"This change in the law is a hugely positive step forward, recognising that pets are not a ‘nice to have’, but an integral part of people’s lives and wellbeing"
- Peter Laurie - Battersea Dogs & Cats Home
Rental yields could see indirect effects as new pet ownership rules under the Renters’ Rights Act open up millions of rental homes across England.
The legislation, which comes into force tomorrow, 1 May 2026, gives tenants the right to request permission to keep pets, with landlords unable to refuse unreasonably. The change is expected to widen tenant demand across a broader range of properties, potentially influencing letting patterns and occupancy levels.
Research commissioned by Mars Incorporated suggests that almost one in four renters are now more likely to get a pet following the introduction of the reforms. The shift highlights how policy changes could reshape tenant preferences, with implications for property investment decisions and rental yields over time.
Demand patterns shift as rental yields adapt to pet ownership
The reform marks a notable change for renters who have previously faced restrictions. Around 31% of tenants said housing rules had stopped them from owning a pet, while many existing pet owners have had to make compromises to remain in the rental market.
Nearly half, 48%, reported moving home in order to get or keep a pet, while 20% said they had offered additional financial compensation to landlords to secure permission. These figures point to pent-up demand that could now be released into the market.
Until now, only 7% of rental listings were marketed as pet-friendly. With the new rules in place, more than 4 million homes across England could become accessible to tenants with pets. This expansion may support occupancy levels and influence rental yields, particularly in areas where demand from pet-owning households is strong.
The changes also intersect with wider housing challenges. Estimates indicate that 1.1 million dogs and cats are currently homeless in the UK, representing 5% of the companion animal population. Greater access to rental housing could help address this issue by increasing the number of suitable homes.
Tenant wellbeing and property demand
Pets play a significant role in tenant wellbeing, which can influence long-term tenancy decisions. Data shows that 83% of UK pet owners believe their pets have a positive impact on wellbeing.
In addition:
- 33% say a pet adds structure and purpose to their lives
- 30% report that pets encourage exercise
- 82% of pet-owning tenants say having a pet helps them feel more at home in a rental property
These factors may contribute to longer tenancies and reduced turnover, both of which can support stable rental yields for landlords.
Despite the changes, awareness remains limited. Around 35% of renters say they do not know about their new rights to request a pet, suggesting that uptake may build gradually as understanding improves.
Guidance aims to support market transition
Mars Incorporated has partnered with Battersea Dogs & Cats Home to publish a Renting with Pets Guide, designed to help tenants and landlords navigate the new rules.
The guide includes practical steps such as creating a ‘pet profile’ for landlords and outlining how to make a formal request. It also aims to support landlords in managing potential risks while accommodating tenants with pets.
The initiative forms part of Mars’ broader BETTER CITIES FOR PETS™ programme, which focuses on improving urban environments for pet ownership.
"Pets really do make a house a home, and we’re incredibly proud to work with our long-term partners at Battersea to help bring about this important change in the law," said Nick Foster, general manager, North Europe at Mars Pet Nutrition.
He added, "The Government’s decision to remove unnecessary barriers to pet ownership for renters recognises just how much it means to people and families across the country – and we’re so pleased that this opens the door to more people than ever being able to experience the happiness and wellbeing benefits that come from being a pet parent."
Peter Laurie, chief executive officer at Battersea Dogs & Cats Home, added, "For too long, the inability to rent with pets has been a heartbreaking barrier for so many responsible owners and the second most common reason pets are handed over to us at Battersea."
"This change in the law is a hugely positive step forward, recognising that pets are not a ‘nice to have’, but an integral part of people’s lives and wellbeing. We’re incredibly proud to be working alongside Mars on this issue, and hopeful that the Renters’ Rights Act will help more pets find - and stay in - loving homes, without families having to make impossible choices."
As the legislation takes effect, landlords and investors are likely to monitor how increased flexibility around pets influences tenant demand, occupancy trends, and ultimately rental yields across the market.
