Britain’s private rented sector has more than doubled in size since 2000, with families now constituting a significant proportion of tenants, according to new research from the Resolution Foundation.
The think tank’s analysis reveals that 12.9 million people now live in 5.1 million privately rented households, compared to 5.1 million people in 2.5 million households at the turn of the century.
Children now more likely to rent than adults
The research found that 3.2 million children currently live in privately rented homes, nearly triple the 1.1 million recorded in 2000-01. Approximately 23% of children now live in rental properties, compared to 22% of working-age adults, marking a fundamental shift in the sector’s demographic composition.
Hannah Aldridge, Senior Research and Policy Analyst at the Resolution Foundation, noted that whilst renters in their 20s remain the age group most likely to rent privately, the greatest growth has occurred among those in their 30s. The proportion of people in that age group living in the private rented sector has risen from 10% in 2000-2001 to 28% in 2024-2025.
More than a quarter of under-1s now live in privately rented homes, with increasing numbers of families remaining in the sector for extended periods.
Implications for landlords and agents
“For a growing number of people, the private rented sector is less a pitstop on the way to home ownership or a social tenancy, and more a permanent home,” Aldridge said.
The changing tenant profile is driving increased focus on standards and stability across the sector. One-in-six private renters reported that their housing situation is not secure enough for them to make long-term decisions, according to the research.
The findings come as landlords face increased scrutiny over compliance failures, with regulatory pressures mounting across the sector. The demographic shift towards families with children as long-term tenants is likely to intensify demands for improved housing standards and greater security of tenure.
The Resolution Foundation’s research suggests that letting agents and landlords will need to adapt their business models to accommodate tenants who view private renting as a long-term housing solution rather than a temporary arrangement, potentially affecting property management strategies and investment decisions in the sector.
