Editor's note: This brief was summarised by The Property AI Team from a report by Property118. Read the original article for full details.
Rent arrears fall to record low, Paragon Bank data shows
Landlord confidence is growing as the number of landlords experiencing rent arrears has dropped to a record low, according to new data. Research by Paragon Bank indicates that in the second quarter of 2026, 26% of landlords reported experiencing rent arrears during the previous 12 months.
This figure represents a decrease of four percentage points from 30% reported previously. The data highlights a positive trend for landlords, letting agents, and inventory clerks, as fewer tenants are falling behind on rent payments.
The findings suggest improved stability in the UK rental market, which may impact the day-to-day operations of letting agents and inventory professionals. Lower rent arrears can lead to smoother tenancies and reduced administrative burdens related to arrears management.
Source: Property118