The number of tenants in serious trouble with their has reduced.

This morning LSL, parent company of firms Your Move and Reeds Rains, said that in the final quarter of last year, there were 82,900 households behind on more than two months of rent, compared with 84,200 in the third quarter.

The latest total represents 1.6% of tenancies across the UK.

The peak was in the first quarter of 2008, when 2.9% of tenants were in serious arrears.

Outspoken LSL director Adrian Gill today criticised the “demonisation” of private landlords.

He said: “Landlords and the buy-to-let industry have come in for serious criticism over the last year – but the overwhelming evidence points to a vital, growing and successful industry.

“Landlords in the UK are providing more homes to let every month, expanding supply for tenants – who avoid any serious problems, paying the rent in more than 98% of cases.

“When late rent does happen, landlords appear to be extremely flexible in the majority of cases, and eviction orders are decreasingly necessary.

“Buy-to-let mortgages are also increasingly reliable for lenders, as landlords are ever less likely to fall into arrears themselves.

“It would be wrong to say that the UK private rented sector is perfect. But in the context of these facts, the demonisation of landlords by some policy makers seems at best out of proportion.

“Most urgently, rising rents are a signal that demand is there for even more homes to let.

“In a purchase market that increasingly favours sellers, demand from would-be first time buyers will continue to grow even faster for rented homes. “Additional investment from landlords should be welcomed.

“Yet the government’s looming Stamp Duty surcharge – which explicitly punishes investment in new buy-to-let properties – could damage supply of additional homes to let and potentially disrupt the relative balance of the modern buy-to-let industry.”