A dramatic 46% increase in property business registrations in the UK reflects a significant shift in how landlords and investors are managing their property portfolios. Data from Companies House, analysed by Arbuthnot Latham, shows that 40,167 new property businesses were registered in 2024 — the highest level of growth in five years.
This sharp rise follows a modest 1% increase in 2022 and a more noticeable 21% jump in 2023, highlighting a clear acceleration in activity within the property sector. Experts suggest that changing regulations, wealth preservation strategies, and regional investment opportunities are driving this shift.
Landlords turning to limited companies for tax and wealth benefits
The rise in property business registrations points to a growing trend among landlords to manage their buy-to-let portfolios through limited companies. According to Tony Eden, Head of Commercial Banking & Real Estate Finance at Arbuthnot Latham, this is a strategic response to shifting market conditions.
“More landlords are setting up limited companies to manage their buy-to-let portfolios,” Eden explained. “With evolving regulations and a growing focus on asset protection, company ownership is becoming the preferred route.”
Changes to tax regulations have made limited company structures more attractive to property investors. By owning property through a company, landlords can benefit from reduced tax liabilities and more flexible inheritance and wealth planning options.
Wealth preservation is becoming a top priority for property investors. Gary Jasper, Senior Wealth Planner at Arbuthnot Latham, highlighted how long-term strategic planning is influencing this trend.
“While buy-to-let companies don’t qualify for Business Property Relief, landlords still have options for long-term planning,” he said. “Gifting shares in a property company over time, establishing trusts, and implementing strategic wealth management can help safeguard a property legacy.”
Jasper noted that landlords are becoming more proactive about securing their financial future. “As awareness of wealth protection strategies grows, more landlords may be setting up property businesses sooner rather than later to maximise the benefits. This shift in mindset may be a key factor behind the recent rise in property business registrations,” he added.
Regulatory changes driving increased registrations
Another key factor behind the increase in property businesses is a shift in government regulation, particularly concerning non-domicile rules and offshore property holdings.
“In the past, many overseas investors held UK property through offshore entities, meaning these holdings weren’t recorded on UK company registries,” explained Justin Snoxell, Director of Real Estate Finance at Arbuthnot Latham.
“With government reforms requiring these companies to register in the UK, we’re seeing a notable increase in new property-related business registrations,” Snoxell said.
This change means that overseas investors can no longer hold UK property through anonymous offshore structures, pushing many to register new property companies in the UK. This has increased transparency in the market while driving up the number of official company registrations.
Snoxell believes that greater regulatory clarity has encouraged investors to formalise their holdings. “Structuring property investments through a company provides greater legal protection, simplifies tax planning, and makes it easier to pass on assets to the next generation,” he added.
Regional hotspots driving property investment growth
While London remains a key market for property investment, regional cities such as Manchester, Liverpool, Birmingham, and Leeds are becoming increasingly attractive to landlords.
Manchester and Liverpool both recorded a 26% increase in property business registrations in 2024, closely matching London’s 30% growth rate. Birmingham (24%), Leeds (18%), and Bristol (17%) also saw significant increases.
“Manchester continues to be a prime destination for owner-occupiers and investors looking for strong yields and long-term growth potential,” Snoxell explained. “Many landlords are setting up limited companies to target these regional hubs, where property values are more accessible and rental demand remains high.”
Liverpool’s rise has been linked to major development projects and improved infrastructure, making it an increasingly attractive option for domestic and international investors. Leeds and Bristol have also benefited from regeneration projects, boosting demand for rental properties and encouraging more structured investment strategies.
“It’s not just about acquiring property,” Snoxell said. “Investors are increasingly structuring their holdings through corporate entities to optimise management, more efficient wealth planning, and long-term succession planning.”
Landlords well-positioned for future growth
The 46% rise in property business registrations underscores a broader shift in the UK property market. Landlords are adapting to regulatory changes and focusing on long-term financial planning, with limited company structures providing a flexible and tax-efficient solution.
The increase in regional property investment also reflects growing confidence in the UK’s property market outside London. As investors seek to balance capital appreciation with strong rental yields, cities like Manchester and Liverpool are emerging as major investment hubs.
For landlords, this trend represents an opportunity to strengthen their portfolios, maximise tax benefits, and secure long-term returns. The rise in structured property ownership signals a more professional and strategic approach to property investment — one that could define the UK rental market for years to come.
