There has been a rise in the number of tenants who seem to be struggling to make rental payments, according to letting agents.
Research from the Association of Residential Letting Agents (ARLA) found, in the fourth quarter 2010, 40% of ARLA members reported an increase in tenants struggling to meet rental payments in the preceding six months – a rise from 35.9% in Q3 2010.
This is the first time the number has increased in 18 months, which ARLA suggests shows that job losses and pay cuts are beginning to take hold, causing tenants to have difficulties.
The situation was least noticeable in central London, where 27.9% of members reported an increase, compared with the rest of the UK (46.4%).
Ian Potter, operations manager at ARLA, said: “At the beginning of last year we predicted that the number of tenants having difficulties paying rent would increase and unfortunately