"It beggars belief that the Government thinks it is helping renters"
- Ben Beadle - NRLA
The National Residential Landlords Association (NRLA) has strongly criticised the Government’s latest Budget, warning it will disproportionately impact low-income renters by pushing up rents while freezing support for those reliant on housing benefits.
According to the Office for Budget Responsibility, increases to income tax on property earnings are expected to feed directly into higher rents. Initial NRLA analysis indicates that tenants could see monthly increases of £20–£25 on an average private rental property, rising to more than £40 in London.
At the same time, the Work and Pensions Secretary has confirmed housing benefit rates will remain frozen for a second consecutive year in 2026/27. The freeze will affect almost 1.7 million private rented households currently receiving housing cost support.
Government data from August shows that 53% of these households already face a shortfall between their benefit payments and their monthly rent—a gap likely to widen as rising taxes push rents higher.
The Institute for Fiscal Studies recently warned that the freeze is exacerbating affordability pressures for low-income tenants, while a coalition of 40 organisations across the housing sector has urged the Government to restore benefit rates.
Ben Beadle, Chief Executive of the NRLA, said, “It beggars belief that the Government thinks it is helping renters. Piling on further tax rises that will drive up rents, whilst keeping housing benefit rates frozen, is a one-way street to hitting low-income tenants the hardest.
“This can only be described as a deeply regressive package that will make life more difficult for renters across the country.”
