The growth in holiday lets is accountable to a ‘skewed housing policy’ that favours holiday homes over long term properties to rent, according to the Residential Landlords Association.

Data collected by Arla Propertymark shows that near a million properties could be unavailable for longer-term rent as an increasing number of landlords exit the market favouring short-term lets.

In reference to the Arla’s data, the RLA argues that this is in large part because the tax system favours holiday homes over the provision of long-term homes for private rent.

Residential Landlords Association policy director David Smith says: “Today’s report highlights how inconsistent the government’s approach to the rental market now is.

“On the one hand the ministry of housing wants to encourage more landlords to offer properties to tenants on a long-term basis. On the other hand, the treasury has a tax system which makes renting out holiday homes more appealing at a time when demand for homes to rent is outstripping supply.

“What we need is a tax system that supports and encourages the majority of hard-working landlords doing a good job to provide the long-term, quality rental accommodation tenants desperately need. We call on the chancellor to do this in his forthcoming budget.”