According to a new report from the Deposit Protection Service (DPS), the number of protected rental deposits increased by 82,000 in the last 12 months, marking the second time in eight years that this increase was below 100,000.

The report highlights a growing trend of tenants “staying put” due to a lack of affordable properties, even though 36% of those surveyed wanted to move. Of those who did move, a significant portion reported rent increases between 11% and 30%.

The report also reveals that a large number of landlords are considering exiting the market, with 52% contemplating selling some or all of their portfolio. The main reasons cited for this decision are changes in legislation, increased regulation, and the low returns after tax. This trend raises concerns that the supply of rental properties could be further reduced, potentially leading to even higher rents.