The number of landlords planning to sell rented properties has reached its highest rate on record according to new data.

Polling for the National Residential Landlords Association, conducted by research consultancy BVA-BDRC, found that in Q1 2023 some 33 per cent of private landlords in England and Wales said they planned to cut the number of properties they let out. 

This is the highest proportion ever recorded by BVA-BDRC and is up from the 20 per cent giving a similar response in Q1 2022. By contrast, just 10 per cent of landlords now say they plan to increase the number of properties they rent out.

Some 67 per cent of landlords said demand for properties from prospective tenants was increasing. 

In every region of England and Wales more than 70 per cent of landlords said demand had increased, with the East of England recording the highest levels of demand.

The NRLA is warning that the supply crisis is set to deepen further without action by ministers. It is call for the Government to undertake a full review of the impact of tax rises on the sector and develop new, pro-growth policies. 

Alongside this, when ministers end Section 21 repossessions, landlords need confidence that where they have good reason to end a tenancy – such as for tenant anti-social behaviour or rent arrears – the courts will consider and process such cases swiftly. At present it takes an average of around six months between a landlord seeking to possess a property via the courts to it actually happening. 

Association chief executive Ben Beadle says: “Renters are bearing the brunt of the supply crisis. Without change, matters will only worsen over the coming year. The government needs to reverse its damaging tax hikes on the sector, which have discouraged the provision of the homes tenants desperately need.

“Moreover, responsible landlords need to have confidence that they can take back possession of their properties swiftly and effectively when they have good reason to when Section 21 ends.”