A report, by PwC, found that the private rented sector in London alone generates £14.6 billion in gross value added (GVA) to the UK economy. That’s a massive 2.6% of the total GVA for the entire region. It’s not just about the numbers; this money helps create jobs, build infrastructure, and keep the city running smoothly.

More good news: London’s private rental market directly and indirectly supports a staggering 128,000 jobs! That’s a lot of people who rely on the success of the sector for their livelihoods.

Building, Repairing, and Keeping the City Moving

The report also highlights how the private rented sector drives economic activity in key industries like construction, building maintenance, and public administration. It’s a win-win situation, with landlords investing in property, creating jobs, and contributing to the wider economy.

A Vital Part of London’s Success

As Richard Rowntree, managing director of mortgages at Paragon Bank, points out, London is a city that relies on its thriving rental sector. “London is a transient city,” he says, “and as such, requires a thriving private rental sector to serve the capital’s tenants.”

It’s clear that the private rented sector isn’t just about providing homes for tenants. It’s about supporting the city’s growth and providing a vital economic engine that benefits everyone. So, if you’re a landlord in London, you can be proud of the positive impact you’re making on the city and its economy.