Landlords “inject £3.61bn annually into local economies across the UK”

4th February 2020

Landlords provide vital support to local tradespeople, choosing them to repair and renovate their properties and spending an average £1,443 each in the last 12 months, new research has found.

Four in five (81%) landlords use local tradespeople to maintain their rental properties – and say trust and a wish to support their community are the main reasons for doing so.

Of those surveyed, 90% of landlords said they would continue using or increase the amount they use local plumbers, builders, letting agents and other tradespeople in 2020.

There are 2.5m landlords currently operating in the UK, and together they inject £3.61bn into local businesses across the country, Aldermore Bank’s research found. The reasons they gave for going local were:

  • Trust (39%)
  • They don’t live locally so are reassured by having someone local to carry out maintenance (26%)
  • Want to support the local economy (31%)
  • Local tradespeople tend to be cheaper and so keep costs down (24%)

“We use trusted local contractors”

Anya Mathewson, Managing Director of Letters Ltd, said: “These figures reflect the values that Letters has maintained over 32 years as an independent local business in York.

“We use trusted local contractors whenever possible to maintain the properties we manage, to support our economy and ensure continued accountability. Local businesses are often better value for money, and their local knowledge and sense of community responsibility can prove invaluable.”

Of the £3.6bn spent in the last 12 months, UK landlords paid £442m to general handy-workers and £396m to plumbers. They spent £375.4m on electricians, £377.3m on builders, and £243.2m on cleaners. Their combined spend on letting agents was £879m.

Landlords create local ecosystems

Damian Thompson, Group Managing Director of Retail Finance at Aldermore, which supplies mortgage finance, said: “Landlords are an integral part of local communities across the UK, providing investment and fulfilling the demand of the expanding private rented sector.

“Around every landlord is an ecosystem, in which they pay local tradespeople, like plumbers, builders, decorators, for jobs and those companies in turn train up employees and pay their own local suppliers for services also. The contribution landlords make to local communities extends much wider than merely providing rental accommodation.”

If you’re a landlord or potential landlord looking for advice on renting out properties in York and the surrounding area, please contact our experienced and knowledgeable team. We’re always happy to help!