The proportion of landlords owning one or two properties in the UK has declined from 57% to 50% between October 2024 and October 2025, according to data from The Deposit Protection Service (DPS).
The figures, drawn from the organisation’s Private Rented Sector Review based on a survey of more than 1,000 landlords, indicate a shift in the composition of the rental market. Over the same period, landlords with three to five properties increased from 27% to 31%, while those owning 11 or more properties rose from 5% to 8%. The proportion holding six to 10 properties remained static at 11%.
Market restructuring
Matt Trevett, Managing Director at The DPS, commented on the findings: “Taken together, these findings point to a gradual reshaping of the landlord landscape. Smaller landlords now account for a shrinking share of the market, while medium and larger portfolios are becoming more prominent.”
He added: “At a time of ongoing economic pressure and regulatory change, the data suggest the sector is continuing to consolidate.”
Income sources
The report also examined how landlords structure their businesses and derive income. More than a third (36%) identified rent as their main source of income, while 56% reported it was not their primary income source. Only 5% operate through limited companies, with 28% continuing to let as individuals or sole traders.
The data suggests the private rented sector is undergoing structural change, with portfolio concentration increasing among landlords who remain active in the market. The trend reflects broader pressures on smaller-scale property investors operating in the current regulatory and economic environment.
