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Private Rental Sector Doubles as Families Replace Young Singles

Britain’s private rented sector has more than doubled in size since 2000, with families now making up a significant proportion of tenants, according to new research from the Resolution Foundation. The think tank’s analysis shows that 12.9 million people now live in 5.1 million privately rented households, compared to 5.1 million people in 2.5 million households at the start of the century.

The research highlights a major demographic shift, with 3.2 million children currently living in privately rented homes—nearly triple the 1.1 million recorded in 2000-01. Approximately 23% of children now live in rental properties, compared to 22% of working-age adults. This marks a fundamental change in the sector’s tenant profile.

The Resolution Foundation found that while renters in their 20s remain the most likely age group to rent privately, the largest growth has occurred among those in their 30s. The proportion of people in their 30s living in the private rented sector has risen from 10% in 2000-01 to 28% in 2024-25. More than a quarter of under-1s now live in privately rented homes, with more families remaining in the sector for longer periods.

The findings indicate that for many, private renting is becoming a long-term housing solution rather than a temporary step towards home ownership or social housing. This shift is driving increased focus on housing standards and stability. According to the research, one-in-six private renters reported that their housing situation is not secure enough for them to make long-term decisions.

Landlords and letting agents are facing increased scrutiny over compliance and regulatory pressures. The demographic shift towards families with children as long-term tenants is likely to intensify demands for improved housing standards and greater security of tenure. The Resolution Foundation suggests that letting agents and landlords may need to adapt their business models to accommodate tenants who view private renting as a permanent home, potentially affecting property management strategies and investment decisions.