Tenancy Agreements Explained: Don’t Get Caught Out by the Wrong One

When you’re about to move into a new place, the last thing you want is legal jargon or dodgy agreements getting in your way. But the reality is, too many tenants in England and Wales are being handed the wrong type of tenancy agreement – and it can cost you your rights, your money, and your peace of mind.

At Tenant Angels, we’ve seen it all: landlords calling a tenancy a “license,” agents handing over “holiday let” paperwork for permanent homes, and lodger agreements given when the landlord doesn’t even live there. These mistakes (or worse – deliberate dodges) can leave you vulnerable. Here’s what you need to know.

Assured Shorthold Tenancy (AST) is the most common type of agreement for people renting a home in England and Wales. In most situations, this is the correct and legal agreement you should be signing.

  • You rent a flat, house, or even a room in a shared house
  • It’s your main or only home
  • You don’t live with your landlord

If all of the above are true, you should be on an AST.

Why does this matter?
An AST gives you proper tenant rights, including:

  • Legal protection for your tenancy deposit
  • Notice periods before eviction
  • Access to your home without illegal entry
  • The right to challenge unfair fees or rent increases

If you’re not on an AST when you should be, enforcing these rights becomes difficult – and sometimes near impossible without going to court.

Not every rental situation is the same. Some agreements are valid in the right context – but often misused.

You’re classed as a lodger if:

  • You’re renting a room in the landlord’s home
  • Your landlord lives there too

In this case, your agreement will likely be a lodger agreement or a license to occupy.

Important: Lodgers don’t have the same rights as tenants. Your deposit doesn’t need to be protected, and notice periods are shorter. You can also be evicted without a court order in many cases.

Holiday lets are for:

  • Short-term stays (like a weekend or few weeks)
  • Properties not used as your main home

Some landlords try to use holiday let agreements for long-term tenants to avoid legal responsibilities. That’s not okay. If the property is your main home, a holiday let agreement is likely invalid.

A license is not a tenancy. It’s usually used in:

  • Hostels or supported housing
  • Temporary accommodation
  • Situations where you don’t have exclusive access to a room (e.g. staff may enter without notice)

Unfortunately, some landlords issue licenses in regular rental settings to avoid giving tenants their full rights – like deposit protection and formal eviction processes.

Here’s the good news: the type of agreement you sign doesn’t always decide your legal status.

The law looks at how you actually live in the property – not just what’s written on the agreement.

For example, if you signed a license but:

  • You have a lock on your door
  • You pay rent monthly
  • The landlord doesn’t live with you
  • It’s your only or main home

…you may still be classed as an AST tenant in the eyes of the law.

But beware – fighting for your rights is harder when you’re on the back foot. It means more stress, more time, and sometimes legal help.

Before you sign anything:

  • Check the agreement type: Is it an AST? Ask directly.
  • Look at your living setup: Will you be sharing with the landlord?
  • Check for exclusive access: Will you have your own room with a lock?
  • Get advice: If something doesn’t feel right – ask us, or a legal adviser.

You’re legally entitled to a copy of your tenancy agreement before you sign it. Use that time to read it through carefully – and don’t be rushed into signing something you don’t understand.

Signing the wrong tenancy agreement can put your housing security and finances at risk. Know what agreement you should be on, and don’t be afraid to ask questions or walk away if something feels off.

The right agreement = the right rights.
And we’re here to make sure you get them.

How do I know if I should be on an Assured Shorthold Tenancy (AST)?

If you’re renting a property as your main or only home, not sharing with your landlord, and paying rent, then you almost certainly should be on an AST. This is the most common tenancy type and offers the strongest legal protections.

My agreement says it’s a ‘license’ but I have my own room and the landlord doesn’t live here. Is that legal?

Probably not. Some landlords misuse license agreements to avoid giving tenants their legal rights. If you have exclusive use of your space and don’t live with the landlord, the law may still treat you as an AST tenant – regardless of what the agreement says.

What’s the difference between a lodger and a tenant?

A lodger lives in the same property as the landlord and usually shares spaces like kitchens or bathrooms. Tenants live separately from the landlord and usually have more legal rights, like deposit protection and formal eviction procedures.

Can a landlord use a holiday let agreement for a long-term rental?

No – not legally. If the property is your main home, a holiday let agreement is likely invalid. Using one to sidestep tenant rights is considered a misuse of the law.

What should I do if I’ve already signed the wrong type of agreement?

Don’t panic – your rights might still apply based on how you live, not just what the paperwork says. Get in touch with Tenant Angels and we’ll help you understand your agreement and what you can do next.


We specialise in helping tenants make successful compensation claims when your landlord or letting agent has failed to protect your deposit correctly.

The law is very black and white when it comes to deposit protection and states that your deposit must be protected in one of the three government-backed schemes within 30 days of you paying it and it should remain protected until the day you move out.

Claims can be worth up to 3x your deposit, plus the full return of your deposit on top. For example, if you paid a £1,000 deposit, you may be able to claim £3,000 + your £1,000 deposit back.

Use our FREE online eligibility checker to see if you could be owed compensation.



Disclaimer: The information provided on this website does not, and is not intended to, constitute legal advice or a client-solicitor relationship. All information, content, and materials available on this website are for general information purposes only and should not be used as the basis for taking any specific course of legal action.