May was the first full month that the Tenants’ Rights Act was in place, and the season’s momentum continued undeterred, according to the Foxtons May 2026 Rental Market Index.
Applicant demand rose sharply month over month, supply held steady compared to last year and the market remained balanced through it all.
Competition has declined compared to last year, with the number of new tenants per new instruction falling by 8.6% year-on-year. On a monthly basis, the ratio also decreased by 5.5%, indicating that the increase in available supply is helping to accommodate the rise in applicant demand.
Demand for applicants strengthened in May, with tenant registrations increasing 13.7% month-on-month as activity continued into the peak summer rental period. Despite this improvement, demand remained 7.1% below last year’s levels, showing that although tenant activity has recovered, it has not returned to the high levels seen in 2025.
Supply continued to improve in May, with new listings on the market up 3.0% year-over-year and 5.7% month-over-month. According to Foxtons, this growth in available stock is helping to create more balanced market conditions, giving tenants greater choice while supporting continued activity across the market. The increase in listings also indicates that owner confidence remains intact after the law is implemented Tenants’ Rights Law.
Commenting on the latest figures, Gareth Atkins, managing director of lettings at Foxtons, said: “A month on, the Tenants’ Bill of Rights has left the London market largely unchanged. It’s very much business as usual. Tenants have seen a slight increase in available stock, with some additional movement driven by the initial impact of the new legislation, but within a fortnight the market has settled back into its normal rhythm.”
He added: “Demand remains steady and prices are stable, with renters focusing on finding the right property rather than chasing discounts. For landlords, the key is to focus on the basics: the right tenant insurance and a well-maintained property, because these are the factors that will consistently win in a stable market.”
