Fewer new purpose-built rental homes are getting under way across the UK, according to the latest quarterly report from Real Estate:UK, prepared by Savills. Its third-quarter 2026 figures show annual construction starts fell by 63% to 4,696 homes.
The report, published on 26 October, also records a 30% year-on-year fall in the number of homes under construction. Annual completions have exceeded starts for eleven consecutive quarters.
Starts and completions tell different stories
These measures describe different stages of development. A start is a home entering construction; a completion is a finished home. More homes can therefore reach completion while fewer replacement projects get under way.
Real Estate:UK puts the total build-to-rent sector, including its development pipeline, at 310,368 homes. Of those, 168,050 are completed. The larger figure should not be read as the number of homes already available to rent.
Build-to-rent schemes are developed for the rental market, generally with common ownership and management. They form one part of the private rented sector; these figures do not measure every home let by an individual landlord.
For small landlords, the report offers context about future rental supply rather than a forecast for an individual property’s rent or demand. National construction figures alone cannot establish what is happening in your local lettings market.
For a separate explanation of the planning framework in England, see our earlier report on build-to-rent affordable-rent guidance.
Sources
- Real Estate:UK: Build-to-Rent Report Q3 2026, prepared by Savills, published 26 October 2026.
- GOV.UK: Build to rent, England planning guidance, last updated 8 May 2026.
