Landlord law
Company Let vs Assured Tenancy: What London Landlords Need to Know in 2026
Since 1 May 2026, almost every new letting to an individual in England has been a rolling assured tenancy. Lettings to companies work differently, and that's become an important distinction for London landlords.
What is a company let?
A company let is a letting where the tenant is a company rather than a private individual. The company signs the agreement, pays the rent and is responsible for the property under the terms you agree. It's common for staff accommodation, relocation housing and guaranteed rent schemes.
Why it's treated differently
Under the Housing Act 1988, an assured tenancy can only be granted to an individual who occupies the property as their only or main home. A company can't do that, so a genuine company let generally isn't an assured tenancy. That means the rules that now govern assured tenancies, such as rolling terms, section 8 possession grounds and annual rent-increase notices, don't apply to the company let in the same way.
The key differences
| Company let | Assured tenancy (individual) | |
|---|---|---|
| Who the tenant is | A company | One or more individuals |
| Term | Agreed between the parties, e.g. 1–5 years | Rolling, with no fixed term |
| Tenant leaving | As set out in the agreement | Two months' notice at any time |
| Rent changes | As agreed in the contract | Once a year by section 13 notice |
| Deposit protection scheme | Not required for a company tenant | Required |
When a company let makes sense
- You want a fixed term and a predictable income.
- You'd rather deal with one business than a series of tenants.
- You're comfortable with the company letting the property on to others, for example as serviced accommodation, under a clear agreement.
What to watch for
A company let only works if it's genuine. Check the company's details at Companies House, make sure the agreement clearly sets out how the property will be used, and confirm that your mortgage, insurance and any lease allow it. Safety duties, such as gas and electrical checks, still apply. Our compliance checklist covers them.
The bottom line
For landlords who want certainty after the Renters' Rights Act, a company let on a guaranteed rent basis can offer a fixed term and fixed income. Always have your solicitor review the agreement before signing.
This article is general information, not legal advice.