London sees surge of new landlords

London has seen a surge of new landlords in the past five years, surpassing other regions of the UK, analysis from Total Landlord Insurance has found.

The region is home to 463,200 landlords, 8.4% more than in 2016/17. This compares to the landlord population rising by 2.4% across the UK over the same period.

London has also seen some of the largest increases in landlord numbers at local authority level. For example the City of London has seen a 37% increase in the number of landlords since 2016/17, with Barking and Dagenham home to the second highest increase at 20%

Steve Barnes, associate director at Total Landlord Insurance, said: “In recent years, the nation’s landlords have been served up an unsavoury cocktail with regard to restrictions to income tax relief, buy-to-let stamp duty increases and changes to capital gains tax.

“Despite this, the number of landlords has not only remained robust across Britain, but we’ve actually seen an increase which is proof, if it were ever needed, that property remains a very attractive investment.

“Of course, this hasn’t been the case completely across the board and some areas have seen a notable decline. Unfortunately for tenants in those areas, this decline in rental investment will only limit the options available to them, driving up the cost of renting in the process.”

The East of England (4%) and South East (3.4%) have also seen some of the largest uplifts in landlord numbers, while the South East is also home to the second highest number at 459,410.

But not every area has seen this figure increase. In Wales, the number of landlords has fallen by -3.9% in the last three years. The South West has seen a decline of -1.5%, with the North East (-0.6%) and Scotland (-0.3%) also seeing a decline, albeit it to a lesser degree.

Outside of London, Slough has seen the largest increase on a local authority level, at 20%. Newham (16%) and Thurrock (16%) also rank within the top five where the largest increase in landlord number is concerned.

However, in Pembrokeshire, the number of operational landlords has declined by -13% since 2016/17, along with Allerdare and Gwynedd. Ceredigion (-12%) and Scarborough (-12%) have also endured some of the largest declines in landlord numbers.

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