Around two-thirds of property owners plan rent increases after the "Renters' Rights Act" comes into force, according to new research from the Deposit Protection Service (DPS). This development indicates significant adjustments in the British rental market, which are expected to affect both tenants and landlords.
The study further highlights that the proportion of landlords intending to sell some or all of their properties between October 2025 and May 2026 has increased from 53% to 56%. This rise in selling intentions could point to a strategic realignment by many owners in light of the upcoming regulatory changes.
Background to the Reforms and Their Impact
The "Renters' Rights Act" aims to strengthen tenants' rights and make the housing market fairer. This legislation is expected to include measures to improve protection against unfair evictions and increase transparency in rental relationships. Landlords' reactions to these reforms are a key indicator of the sector's future dynamics.
The intention of many landlords to increase rents could be interpreted as an attempt to compensate for potential loss of income or increased operating costs that might arise from new requirements. At the same time, the rise in selling intentions reflects uncertainty or a deliberate strategic decision to reduce involvement in the rental housing sector. This could lead to a reduction in the supply of rental housing in the medium term.
The DPS findings underscore the necessity of carefully monitoring the impact of the legislation to ensure both the stability of the rental market and the interests of all stakeholders. The interplay between new regulations and the reactions of market participants will significantly shape the British property market in the coming years.
