The National Residential Landlords Association (NRLA) has cautioned that a potential one-year rent freeze under consideration by Chancellor Rachel Reeves could reduce the supply of rental properties in England.
The proposals, reportedly in early discussion within government, would prevent landlords from increasing rents for a fixed period as part of measures to address cost of living pressures. However, the NRLA argues the policy could prompt landlords to exit the market or reduce investment in rental properties.
Market supply concerns
The landlord organisation stated that whilst tenants might experience short-term relief, longer-term consequences could include fewer available rental homes and upward pressure on rents once controls are removed. The intervention would represent a shift in England’s approach to the rental market and comes as broader reforms to tenants’ rights are being introduced.
Ben Beadle, chief executive of the NRLA, said: “Introducing a rent freeze would be a disaster for landlord and investor confidence and consequently the supply of homes in England. Any hope of growing the market– or even retaining the homes that millions of families rely on – would be lost.”
He added: “There is no evidence to suggest that it would make rents more affordable. In fact, the impact on supply would inevitably drive new rents still higher.”
Timing concerns
The speculation comes as major reforms already causing concern among landlords come into force. The uncertainty follows recent economic headwinds affecting the property market, with demand for rental housing continuing to outweigh supply.
Beadle referenced the housing minister’s view that any form of rent controls would make life more difficult for renters. He warned that even speculation about such measures could prompt landlords to exit the private rented sector.
The NRLA has called for policy to focus on increasing housing supply and improving affordability through targeted support rather than rent controls. The organisation’s position aligns with concerns about regulatory changes affecting the rental market.
The government has not confirmed whether the rent freeze proposals will proceed beyond early discussions.
