Leaders says 45.2 percent of surveyed landlords now attach more importance to tenant referencing after the restriction on advance rent payments, while Registry Trust recorded 996,261 new consumer County Court Judgments in England and Wales during 2025.
The finding comes from the agency group’s Summer 2026 Lettings Report, based on responses from 717 landlords and 860 tenants. It places tenant affordability and documented checks at the centre of a market where landlords have fewer financial buffers once a tenancy has started.
Higher volumes of adverse-credit markers do not make every applicant a poor prospect. They do make a consistent process more valuable. Landlords need a clear record of how income, employment, affordability and references were assessed, rather than treating a credit result as a decision on its own.
Consumer CCJs reached 996,261 in 2025
Registry Trust’s annual figures show the 2025 total for new consumer judgments in England and Wales was 11.8 percent higher than in 2024. The total was just short of one million, while a further 167,642 commercial judgments were registered during the year.
Leaders’ research puts that wider credit picture alongside rental decisions. In its landlord sample, 41.7 percent said they rely on a letting agent to manage referencing; 37.4 percent said it had become significantly more important since the advance-rent restriction, and 7.8 percent said it had become slightly more important.
That does not mean a landlord can make a blanket decision about applicants with a CCJ. The important point is to apply the same lawful, proportionate process to the evidence available, including the age and context of any adverse record and whether the rent is affordable.
Tenant referencing and income checks take priority
Employment status and income were the most important single acceptance factor for 40.6 percent of landlords surveyed by Leaders. A letting agent’s referencing report followed at 38.8 percent, ahead of previous landlord references, credit history and gut feeling.
Allison Thompson, chief lettings officer at Leaders, part of LRG, said: “With advance rent no longer available, referencing has moved from being one tool among many to being the most important decision a landlord makes before a tenancy begins.” She added that a thorough process can confirm affordability for the tenant as well as protect rental income.
This follows Landlord Knowledge’s report on rising guarantor demand after the Renters’ Rights Act advance-rent restriction. That story focused on a possible response where applicants cannot pay months of rent upfront; the new Leaders figures show landlords and agents are also putting more weight on the checks completed before an offer is accepted.
Earlier Landlord Knowledge coverage of tighter tenant checks found the same direction of travel in landlord surveys. The practical test is whether a process is applied fairly, kept up to date and supported by evidence, not whether it produces the most exclusions.
Report links referencing to a changing risk picture
The Leaders Summer 2026 Lettings Report gives the sample sizes and full survey breakdown. Its argument about a more difficult credit environment is supported by Registry Trust’s 2025 consumer judgment data, rather than by the agency’s survey alone.
What this means for landlords
- Set a written process: record what will be checked for every applicant, including income, affordability, references and any guarantor.
- Keep the evidence: retain the documents and notes that show how the decision was reached, subject to data-protection duties.
- Do not use credit data in isolation: consider whether a record is current and relevant to affordability, then apply the same approach consistently.
- Bottom line: when advance rent is restricted, a fair and well-documented reference process is a more important part of protecting rental income.
Editor’s view
Referencing is not a licence to screen out anyone with an imperfect credit history. It is a discipline that helps landlords test affordability and document a fair decision before a tenancy begins. That becomes more valuable when the margin for fixing a bad decision later is smaller.
Author: Editorial Team – UK landlord & buy-to-let news, policy, and finance
Published: 30 September 2026
Sources: Leaders Summer 2026 Lettings Report, Registry Trust
Related reading: Housing Hand: guarantor demands rise after RRA ban
📘 Renters’ Rights Act: Complete Landlord Guide
Everything you need to know about the new rules – 1 May 2026
