Supply of rental accommodation is the lowest in a year.

It also reports that three in ten tenants had rent rises.

ARLA managing director David Cox said: “Supply of housing continues to be a problem and tenants bear the brunt of this with more people competing for properties at higher prices.

“The majority of tenants find that it is impossible to save very much at the end of the month to put towards buying their own home.”

Nearly two-thirds (63%) of ARLA members think the Chancellor’s Stamp Duty reforms for buy-to-let properties will push landlords out of the market, which will in turn cause supply to drop further.

However, nearly half (47%) of ARLA agents reported that they have seen an uplift in interest from buyers looking to invest in rental properties before April 1 – a rise from the 24% reported for December.

Cox said: “The April deadline for the Stamp Duty surcharge is looming.

“The final details will be revealed at the Budget in March but we are not expecting to see the Government back down on this policy.”