The number of homes in the build-to-rent sector grew by 24% over the past year from 93,621 to 115,778, analysis from the British Property Federation and Savills has found.

With around 22,000 new homes completed over the past 12 months, the rate of construction was two-and-a-half times the average for 2017-19.

This figure combined with those homes still under construction and those for which planning approval has been granted, means the sector is on track to expand by 4% to 261,870 homes.

But starts on sites continue to fall, particularly in London.

The number of homes under construction is down by 19% year-on-year to 45,410, which is 30% below the 2017-19 average.

In London, the fall has been steeper, with new starts down by 21% to 13,200.

BPF director of policy Ian Fletcher says: “The number of built-to-rent homes being completed is now at a record high and the sector is starting to make a demonstrable positive impact on meeting housing need and consumer choice.

“This, along with the continued steady growth of the sector is testament to the strength of the product, investor appetite, and consumer demand for homes for rent.

“However, more action is needed to convert planning consents to starts on site and bring new schemes forward through the planning process.

“We need continued growth to service huge rental demand and look forward to working with the new government to make that happen.”