A government minister has inadvertently revealed that the shortage of housing supply is exacerbating rising rents.

This perspective comes from a sector the association in response to comments made by Treasury Minister Emma Reynolds MP, who previously served as Labour's shadow minister.

Reynolds announced in the Commons that rental prices “are ultimately determined by the total supply of housing, relative to demand”,

A spokesperson for the association comments: “The Minister is right. Rents are going up because there are simply not enough properties to meet demand, and measures proposed by the Government are going to worsen an already dire situation.”

Data from the property portal Zoopla reveals that there are, on average, 12 prospective renters vying for each available rental home, a figure that has doubled since before the pandemic.

Additionally, government statistics indicate that 31 percent of landlords plan to reduce the number of properties they rent out, up from 22 percent who expressed the same intention in 2021.

The spokesperson comments: “Changes such as the hike to stamp duty on the purchase of homes to rent that was announced in the Budget will only further dampen supply.

“Likewise, the lack of preparation for the increased pressures on the courts due to the Renters’ Rights Bill will deter investment in new homes to rent.

“It is also of serious concern that proposals to improve the energy efficiency of private rented housing contain no detail of the financial package needed to support investment in the required works. Without such support, these changes will pile yet more cost pressures onto the sector.