The number of households in the private rented sector at risk of homelessness due to landlords selling up has increased by a third since the end of last year.

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The trade body’s analysis underscores the importance of encouraging responsible landlords to remain in the market.

Government data reveals that between October and December 2023, 5,400 households in England's private rental sector sought council support to prevent homelessness following their landlord's decision to sell. This figure increased to 7,130 households between April and June 2024.

The data reveals that property sales are the leading cause for landlords to terminate tenancies, occurring nearly three times more frequently than the second most common reason.

Whilst the Renters’ Rights Bill will increase the time before a landlord can sell a property, the trade body argues that more needs to be done to encourage responsible landlords to keep rental properties in the first place.

Government figures indicate that 31% of landlords intend to sell their rental properties within the next two years, a rise from 22%. Conversely, only 7% plan to introduce new rental homes in the same period, down from 11% in 2021.

With an average of 21 potential tenants vying for each available rental home, the trade association is urging the government to revise the taxation of rented housing to support and incentivise the supply of new, high-quality homes.

Additionally, the association emphasises the need for responsible landlords to have confidence that once ‘no fault’ repossessions are abolished, legitimate possession cases will be handled much more efficiently by the courts than they currently are.

Consequently, it is urging the government to release a comprehensive plan to address and improve what Housing Minister Matthew Pennycook acknowledges as a failing court system.

A spokesperson for the trade body, says: “Right across the country it is tenants who are suffering as landlords decide to sell up. No amount of changing the rules about when landlords can sell will address the central problem in the rental market, namely a chronic shortage of homes to meet demand.