Planning delays for new build-to-rent schemes have stretched to 15 months in London and up to 14 months elsewhere, while the number of homes under construction has fallen for a ninth straight quarter. Fresh figures from the British Property Federation and Savills suggest one of the few sectors adding purpose-built rental stock is being slowed just as demand remains high.
Build-to-rent construction keeps falling despite bigger pipeline
The latest BPF and Savills update says homes under construction dropped 17 percent year on year to 49,984 across the UK, with London down 29 percent to 12,134. That came even as the overall number of homes in planning edged up and build-to-rent accounted for 8 percent of all new homes delivered last year.
For landlords and property investors, the message is that rental supply is not simply a question of whether investors want to build. The planning system, building safety delays and scheme viability are now doing more to shape future stock than demand conditions alone. That is important because a slower build-to-rent pipeline reduces one route for easing pressure in the private rented sector, especially in city markets where institutional rental supply has become a larger part of the mix.
Planning and regulation are now a supply issue
The BPF says the average time to secure planning consent for London schemes has nearly doubled from eight months to 15 months in six years, which is 150 percent longer than the statutory time limit for major applications. Across the country, the trend is similar. At the same time, detailed applications have fallen quarter on quarter and developers are pushing toward larger schemes to make projects stack up.
This follows Landlord Knowledge’s April report on construction starts falling 30 percent, which pointed to a broader weakening in the housing pipeline. Combined with Landlord Knowledge’s coverage of calls to unlock 25,000 stalled homes, the latest build-to-rent figures suggest the slowdown is not confined to one tenure or one builder. It is turning into a wider housing delivery problem.
There is also a landlord angle in the BPF’s warning that tax changes, the Renters Rights Act and renewed rent control debate are feeding into viability concerns. Even though build-to-rent is not the same market as small private landlords, both depend on a stable policy backdrop and a workable route from planning to occupation. If large-scale rental development is slowed as well, landlords should not assume extra supply will appear quickly enough to take pressure out of rents or tenant demand.
What this means for landlords
- If you invest in urban rental markets: expect supply relief to stay limited if planning and building safety delays continue.
- Watch for: whether planning reform, local plan changes and Building Safety Regulator backlogs start to move during the rest of 2026.
- Bottom line: slower build-to-rent delivery means the rental supply crunch is unlikely to be fixed by institutional development alone.
Editor’s view
It is hard to argue that the market just needs more investor confidence when consent takes 15 months and construction keeps sliding. Supply cannot improve at speed if the system blocks one of the few sectors still willing to build homes specifically for renters.
Author: Editorial Team – UK landlord & buy-to-let news, policy, and finance
Published: 17 April 2026
Sources: British Property Federation, Savills
Related reading: Residential construction starts fall 30 percent as housing pipeline weakens
