ABSTRACT
This chapter begins by examining the nature of the sector in terms of the properties, tenant demand, rents, and the types of landlords who supply accommodation. It then reviews the processes of the decline, the significance of deregulation and the role of housing benefit in supporting rents. The private rented sector does not have a single, homogenous character. It refers to a range of different kinds of property, with different kinds of landlord, in a range of varied local markets. The private rented sector has been in decline for much of the twentieth century. The fundamental problem lies in its lack of financial viability even without rent controls. Its future prospects depend not only on long-term stability in the terms of private renting, but on the maintenance of an adequate rate of return, and frankly that seems very unlikely across the whole sector. Finally the chapter looks at the future of the sector and draws some conclusions for policy.
