Almost one in five tenants have been forced to relocate five times in under five years due to landlords leaving the rental market, new research from Cornerstone Tax has revealed.
The study found that 19% of renters have had to find new accommodation through no fault of their own, as landlords either sell up or pass on soaring mortgage costs. Meanwhile, demand for rental properties continues to outstrip supply, with 17% of tenants admitting they have lost out on a home due to bidding wars in the past two years.
David Hannah, Group Chairman of Cornerstone Tax, has urged the government to take urgent action to address the wider housing affordability crisis by providing incentives for landlords to remain in the market.
Housing Shortages and Policy Failures
The government’s ambitious plan to develop 12 new towns is expected to rely heavily on corporate landlords, with build-to-rent properties set to make up a quarter of the total housing stock. However, research from the Institute for Public Policy Research suggests that more than 1.4 million homes have been granted planning permission since 2007 but remain unbuilt.
Hannah argues that the government’s failure to introduce meaningful housing reforms has exacerbated the crisis. He criticized policy decisions such as the removal of Multiple Dwellings Relief (MDR), high stamp duty costs, and the increased surcharge on second homes, which he says have deterred investment in the sector.
The Financial Burden on Buyers and Landlords
Exclusive data from Cornerstone Tax highlights the strain these policies have placed on both landlords and prospective homeowners. The findings show that 26% of Britons are unable to afford homeownership due to stamp duty costs, while 15% of landlords are considering selling their properties due to rising expenses. Additionally, 18% of potential buy-to-let investors have been put off by increasingly complex regulations.
Hannah warned that without immediate intervention, the situation would only worsen.
“The government must urgently recognise the pressing need for drastic changes to the housing market,” he said. “The abolition of MDR was counterproductive and will lead to fewer homes being built, discouraging both domestic and international investment in the housing sector.”
He further argued that the increased second home surcharge and stamp duty reforms would shrink housing availability and make it even harder for first-time buyers to step onto the property ladder.
“New policies must prioritise affordability, accessibility, and support for developers building in Britain,” Hannah urged. “Unless the government listens to property firms and industry stakeholders, this crisis will continue to spiral, causing chaos for years to come.”