Tenant screening has always been about reducing risk. In today’s lettings market, it is also about demonstrating fairness.
As expectations shift under the Renters’ Rights Act 2025 and wider equality law in England, landlords can no longer rely on broad restrictions or informal rules when choosing tenants. Practices such as excluding applicants based on benefits or family status, often seen in phrases like “No DSS” or “No Children”, are increasingly difficult to justify and can expose landlords to legal and reputational risk.
At the same time, the need to safeguard rental income remains.
So how do you balance both?
The answer lies in a more structured, evidence-led approach to tenant selection. Landlords still have control over who they let to, but decisions must be based on financial and referencing checks rather than assumptions about a tenant’s background.
Related: Rent review clauses are out—Section 13 is in: What landlords must change in their approach
Why blanket restrictions no longer work
Policies such as “No DSS” or “No Children” apply broad rules to groups of people rather than assessing individuals. Under the Equality Act 2010, this can create a risk of indirect discrimination where a policy disadvantages people who share a protected characteristic.
Alongside this, government guidance linked to the Renters’ Rights Act 2025 makes it clear that applicants should not be discouraged or refused simply because they receive benefits or have children.
Beyond legal concerns, these approaches are also commercially limiting. They rely on assumptions rather than verified information and can reduce your pool of potential tenants.
In practice, blanket restrictions often:
- exclude applicants who could afford the rent
- limit choice in high-demand markets
- increase the likelihood of longer void periods
- fail to identify the most reliable tenant
The focus is shifting towards a simple question: can this tenant sustain the tenancy?
What landlords can still assess
While restrictions are being challenged, landlords still have full control over how they assess suitability.
The key difference is that decisions must be based on objective financial and behavioural factors.
Affordability
Affordability remains central. A commonly used benchmark is that a tenant’s income should be between 2.5 and 3 times the annual rent, but this is a guideline rather than a fixed rule.
A fair assessment should:
- consider total verified income
- include employment, self-employment, or benefits
- focus on long-term affordability
Referencing
Referencing provides a broader view of reliability and behaviour.
Typical checks include:
- credit history
- employment verification
- previous landlord references
These checks allow landlords to make decisions based on verified information rather than assumptions.
Guarantors
Where affordability is slightly below target or income is less predictable, a guarantor can provide additional reassurance.
Used appropriately, guarantors can:
- reduce financial exposure
- support otherwise suitable applicants
- broaden your pool of tenants
The key is to apply guarantor requirements consistently.
Right to Rent
In England, landlords must carry out Right to Rent checks on adult tenants before the tenancy begins.
This is a legal requirement and should form part of a consistent screening process.
Related: How to conduct a right-to-rent check?
Building a fair and defensible process
Once you understand what can be assessed, the next step is applying it in a clear and repeatable way.
Landlords should:
- define affordability and referencing criteria before marketing
- apply the same checks to every applicant
- consider the full financial picture, not just one measure
- keep records of decisions and supporting evidence
This creates a reliable approach that is easier to justify if decisions are ever questioned.
Common mistakes to avoid
Even with the right checks in place, problems often arise from how they are applied.
Common pitfalls include:
- changing requirements between applicants
- rejecting tenants without reviewing full financial evidence
- relying on informal rules instead of defined criteria
- failing to document decisions
Avoiding these issues is just as important as getting the process right.
Protecting your income without restricting applicants
Removing blanket restrictions does not mean increasing risk.
In practice, landlords can manage exposure more effectively by using structured safeguards, such as:
- professional referencing services
- guarantors where appropriate
- rent protection options
- early monitoring of rent payments
These measures provide practical protection while keeping your approach compliant.
A smarter approach with Northwood
As the lettings landscape evolves, landlords who adopt clear and consistent screening processes will be in the strongest position.
At Northwood, we support landlords with compliant tenant selection, robust affordability checks, and practical solutions designed to protect your rental income.
By focusing on verified information rather than assumptions, you can make confident decisions, broaden your pool of applicants, and secure more stable tenancies. Speak to your local Northwood branch today to ensure your tenant screening approach is fair, compliant, and built around long-term stability.
