safeguard their properties. However, following talks with the Association of British Insurers and other sector stakeholders, it became clear that creating an effective, affordable insurance product “at scale” could not be achieved in time.
“To avoid a situation where landlords could veto a tenant’s reasonable request to keep a pet [because the tenant cannot find insurance to take out], we are withdrawing the pet insurance provisions from the Bill,” Baroness Taylor explained.
While the move may disappoint some renters and pet campaigners, it comes as a relief to many landlords and agents who feared being left legally exposed or unable to enforce reasonable property standards. The minister reiterated that the Government considers the existing cap of five weeks’ rent as deposit to be a sufficient buffer for pet damage — a stance that notably contrasts with Scotland’s eight-week model.
Letting industry sees win for landlords and common sense
Timothy Douglas, Head of Policy and Campaigns at Propertymark, welcomed the shift. He said: “Peers have listened to Propertymark’s expertise and the voices of our members, delivering pragmatic changes that protect landlords, agents, and renters alike.”
He highlighted that recent Renters’ Reform amendments — including around pet deposits, student tenancies, and tribunal resources — represent real progress in shaping a rental system that works across the board: “These wins demonstrate that our campaigning has made the Bill more workable for letting agents while delivering fairer outcomes for tenants.”
Douglas added that the revised approach supports confidence and professionalism across the sector, something the industry sorely needs during a time of widespread legislative overhaul.
Many landlords, particularly those with furnished properties or longer tenancies, had voiced concern that unrecoverable pet damage could become a serious liability. “I had a tenant’s dog scratch up a new parquet floor and leave the place smelling like a kennel,” said one landlord in Leeds. “If I couldn’t charge for that, I’d be out £2,000.”
What next for landlords and pet policies?
While this development gives landlords short-term reassurance, questions remain over how the Renters’ Rights Bill will shape long-term landlord control — especially with the Government’s pro-pet messaging still strong.
Baroness Taylor did confirm that the insurance market may eventually develop relevant pet damage products: “We accept that this will not happen at the scale necessary [in time],” she said, leaving the door open to future options.
For now, though, landlords retain the right to refuse pets — though they must provide a valid reason for doing so under the proposed reforms. Without compulsory insurance or a separate pet deposit, managing pet tenancies will still require careful consideration, clear tenancy clauses, and thorough check-in and check-out inventories.
As rental reform inches forward, one thing is clear: landlord engagement works. Whether it’s stopping rushed insurance rules or influencing pet-related policy, the sector’s voice is being heard — and shaping a more balanced outcome for the property market.
