The number of companies set up to hold BTL property in the UK has surged 332% over the last nine years, reaching over 400,000 in February 2025 according to research by Hamptons.
The firm used data from Companies House to find that there are more BTL companies registered than any other business, with the number reaching 401,744.
Hamptons estimated that 70% to 75% of new BTL purchases now go into a company structure.
The research went on to say that in 2024 alone, 61,517 new limited companies were set up for BTL purposes, marking a 23% increase from the previous year, which was an all-time high.
Around 680,000 properties were held in limited company structures across England and Wales, with the number increasing on an annual basis by 70,000 to 100,000.
However, the research found that not all of these companies represent new entries to the rental market. Many existing landlords were transferring properties from personal ownership into limited companies.
London was home to 30% of all BTL companies.
Despite the rise, Hamptons believes that the increase in stamp duty surcharge could deter some landlords from transferring existing properties into company structures, while falling mortgage rates could weaken the benefit of incorporation for some investors.
