Buy-to-Let & Landlord News Round-Up | Oct 3, 2025

Here’s this week’s Buy-to-Let & Landlord Roundup - what’s moving, what’s looming, and what matters to UK landlords now:

Mortgage & Funding

• BTL pricing still comparatively low: average buy-to-let fixes remain just above 5%, with 2-year deals generally pricing under 5-year equivalents. Lenders’ product ranges remain broad.
• Base rate on hold: the Bank of England held Bank Rate at 4.00% at the September meeting, keeping near-term remortgage math stable.
• Cover ratios improving: lower rates versus last year have pushed the average interest cover ratio (ICR) to ~202% (Q1 2025), signalling slightly easier stress tests.

Policy & Regulation

• Renters’ Rights Bill in final stages: the Bill remains in Commons/Lords “ping-pong”, with the next Lords date scheduled for 14 October; final shape is close but not yet law. Plan for periodic tenancies, tighter rent-increase rules, and the end of Section 21 once enacted.
• Scotland: long-term rent caps approved: councils will be able to cap annual rent rises at inflation +1pp (max 6%). Check local council implementation for timings and exemptions.

Rental Market Conditions

• Rents still rising on official measures: ONS reports continued annual growth in private rents across the UK; pace varies by nation/region.
• Supply tightness persists: RICS contributors report falling landlord instructions and expectations of further rent growth into year-end, reflecting constrained new listings.

What This Means For Landlords

• Refinance windows are open: with 2-year pricing keen and product choice wide, review remortgages and portfolio gearing while Bank Rate holds. Stress-test against a modest rate uptick.
• Get reform-ready: audit tenancy docs, notice workflows and possession strategies ahead of the Renters’ Rights Bill; assume Section 21 removal and periodic-only tenancies.
• Scotland strategy: if you let in Scotland, model rent-cap scenarios at the property and portfolio level; watch council-level guidance.
• Protect yield: factor realistic rent growth (ONS/RICS), potential voids, and compliance capex into 12–24-month cashflows; keep ICR and lender stress tests front-of-mind.

For tailored advice on refinancing, compliance, or portfolio planning, speak to your local Lettings Specialist today - they’ll guide you through the latest changes and opportunities in your area.