Revealed: over half of landlords have lost money due to Covid-19


Over half of UK landlords have lost money due to Covid-19, according to a report from Simply Business.

Our research shows that over one in ten landlords lost £10,000 or more, with over a third turning to personal savings to make up for lost rental income.

We spoke to over 500 landlords from across the UK to get an in-depth understanding of the cost of the pandemic, whether government support went far enough, and the impact on the landlord-tenant relationship.

Download the Covid-19 landlord report for all our data

This article gives a round-up of our data, but to find out the full impact of Covid-19 on the UK’s landlords and tenants, download our in-depth report.

Get your free report on the impact of coronavirus on landlords

Download your free in-depth report. Find out more about how the pandemic has affected landlords and tenants.

Over half of landlords lost money due to the pandemic

Our survey found that over half (51 per cent) of landlords lost money as a result of Covid-19, due to reasons such as rent arrears and not being able to find suitable tenants.

The highest proportion of landlords (47 per cent) lost between £2,001 and £10,000, while 14 per cent lost more than £10,000.

To make up for the loss of rental income, landlords took the following steps:

  • used personal savings (25 per cent)
  • reduced living costs (8 per cent)
  • requested a buy-to-let mortgage payment holiday (7 per cent)

Almost half (47 per cent) of the landlords we spoke to think it will take more than six months to recoup their losses, with some suggesting it could take as long as five years.

Are landlords optimistic about the future?

Despite the challenges of the last 18 months, the majority of landlords (59 per cent) still think letting a property is worthwhile, with 31 per cent telling us they feel positive about the future.

Further regulation of the rental market is the biggest worry for 35 per cent of landlords, while 17 per cent are concerned that they may find it harder to find good tenants in the future.

Although the pandemic has caused widespread economic uncertainty, average house prices have remained steady thanks in large part to the stamp duty holiday, which finishes at the end of September.

Here’s what the landlords we spoke to thought about the long-term impact of the pandemic on property prices:

  • 56 per cent think property prices will get somewhat/significantly higher in the long-term
  • 21 per cent think average prices will stay the same
  • 12 per cent think they’ll get somewhat/significantly lower

Don’t forget to download our full report for further insight on how Covid-19 has affected the landlord-tenant relationship and whether landlords felt supported by the government during the pandemic.

How has the pandemic affected you financially? Let us know in the comments below.

Get set with tailored landlord cover

Over 200,000 UK landlord policies, a 9/10 customer rating and claims handled by an award-winning team. Looking to switch or start a new policy? Run a quick landlord insurance quote today.

Conor Shilling

Conor Shilling is a professional writer with over 10 years’ experience across the property, small business, and insurance sectors. A trained journalist, Conor’s previous experience includes writing for several leading online property trade publications. Conor has worked at Simply Business as a Copywriter for three years, specialising in the buy-to-let market, landlords, and small business finance.

This block is configured using JavaScript. A preview is not available in the editor.