Most landlords believe power in the private rented sector has shifted towards tenants, even as tenants continue to struggle to find suitable, affordable homes.
And landlords have another reason to feel exposed since breaches of the Renters' Rights Act could lead to penalties of up to £40,000, a minister has confirmed.
In the research from letting agents LRG, it found that 61% of landlords believe that the power shift has been stronger towards tenants during the past two years, while 28% say it is a ‘slight’ shift.
Only 1% said the power shift had moved towards landlords.
Landlords are right
Allison Thompson, Leaders’ chief lettings officer, said: "What this data shows is that landlords and tenants are both describing the same market accurately; they are just experiencing it from different positions.
"Landlords feel the weight of legislation that has genuinely shifted protections towards tenants.
"Tenants feel the weight of a market where there aren't enough homes to choose from. Both things can be true at once."
She added: "Solving one without the other will never be enough.
"What the market needs is more good landlords, letting good properties, supported by good agents who know how to make the relationship work for everyone."
Tenants are struggling
LRG's Spring 2026 Lettings Report, which uses the responses from 650 tenants and landlords, also found that renters continue facing a shortage of affordable homes.
Of those searching for a rented home in the past two years, 78% say they had fewer options, and 32% rent affordability was an issue.
The firm's research also found that 36.3% of England’s renters’ median household income is spent on rent, which is higher than the affordability threshold of 30%.
The average rent rose by 3.5% to £1,381 in the year to April, while the number of homes to rent was reported to be 9% higher than a year earlier.
Misusing a possession ground
Landlords are probably right to feel that power has shifted with news this week that they face substantial penalties if they 'knowingly or recklessly' misuse a possession ground.
Under the Renters' Rights Act, recklessness goes beyond an error or an unsuccessful possession application that had a reasonable prospect of succeeding and instead involves taking an unjustified risk.
Acting knowingly requires greater certainty, with the person sure, or virtually certain, that the court would not grant possession on the ground being used.
Housing minister Matthew Pennycook has confirmed that a landlord or letting agent who breaches the rule could receive a penalty of up to £40,000.
Landlords are feeling pressure
The managing director of Accommodation for Students, Simon Thompson, said landlords and tenants were both feeling pressure.
While landlords were dealing with more regulation and greater enforcement risks, tenants are struggling with rising rents and insufficient stock.
He said: "There's still a need for quality homes for rent, and we still need to see what happens as the Renters' Rights Act beds in.
"There are more responsibilities under the Act for landlords, and we are increasingly seeing how onerous some of the legislation can be with the prospect of £40,000 for misusing a possession ground."
