CHILDREN are more likely than working-age adults to live in Britain’s private rented sector, as young families find themselves priced out of homeownership, according to a think tank.

The number of children living in the private rented sector has nearly tripled over the last quarter of a century, from 1.1 million children in 2000-01 to 3.2 million in 2024-25, the Resolution Foundation reveals today.

It said 23 per cent of children live in the private rented sector, compared with 22 per cent of working-age adults. 

Britain’s private rented sector has more than doubled in size since the turn of the century, the foundation said.

Some 12.9 million people, living in 5.1 million households, now call it home, compared with 5.1 million people, in 2.5 million households, in 2000-01.

Although those in their twenties are still the most likely age group to be private tenants, the share of people aged in their thirties in this tenure has nearly tripled.

The foundation said that a lack of security for young families in particular underlines why the rights enshrined in the Renters’ Rights Act, which came into force in England on May 1, are needed.

The Act signals the end of Section 21 “no-fault” evictions, meaning private landlords will not be able to evict tenants without a valid justification, and tenants are able to challenge unfair rent hikes.

Campaigners have welcomed the Act as the biggest reforms to renting in nearly 40 years, but said that there is more to do to make renting affordable. 

On average, private renters in Britain spend around 35 per cent of their income on housing costs, above the 30 per cent threshold generally considered affordable.

The report said: “The impact that rent has on disposable income is particularly severe for those on lower incomes who receive help towards their rent through the benefit system.”

Hannah Aldridge, of the Resolution Foundation, said: “For a growing number of people, the private rented sector is less a pitstop on the way to home ownership or a social tenancy, and more a permanent home.

“Yet private rented accommodation is more likely to be damp and energy inefficient than other tenures, and many vulnerable private renters report feeling so insecure in their homes they are unable to make long-term decisions.”