Most leases say something about subletting, and many ban it outright or allow it only with the landlord's consent. So what can a landlord do if a tenant sublets without permission? One option may be forfeiture: bringing the lease to an early end. But forfeiture is hedged with safeguards, and getting the process wrong can be costly. This article explains how anti-subletting clauses and forfeiture work in England and Wales, in plain English.
Anti-subletting (alienation) clauses
Clauses controlling what a tenant can do with the lease are called "alienation" covenants. They usually come in two forms:
- Absolute, subletting is simply prohibited.
- Qualified, subletting is allowed with the landlord's consent. Where consent is needed, the law generally implies that the landlord must not withhold it unreasonably.
If a tenant sublets in breach of such a clause, the landlord has potential remedies, but to end the lease, the landlord needs a forfeiture right.
What forfeiture is, and when it is available
Forfeiture is the landlord's right to terminate the lease early because the tenant has breached it. Crucially, this right only exists if the lease contains a forfeiture clause (also called a right of re-entry). No clause, no forfeiture.
Even with a clause, forfeiture for a breach other than non-payment of rent (which has its own separate procedure) cannot happen instantly. The landlord must follow the statutory process.
The section 146 notice
Before forfeiting for breach of a covenant such as an anti-subletting clause, the landlord must serve a notice under section 146 of the Law of Property Act 1925. The notice must:
- specify the breach complained of;
- require the breach to be remedied, if it is capable of remedy; and
- require the tenant to pay compensation, if the landlord wants it.
The tenant must then be given a reasonable time to comply before the landlord takes further steps.
Is unauthorised subletting "capable of remedy"?
This matters, because a notice for an irremediable breach does not require the tenant to put things right. The courts have treated a breach of a covenant against subletting or assignment as a once-and-for-all breach that generally cannot be remedied, the subletting has already happened (see Scala House & District Property Co Ltd v Forbes [1974]). Even so, a section 146 notice is still required; the landlord simply does not have to allow time to "remedy" the unremediable.
Relief from forfeiture
Forfeiture is not the end of the story for the tenant. A tenant (and often a subtenant) can apply to the court for relief from forfeiture, asking the court to let the lease continue, usually on conditions such as remedying the breach and paying the landlord's costs. Relief is discretionary, and courts are often willing to grant it where the breach can be put right and the landlord is not seriously prejudiced.
Extra protection for homes
If the property is someone's home, the landlord generally cannot forfeit without a court order, physically re-entering an occupied dwelling can be a criminal offence. Long residential leases (such as flats) carry further protections: for example, the breach usually has to be formally established before a section 146 notice can even be served. Always take advice before attempting to forfeit a residential lease.
What about the deposit?
It is a common assumption that a landlord who forfeits can simply keep any deposit. In reality, whether you can retain a deposit depends on the terms of the lease or tenancy agreement and, for many residential tenancies, on deposit-protection rules (covered in our separate guide on deposit deductions). Treat the deposit and the forfeiture as two separate questions, and do not assume one follows from the other.
Practical steps for landlords
- Check the lease actually contains a forfeiture clause.
- Confirm exactly which covenant has been breached and gather evidence.
- Serve a properly drafted section 146 notice (get it professionally drafted).
- For a residential property, plan to obtain a court order rather than re-entering.
- Take advice on the risk that the tenant will obtain relief from forfeiture.
- Be careful not to "waive" the right to forfeit by, for example, continuing to demand or accept rent after learning of the breach.
Key takeaways
- Forfeiture is only possible if the lease contains a forfeiture clause.
- For most breaches you must first serve a section 146 notice under the Law of Property Act 1925.
- Breach of an anti-subletting covenant is generally treated as not capable of remedy, but a notice is still required.
- Tenants can apply for relief from forfeiture, which courts often grant on conditions.
- You usually cannot forfeit a home without a court order, and keeping a deposit is a separate question.
Sources
- Law of Property Act 1925, section 146 (restrictions on and relief against forfeiture)
- Scala House & District Property Co Ltd v Forbes [1974] QB 575 (breach of covenant against subletting/assignment)
- General law on relief from forfeiture and on forfeiture of residential premises
--- This article is general information about the law of England & Wales as at 2026, not legal advice. For advice on your circumstances, consult a qualified solicitor.