New data reveals that 20% of landlords across England and Wales have sold property during the last 12 months, almost three times more than the 7% who had bought new homes to rent.

Research by Pegasus Insight for the NRLA found that 41% of rental housing providers plan to reduce their number of properties in the next 12 months, compared with just 5% who aim to buy more. The figures follow government data which found selling property was the single biggest reason for bringing a tenancy to an end.

Meanwhile, almost eight in ten landlords (77%) reported strong demand from prospective tenants in the final quarter of 2024, according to the research, with demand highest in South West England (81%) followed by the South East and the North West (80%).

Pragmatic steps

The NRLA is calling for pragmatic steps to boost the confidence of responsible landlords to stay in the market and sustain tenancies. It says the government must scrap the disastrous stamp duty hike on the provision of new homes to rent, propose a clear plan to ensure the courts can cope when Section 21 repossessions end, and reverse the decision to freeze housing benefit rates.

Chief executive Ben Beadle (pictured) believes plans to improve security for tenants will mean nothing if the rental accommodation they need is not there in the first place.

“We need policies that genuinely support those who provide decent quality homes to rent,” he adds. “Tax hikes which penalise those wanting to provide such homes need to be scrapped.

"What’s more, those providing homes to rent must have the confidence to stay in the market when the Renters’ Rights Bill is passed. At present, that confidence simply is not there.”