Shares in buy-to-let mortgage lenders fall after report Reeves plans rent freeze

Shares in some of the UK’s biggest buy-to-let lenders such as Paragon and One Savings Bank have fallen after it emerged that the chancellor may make private landlords commit to a one-year rent freeze. In an effort to protect households from rising living costs as a result of the Iran war, Rachel Reeves is considering whether to ban landlords in England from increasing rents for a limited period of time, the Guardian revealed on Monday night. Shares in buy-to-let lenders fell when the London Stock Exchange opened on Tuesday. Stock in OSB Group, one of the UK’s biggest buy-to-let mortgage providers, was down 3.6% at 510p as investors worried the rent freeze would hurt the FTSE 250 company behind the lenders Kent Reliance and Precise Mortgages. Shares in Paragon Banking Group, another large buy-to-let lender, slumped 2.4% to 733p. The FTSE 250 group is largely focused on lending to professional landlords who own more than three properties. The Treasury said last night it would not comment on “speculation” about the proposal. However, Bridget Phillipson, the education secretary told Times Radio this morning: “That isn’t something that we are actively considering, just to be completely clear, that is not the approach we will be taking. …