Estate agents reported that 30 per cent of landlords increased rents last month, according to data from Arla Propertymark.

This compares with 28 per cent of landlords increasing rents in November, the first time this figure has risen in four months.

However, December’s rise is still lower than 37 per cent of landlord’s raising rents in October and September, when the figure stood at 40 per cent.

The number of new tenants fell slightly in December to an average of 64 registered per branch from 65 in November, says the letting agents’ body.

This compares with 56 registered per branch in December 2019, an 8 per cent rise.

The West Midlands recorded the highest number of new tenants per branch with an average of 87 last month, with London in second with 73.

The number of properties managed per letting agent branch slipped from 214 in November to 204 last month, a five per cent fall.

This is a decline from December 2019, when branches managed 206 properties.

Arla Propertymark chief policy advisor Mark Hayward says: “The slight fall in prospective tenants and properties managed per branch during the month of December is consistent with the usual seasonal lull, and testament to the current steady rental market.”

He adds: “Letting agents are continuing to support landlords and their tenants during these ongoing difficult times, and it is imperative that tenancies are maintained to keep the rent flowing. The continuity of the private rental sector is vital to the nation’s economic bounce back from the COVID-19 pandemic.”