Research from The Deposit Protection Service has shown further signs of consolidation in the landlord market over the past year, with the share of respondents owning one or two properties falling while ownership among larger portfolio landlords increased.

The latest Private Rented Sector Review, based on a survey of more than 1,000 landlords and published by the deposit protection provider, found that the proportion of landlord respondents with one or two properties fell from 57% to 50% between October 2024 and October 2025.

Over the same period, the share of respondents with three to five properties rose from 27% to 31%, while the proportion owning 11 or more properties increased from 5% to 8%.

The proportion of landlord respondents with between six and 10 properties was unchanged at 11%.

Matt Trevett, managing director at The DPS, said: “Taken together, these findings point to a gradual reshaping of the landlord landscape.

“Smaller landlords now account for a shrinking share of the market, while medium and larger portfolios are becoming more prominent.”

“At a time of ongoing economic pressure and regulatory change, the data suggest the sector is continuing to consolidate.”

The report also points to a market in which rental income is not the main source of earnings for most landlords. More than a third of respondents, 36%, said rental income was their main source of income, while 56% said it was not their primary source of income.

On ownership structure, just 5% of landlord respondents said they operated via limited companies. A further 28% said they continued to let properties as individuals or sole traders.

LANDLORD PROFILE

The figures indicate that, among those surveyed, smaller private landlords are accounting for a reduced share of the market, while medium-sized and larger portfolios are becoming more established.

For brokers, lenders and other property professionals, the findings add to the picture of a sector being reshaped by cost pressures and a changing regulatory backdrop.