The UK’s independent landlord sector is facing a mass exodus, with a third of letting agents reporting a sharp rise in private buy-to-let investors offloading their portfolios amid growing concerns over the Government’s Renters’ Rights Bill.
According to a new industry survey by Alto 34% of letting agents said they had seen more landlords selling up and exiting the market in recent months.
The findings, based on responses from 250 UK agents, point to mounting unease over legislative change and rising operational costs.
Almost all agents surveyed (93%) admitted concern about losing their independent landlord clients altogether, while 70% said some of their landlords had already sold properties in the past year.
RENTERS’ RIGHTS BILL
The Renters’ Rights Bill – which proposes sweeping reforms including the abolition of fixed-term tenancies and the scrapping of Section 21 ‘no-fault’ evictions – has split opinion.
While tenant advocacy groups have welcomed the move, agents and landlords warn that the changes could destabilise the private rented sector and drive up costs for tenants.
Riccardo Iannucci-Dawson, Chief Executive of Alto, says: “Independent landlords are the lifeblood of the sector. If we lose them, tenants lose choice and stability – and we risk pushing rents even higher.”
Many of the landlords exiting the market are individuals who own just one or two properties, often acquired as retirement income or through inheritance.
Rising mortgage rates, tighter energy efficiency requirements, and the growing regulatory burden are adding to the pressure.
UNDER PRESSURE
Iannucci-Dawson adds: “Letting agents are facing unprecedented pressure – from legislative upheaval to operational chaos.
“At Alto, we’re not just flagging the challenges of reform. We’re building tools to help agents meet them head-on.
“From automating Right to Rent checks and periodic tenancy creation to enforcing rent review limits and managing tenant requests more transparently, we’re making compliance faster, easier, and more robust.
“These updates aren’t theoretical either, they’re part of a focused product roadmap designed to reduce admin, cut risk, and give agents the confidence to navigate reform without losing landlords or lettings income.”
