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Landlords Blame Growing Legislative Strain as Confidence Plummets

Britain’s landlords are plotting a mass escape from the rental market — with new laws, tax changes and green targets pushing many over the edge.

A shock survey by the National Residential Landlords Association (NRLA) reveals one in four landlords are already preparing to sell up, with another quarter holding fire to see how the government’s Renters’ Rights Bill plays out.

“Unacceptably lengthy” court delays
The Bill — set to scrap Section 21 evictions — is landlords’ No.1 fear, blamed for 41% of the sector’s collapse in confidence. One South West landlord warned the changes will leave owners battling “unacceptably lengthy” court waits when dealing with problem tenants.

‘Making Tax Difficult’
Making Tax Digital is also sending shivers through the sector. From 2026, landlords earning over £50k a year will have to file quarterly tax returns — with the threshold plunging to £20k in 2028.

Only a third feel ready for the change, with one East of England landlord calling it “Making Tax Difficult” and warning it could cripple cash flow.

Tax squeeze pushes sell-offs
Section 24 — which slashed mortgage interest tax relief — is still hammering landlords. More than half say they’ll sell more properties if the rule stays, and over a third are considering quitting entirely.

Green targets add to pressure
Nearly half of landlords own properties rated EPC D or below. With stricter rules looming in 2026, the NRLA warns student landlords could have just one summer to upgrade — despite a shortage of builders and assessors.

The NRLA says the “perfect storm” of tax, regulation and costs will shrink rental supply — hitting tenants hardest.

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