Number of Private Renters Doubled In a Decade

The number of people renting homes in the private sector has nearly doubled in the last ten years jumping from 2.5 million in 2002 to 4.8 million, a new report from Savills and Rightmove shows.  The report - Rental Britain - says private renting accommodation could reach one in five households by 2016, which would require an additional 1.1 million rental homes.  The property specialists forecast that a £200 billion investment will be needed, but only £50 billion of this is expected to come from buy to let funding. They say the country needs institutional investment in new-build rental accommodation, which needs to be recognised by the planning system.  The report says that a shortage in supply is making certain areas unaffordable, with rent rises averaging 5.2% across Britain in 2011.  Read more or download a copy of the report on the Savills website.