A report from ARLA (Association of Residential Letting Agents) states that the last quarter of 2006 saw the UK residential letting market remain relatively strong.

Rent rises have been consistent across the last quarter, with an average of 1.5% per month - this is more than the 0.72% increase seen during the same period for the previous year. Concerns seem now to centre on whether landlords of buy-to-let property are going to ‘cash-in’ on their investments due to the increasing running costs and reduce the number of quality rental property on the market.