Skip to content

30 Oct, 2023

No Rent Controls in England for Buy-to-Let Landlords

We have some exciting new buy to let deals available right now. Don't miss out and secure the best Liverpool and Manchester investment opportunities, with projected rental yields of 10-15%!

    Property Investors Do Not Need to Worry About Rent Control in England

    According to Housing Secretary Michael Gove, rent controls will not come into effect in England.

    In a letter to the all-party Select Committee for Housing, Michael Gove confirmed that Valuation Office Agency data would not be made public, preventing an assessment to define “justified rent increases”.

    Read on to see how this affects buy-to-let investment properties in 2023.

    Miniature house and wooden blocks with the word rent on marble table.Real estate concept.Rent apartment. Property. Rental, renting home. Buying. Purchase housing

    Claim Your Free Buy to Let Costs Guide

    From management fees to service charge, there are a few costs to consider when investing in buy to let property. Download our free guide today on buy to let costs and get up to date with the latest fees.

    What Rent Controls Are in the UK Currently?

    In Scotland, a rent freeze became law in October 2022. However, it transitioned into a cap of 3%, meaning rents can only be increased by that percentage. In some situations, rents can increase by 6%.

    A similar rent control policy is under consideration in Wales.

    Consider reading our recently updated investment guides for a full breakdown of UK buy-to-let rules.

    'To let' sign in a residential area

    Unit A-401 Back on the Market!

    Completed Manhattan apartment back on the market in our sold out, award-winning development with £9,097 Net rental income. Move quickly to secure this unit.

    What Did Gove’s Letter Say About Rent Controls?

    Gove had the following to say about rents in the private rented sector:

    “Rents in the private rented sector should be agreed between landlords and tenants, and it is not for government to intervene in this. We are clear that landlords must be able to raise rents in line with market prices but that rent increases, which are significantly above this, should not be used as a means of backdoor eviction.

    He said that rent disputes should go to the First-Tier Tribunal and that judging market rent would involve considering numerous factors, such as nearby amenities, fixings quality and more.

    Question mark on a wooden house. Cost estimate. Solving housing problems, deciding to buy or rent real estate. Search for options, choice of type of residential buildings. Property valuation

    Completed 2-Bed only £179,950!

    Limited 2-bed apartments available from £179,950 in our completed and tenanted Liverpool development. Assured Net income available on this back to market deal with major savings.

      What is the Select Committee and What Did They Suggest About Rent Increases?

      The Select Committee is a group of MPS who consider government policy.

      In response to a potential rent increase, they asked the government to clarify how much rents would increase and to create mandatory break periods where tenants could go to the First-Tier Tribunal if they thought their rent had risen above fair local market values.

      Gove rejected the suggestion. He said:

      “The government wants to avoid very large rent increases being used as a backdoor to eviction while ensuring that landlords can increase rents to market prices.

      “In the new system [referring to the Renters Reform Bill], landlords, as they can now, will be able to increase rents once a year at the rate they deem appropriate. It is only if a tenant thinks this is above market levels that they can challenge this at the First-tier Tribunal. When this happens, an independent expert panel will assess the market price for the property. This could be higher, lower or in line with what the landlord set.”.

      Rental Yield

      Get Your FREE Buy to Let Investment Guide

      Contains actionable tips for property investors to help your investment portfolio thrive! Download today for a free copy.

        How Does the UK Rental Market Look Right Now?

        According to the Homelet Rental Index, the UK average rent had increased by 10.09% over the last year. The figure stands at £1,276 PCM.

        According to a property report from Zoopla, the North of England offers some of the best rental yields in the country, with Liverpool commanding an average of 7.21%, thanks to low property values and competitive rents.

        Stay up-to-date with the latest UK property market news with RWinvest. Our daily insights explore the newest property developments, focusing on the most recent data and analysis!

        London, UK-circa 2013: Estate agent "let by" signs line the road in a suburb of London
        Avatar photo

        Dale Barham

        Dale is a property content writer at RWinvest. Keeping a close eye on the UK property market, Dale helps our readers stay informed and up to date on the latest market news and statistics.

        Why Choose RWinvest?

        Here are three reasons to choose RWinvest for your next UK property investment.

        We have over 2,000 five-star Trustpilot reviews

        Multiple Award Icon

        We're a multi-award winning investment company

        We offer investments in the best buy to let areas

        Contact Us

        Contact Us

        Want to Get in Touch?

        Fill in the form to contact us today and a member of our award-winning property team will be in touch to help.

          UM Google Review

          I recently had the pleasure of purchasing a flat from RWinvest, and I must say that my experience has been nothing short of exceptional. From the initial consultation to the final handover, every aspect of the process was handled with utmost professionalism, transparency, and efficiency.

          Umut Mutlu

          Google Reviews Logo
          AB Trustpilot Review

          I want to express my sincere appreciation for the outstanding service I've received during my property purchase. The entire process, from start to finish, has been remarkably smooth and efficient. Furthermore, I'd like to commend the excellent service provided by the team. Your commitment to ensuring a five-star customer experience truly shines.

          Angelina Bulgakova

          PG Trustpilot Review

          Like always it has again been a great experience with RW Invest. Chloe from the client care team was really helpful. She dealt with my queries very efficiently and professionally and supported me very well all the way through to the exchange.
          Andy from sales team was amazing as well in helping me shortlisting and finalising the unit I wanted to buy. Overall great experience

          Prab Gill

          Arrow left
          Arrow right