Tenants lodged an estimated 47,405 disputes across the PRS in 2024, a 13% increase on the previous year and the highest number in the past five years.

Based on UK-wide data from TDS, lettings platform FCC Paragon estimated that some 9,784 of these disputes involved rental arrears, again the highest figure in the last five years, while also marking a huge 80% year-on-year increase.

Disputes involving rental arrears now account for more than one in five of all rental market disputes, which is by far the highest proportion seen since 2019/20.

Even during the pandemic - 2019/20 and 2020/21 -, the number of rental disputes involving arrears accounted for just 14% of total disputes lodged. While this figure fell to 12% in 2021/22, it has increased consistently during the past two years.

Bekki Leaves said the figures suggested that the private rental sector has become more volatile when it comes to the relationship between landlords and tenants.

“With the sector undergoing some sizable changes in 2025, not least with the introduction of the Renters’ Rights Bill, the expectation is that this market volatility will only increase further,” she added.

“This worrying trend really highlights the importance of thorough referencing when it comes to finding a tenant, as it allows landlords to identify the most financially viable applicant based on their proof of finances, credit history, references and employment status.

“In doing so, they put themselves in the best position with respect to avoiding a dispute that centres around a lack of rent being paid.”

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