Build to Rent (BTR) investment in the UK is forecast to exceed £5.7bn in 2026 as the sector continues to expand despite a short-term dip in construction activity.
Research from Property Inspect shows that BTR completions rose sharply in 2025, with an estimated 146,728 units delivered – a 13.4% increase on the 129,355 homes completed in 2024.
That followed strong growth the previous year, when completions jumped from 108,286 units in 2023.
While delivery has accelerated, the number of units currently under construction has fallen. In 2025, 50,597 homes were being built, down 14.7% from 59,294 the year before.
HEALTHY PIPELINE
However, planning data suggests the pipeline remains healthy. The number of BTR homes in planning reached 101,462 in 2025, up 1.7% year on year, with a 17.6% increase in schemes that have secured detailed planning permission and are close to entering the construction phase.
Investment into the sector is also continuing to rise. Property Inspect estimates that £5.3bn was invested in UK BTR developments in 2025, representing annual growth of 6.1% following a 10.3% increase in 2024.
The firm forecasts that total investment will increase by a further 7.7% in 2026, taking annual funding in the sector to more than £5.7bn.
RESILIENT FORWARD-LOOKING SECTOR
Sián Hemming-Metcalfe, Operations Director at Property Inspect, reckons the figures demonstrate the growing importance of BTR in the UK housing market.
She says: “Build to Rent has firmly established itself as one of the most important pillars of the UK’s housing landscape, particularly in major urban centres where demand for high-quality rental homes continues to outstrip supply.
“The fact that completions have risen by more than 13% in 2025, alongside a strong planning pipeline and investment forecast to surpass £5.7bn in 2026, underlines just how resilient and forward-looking this sector has become.
“What sets BTR apart is its commitment to delivering a superior standard of living, from thoughtfully designed communal spaces and on-site amenities, to responsive management and a genuine focus on tenant experience.
“But maintaining that standard requires rigorous, ongoing inspections, proactive maintenance, and robust reporting processes to ensure properties continue to meet the expectations of modern renters.”
