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Labour told to address dire rental supply problem

tenant searching estate agent window

Frustrated surveyors have urged the government to introduce fair legislation that increases supply as landlords continue to quit the sector.

The latest monthly RICS Residential Market Survey reveals anxieties across the UK about unsustainable rents as well as fear of the new government “killing” the PRS, while demand increases and new rental listings fall.

A net balance of +28% of surveyors saw a pick-up in tenant demand during June while the new landlord instructions net balance slipped from -3% to -11%, pointing to a renewed decline in rental listings.


“Despite all the promises and threats in the run up to the election, the lettings market retains a fundamental problem, there are not enough properties to let, forcing rents to rise due to excessive demand,” says Andrew Oulsnam in Birmingham. “Landlords continue to leave the market in droves and no political party seems to get it.”

Rents continue to approach maximum levels of affordability, according to Allan Fuller in Putney, who says they have spiralled simply because of lack of supply. “We need fair legislation that encourages investment in property to create more stock whilst ensuring it is of good quality and that rogue landlords and rogue tenants can be dealt with swiftly,” he adds.


Martin Allen in Elgars reports that simple economics is pushing up rents, not greedy landlords, as desperate tenants bid against each other. “Increasing supply is the answer. Clearly no one in government remembers the letting market before the Housing Act 1988,” remarks Allen.

“Many of our clients feel that they have suffered quite enough,” adds William Delaney at Coopers of London. “Many are instructing us to sell their properties when they become vacant, rather than risk entering into a new tenancy and face the abolition of Section 21, imposition of rent controls, and minimum EPC thresholds increasing.”

Going forward, a net balance of +38% of surveyors anticipate that rental prices will rise during the next three months.


Rental stock
Rent rise