Landlords are bracing for sweeping rental reforms and rising costs, with nearly 70% believing the Labour government has damaged the private rental market over the past year. A new survey by landlord insurer Simply Business reveals widespread concern about the forthcoming Renters Rights Bill (RRB), expected to introduce the biggest tenancy changes in decades from 2026.
Section 21 eviction ban tops landlord fears
The RRB’s plan to abolish Section 21 “no-fault” evictions is the single greatest worry, flagged by 38% of respondents, even though 71% said they’ve never used the process. Other anxieties include tenant rights to keep pets (14%), the replacement of fixed-term assured tenancies with periodic agreements (13%), and curbs on rent increases (8%).
“Many landlords use their property as a stable financial investment whilst also providing valuable housing for tenants,” said Julie Fisher, UK chief executive of Simply Business. “But with the biggest changes to tenancy law in a generation almost here, it’s more important than ever to understand their challenges and perspective.”
Rent increases restrained despite inflation
Despite higher mortgage costs and rising maintenance expenses, 54% of landlords have not increased rent for existing tenants in the past year. One-third avoided any rent rises altogether, while 20% lifted rents only for new tenants. Another 34% increased rents across the board but negotiated with current tenants to soften the impact.
Leeds-based landlord Richard Howard explains: “I’ve held rents steady on my three flats even as my mortgage rate jumped. It keeps good tenants in place, but the RRB’s rent cap proposals make it harder to plan for the future.”
Confidence in property investment mixed
The survey shows 78% of landlords are worried about the sector’s outlook, yet only 13% sold a property in the last year and 64% have no plans to sell in the next twelve months. When asked if property remains a worthwhile investment, 39% said yes, 34% no, and 26% were undecided—highlighting a market still attracting committed investors despite policy uncertainty.
“Whilst a slowdown in rent increases will be of some relief to tenants, the rental market remains in a fragile state. Tenants across the country continue to face the reality of there not being enough homes to meet demand. Meanwhile, the sector is craving certainty about how the Government plans to implement the biggest overhaul of the market for almost 40 years.” — Ben Beadle, Chief Executive, NRLA
Editor’s view
Labour’s Renters Rights Bill is reshaping the risk-reward calculation for UK landlords. Those with strong finances and long-term outlooks may still see buy-to-let as a hedge against inflation, but ongoing uncertainty could push smaller investors out—tightening supply and putting further upward pressure on rents.
