Campaigns Housing Supply and Rents

Tenants will be hit by supply crisis in rental market

Victoria Barker
Written by Victoria Barker

Tenants face an ‘acceleration’ in rent increases over the next five years, because the demand for private rented housing is outstripping supply, according to the Royal Institute for Chartered Surveys (RICS).

New figures published in the September 2019: UK Residential Market Survey show that in the lettings market, demand from prospective tenants is rising firmly for an eight month in a row, and that demand is still outstripping supply.

Commenting on the figures published today, RLA policy director David Smith said:

“Today’s figures demonstrate what we have long predicted, namely that because of recent tax hikes on the sector and threats to remove Section 21 repossessions without putting proper alternatives into place, landlords are not investing in new homes to rent, leading to demand outstripping supply. This only serves to hurt tenants as they face less choice and higher rents.

“Given how clear the evidence is the Government urgently needs to change course, and end those tax measures which are choking off investment in new homes to rent.”

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About the author

Victoria Barker

Victoria Barker

Victoria is the Communications Officer for the RLA.

She is responsible for producing articles for our Campaigns and News Centre, the weekly E-News newsletter and media review, and creating social media content. She also contributes to our members magazine, Residential Property Investor.

1 Comment

  • I own one property, My husband and I bought this 25 years ago because I have no private pension of my own. I am 81 and have worked either part time or full time for 60 years still receiving only part retirement pension. I don’t think I can rent out any longer if these reforms go ahead I am too old to struggle with a bad tenant. In 25 years I have had good and bad tenants. Sometimes leaving me thousands out of pocket. My tenant at the moment is a single Mother with 3 children and has kept my property in a good condition whilst I have invested back into it. She has been with me 3 years and I am just hanging on hoping against hope for a fairer outcome. We have mutual respect so I dread being in a position where I would have to ask her to leave so I can sell it. She is grateful to be leaving in a decent home.

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