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The stats that highlight how young families in the UK are being ‘priced out of homeownership’

All Access London Team by All Access London Team
May 23, 2026
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The stats that highlight how young families in the UK are being ‘priced out of homeownership’
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Children are now more likely than working-age adults to live in Britain’s private rented sector, a new report reveals.

This shift is driven by young families, priced out of homeownership, who are forced to rent for longer.

The number of children in privately rented homes has nearly tripled over the last quarter-century, soaring from 1.1 million in 2000-01 to an estimated 3.2 million by 2024-25, according to the Resolution Foundation.

Their analysis shows 23 per cent of children now reside in the sector, compared with 22 per cent of working-age adults.

This demographic change coincides with a private rented sector that has more than doubled in size since the turn of the century.

It now houses 12.9 million people in 5.1 million households, a significant rise from 5.1 million people in 2.5 million households in 2000-01.

This expansion has fundamentally altered tenant characteristics, the research found.

Although those in their 20s are still the most likely age group to be private tenants (37% in 2024-25), the share of people aged in their 30s in this tenure has nearly trebled, from 10% to 28% between 2000-01 and 2024-25.

The foundation said that a lack of security for young families in particular underlines why the rights enshrined in the Renters’ Rights Act 2025, which recently came into force in England, are needed.

Young families, priced out of homeownership, are forced to rent for longer
Young families, priced out of homeownership, are forced to rent for longer (Yui Mok/PA)

The Act signals the end of Section 21 “no fault” evictions, meaning private landlords will not be able to evict tenants without a valid justification.

Landlords must also reasonably consider renters’ requests to live with a pet.

Tenants are also able to challenge unfair rent hikes.

The foundation’s work focuses particularly on households with low and middle incomes, those on low pay or in precarious work, and those who are vulnerable to financial shocks.

It said that, on average, private renters in the UK spend around 35% of their income on housing costs, above the 30% threshold generally considered affordable.

The report said: “The impact that rent has on disposable income is particularly severe for those on lower incomes who receive help towards their rent through the benefit system.”

Hannah Aldridge, a senior research and policy analyst at the Resolution Foundation, said: “For a growing number of people, the private rented sector is less a pitstop on the way to homeownership or a social tenancy, and more a permanent home.

“Children are now more likely to live in private rented homes than working-age adults, and the number of private renters in their 30s has soared as young families are priced out of homeownership.

“Yet private rented accommodation is more likely to be damp and energy inefficient than other tenures, and many vulnerable private renters report feeling so insecure in their homes they are unable to make long-term decisions.

“The Renters’ Rights Act will alleviate some of these concerns by setting minimum property standards and offering more security.”



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Tags: familieshighlighthomeownershippricedstatsyoung
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