Propertymark warns that without further support, more private landlords could choose to exit the PRS, reducing the availability of privately rented properties.
Buy-to-let landlords are facing mounting pressure, prompting fresh concerns about the future supply of rental housing as tenant demand remains strong.
“A balanced approach is needed to ensure improvements to housing standards can be delivered without discouraging investment or reducing the availability of much-needed rental homes,” said Megan Eighteen, president of ARLA Propertymark.
Her comments come ahead of the Renters’ Rights Act, due to take effect on 1 May, and follow new figures from Moneyfactscompare showing a sharp rise in buy-to-let mortgage rates amid wider economic uncertainty. Average two- and five-year fixed rates have both climbed since early March, with the two-year rate reaching 5.40%—its highest level in a year—and the five-year rate rising to 5.91%, a two-year high.
The increase is feeding directly into landlords’ costs. Monthly repayments on a typical £250,000 loan over 25 years are now around £1,100 higher than at the start of the month. At the same time, product choice has tightened significantly, with around 1,300 buy-to-let mortgage deals withdrawn since March, taking total availability to below 5,000 for the first time since November 2025.
Further financial pressures are expected, with landlords preparing for incoming rental reforms and potential energy efficiency upgrades that could cost up to £10,000 per property to meet minimum EPC C standards by 2030.
Eighteen continued: “Rising buy-to-let mortgage rates will place significant additional pressure on many landlords at a time when they are already grappling with substantial regulatory and cost burdens. Increased borrowing costs, combined with reduced product choice, risk undermining confidence in the sector and could ultimately restrict the supply of homes in the private rented market.
“With landlords also preparing for the introduction of the Renters’ Rights Act and facing potentially high costs to meet future EPC requirements, there is a real concern that some may reassess their position and exit the market altogether. This would exacerbate existing supply shortages and place further upward pressure on rents for tenants.”
“It is essential that the cumulative impact of these changes is recognised,” she added.
Last weeks of issuing Section 21’s,, I can’t see this ending well for tenants.
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Both Labour and the Tories are determined to rid the country of all private landlords especially BTL who they blame for our housing shortage by buying up first time buyer homes. According to my ex Tory MP who fist brought this up in Parliament “…if all rental properties came onto the market everyone would be able to buy a home.” Why are we continuously informed that the new bill is also good for landlords? S24 and the end of s21 and now landlords will pay more income tax than anyone else. I cannot find one item on the Renters’ Right bill that will help landlords, not one. In fact as far as I can see everything including the right to have a pet is stacked against us. S21 was more beneficial for tenants especially for rent arrears as most landlords just wrote off the arrears. Tenants will now find themselves with a CCJ and little hope of ever finding another rental. Will Government ban courts from handing out CCJ for unpaid rent, probably?
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