Two-thirds of UK landlords are planning portfolio growth in 2026, according to Lendlord’s latest sentiment survey, despite a more challenging post-Budget climate. While higher taxes and tighter margins continue to shape decision-making, the findings show many investors are pressing ahead with acquisitions, refinancing and refurbishments to strengthen yields and safeguard long-term rental returns.
Landlord investment plans
Lendlord’s survey, conducted in December 2025 and drawing on data from more than 75,000 UK landlords, paints a mixed landscape but with a clear growth-focused core. Acquisition remains the standout activity: 23% of respondents plan to buy at least one more property in the next 12 months, underlining that capital growth and rental demand continue to influence strategy even in a more uncertain fiscal environment.
A further 58% say buy-and-hold will be their main investment approach for 2026, reflecting confidence in long-term rental fundamentals. This aligns with ONS rental data published last autumn showing annual rent increases of 6.1% in the North West and 5.8% in the South West, helping many landlords offset rising borrowing and compliance costs.
Still, the survey reveals a split psyche: 45% of landlords describe themselves as confident in the market, while 43% say they are very concerned. The divergence mirrors what letting agents have observed regionally, with one Manchester agent recently noting a “two-speed landlord market” where some expand aggressively and others quietly reduce exposure.
Limited company buy-to-let setups
Lendlord’s analysis shows many landlords are revisiting their ownership structures, particularly in light of post-Budget tax adjustments and ongoing debates around dividend tax and property income thresholds. Interest in limited company setups continues to rise, especially among those planning multi-property expansion or refurbishments.
Aviram Shahar, Lendlord co-founder and CEO (pictured), says the headline message is adaptability rather than retreat. “While the Budget has increased scrutiny around costs, tax and ownership structure, our latest survey shows that many landlords remain focused on growth and active portfolio management. They are adapting their approach rather than stepping back.”
Tax pressure is certainly shaping behaviour. From rising property income tax to tightened mortgage affordability tests, investors who refinanced in 2021–22 at historically low rates now face materially higher monthly outgoings – in some cases £200–£350 more per month – prompting portfolio reviews and consolidation.
Landlord investment strategies evolve
Around a third of respondents say they plan to sell assets or pause investment, reflecting a more cautious tone among some landlords. This sits against a backdrop of fiscal and legislative uncertainty heading into 2026, including the upcoming Renters’ Rights Act provisions and the potential reshaping of possession frameworks.
Yet the broader takeaway is not withdrawal but recalibration. Many landlords are refreshing rent levels, reassessing capital expenditure and exploring refinancing options to optimise cashflow. Meanwhile, lenders – buoyed by stronger arrears data from UK Finance through late 2025 – are gradually re-opening specialist buy-to-let products that reward experienced landlords with strong documentation trails.
Shahar says the divided outlook matters for brokers and lenders: “The data also highlights that confidence in the market is clearly divided, with some landlords opting for a cautious approach and others perceiving opportunity. That balance is significant when brokers and lenders are supporting funding and investment decisions going into 2026.”
Editor’s view
Lendlord’s findings show a sector that refuses to sit still. If anything, uncertainty is pushing landlords to sharpen their strategies rather than scale them back. But confidence cannot rely on guts alone: tax clarity, stable regulation and faster court processes will determine whether 2026 becomes a year of true growth or cautious consolidation. Are policymakers paying attention?
Author: Editorial team – UK landlord & buy-to-let news, policy, and finance.
Published: 06 January 2026
Sources: Lendlord; ONS; UK Finance; letting agent commentary (regional press)
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