New figures reveal potential PRS supply crisis

Newly released figures from the Royal Institution for Chartered Surveyors covering November have prompted UK landlords to issue a warning over a potential supply crisis in the private rental market.

Related topics:  Landlords
Warren Lewis
13th December 2019
To Let 690

The latest Residential Market Survey has revealed a net balance of minus 29% of surveyors reporting a fall in landlord instructions which is twice the negative rating in November 2018.

With tenant demand continuing to increase, RICS predicts that this will lead to rent increases of around 2% over the next year and around 3% a year over the next five years.

David Smith, Policy Director for the Residential Landlords Association, responded: “If the decline in the supply of new homes to rent continues to fall whilst demand is still rising, this is going to lead to a crisis in some areas as tenants desperately search for somewhere to live. This is all the result of increased taxation and other measures over the last three years and the result has been highly predictable as we said it would be.

The new government needs to urgently address the problem and make changes in the forthcoming budget to relieve the pressure on landlords and encourage new investment to meet the demand.”

More like this
Latest from Financial Reporter
Latest from Protection Reporter
CLOSE
Subscribe
to our newsletter

Join a community of over 20,000 landlords and property specialists and keep up-to-date with industry news and upcoming events via our newsletter.