Professor Joe Nellis, co-creator of the Halifax House Price Index and economic adviser at MHA, has issued a stark warning about the potential impact of Angela Rayner’s Renters Rights Bill on the UK housing market.

Speaking in the wake of the latest Halifax data — which showed a 0.4% fall in house prices in May — Nellis cautioned that the Renters Rights Bill may undermine landlord confidence and lead to a market imbalance. The proposed legislation, which includes stronger protections for tenants and increased regulation of the private rental sector, could make buy-to-let less appealing.

“These new restrictions could disincentivise landlordism,” Nellis said, “either encouraging landlords to sell up — boosting housing supply — or discouraging new investment, thereby reducing demand. Both outcomes would apply downward pressure on prices and potentially provide some respite for would-be homeowners.”

While the bill aims to enhance tenant protections, Nellis warned that it could destabilise broader market dynamics if it leads to an exodus of landlords or suppresses rental sector investment — with knock-on effects for house price trends, housing availability, and affordability.