Leading PRS platform RentGuarantor has reported a big increase in demand for its service in advance of the Renters’ Rights Bill (RRB) suggesting many landlords are asking more tenants for a ‘guarantor’ before rent up-front is outlawed by the Bill later this year.

Unveiling the latest set of results, the company’s Non-Executive Chairman Graham Duncan says revenue increased by 72%, tenant contracts by 50% and the average contract price by 14%.

And his firm’s new ‘three-year guarantee’ contract is proving popular as a result of the increasing number of longer-term tenancies.

Rent arrears

At the same time, with the costs of living rising and affordability stretched, rent arrears claims have come close to doubling, the firm says.

Another reason why rent guarantors will increasingly be requested is the abolition of no-fault Section 21 evictions  as landlords try to hedge against any increase in arrears.

This progress has been achieved at a time of considerable change in the PRS market.”

Duncan says: “This progress has been achieved at a time of considerable change in the PRS market. The Renters’ Rights Bill, introduced by the Labour Government in September 2024, is currently going through the House of Lords.

“Designed to overhaul rental laws, the Bill aims to enhance tenant protections while introducing significant changes for landlords.

“If passed, these reforms will reshape tenancy agreements, landlord obligations, and tenant rights across the UK.

“The Bill is expected to become law by summer 2025. In this environment of change for both landlords and tenants, we have carefully managed the risks and opportunities to our growth strategy.”