Last week, the Daily Mail reported on the growing disruption across the UK rental market following the proposed Renters’ Rights reforms. The article highlighted increasing pressure on landlords, shrinking supply, and rising tenant demand, while noting that cities such as Manchester and Hull continue to offer some of the strongest rental yields in the country.
Source: Daily Mail, May 2026
Stuart Williams, Co-Founder of Thirlmere Deacon, commented:
“With the ever-changing landscape for buy-to-let owners and property investors, staying ahead of where the strongest returns can still be achieved has become absolutely integral.
At a time where every penny is being squeezed out of the market through increasing legislation, taxation and bureaucracy, we are still helping investors secure strong returns in locations backed by genuine economic fundamentals and long-term growth potential.
We always encourage investors to view property through a medium to long-term lens. This is a marathon, not a sprint. Whilst global geopolitics and domestic policy can heavily influence short-term sentiment, the strongest strategy has always been to focus on long-term fundamentals and demand drivers.
Two years ago, we launched an off-plan development in Hull that has now completed and is generating strong double-digit returns for investors. The city’s economic outlook continues to strengthen, driven by investment into renewable energy, expansion of the Port of Hull, government levelling-up funding, and continued cultural and tourism initiatives.
What makes Hull particularly attractive is the juxtaposition between these strong economic indicators and the relatively low entry price point for investors. In many cases, the affordability of the market still allows for yields that are becoming increasingly difficult to find elsewhere in the UK.
Similarly, Manchester continues to demonstrate why it remains one of the UK’s strongest performing regional cities, with sustained tenant demand, population growth, and major ongoing investment helping support both rental performance and long-term capital growth potential.”
Why Investors Are Focusing on Yield Again
With increasing legislation, taxation and pressure on landlords continuing to reshape the buy-to-let landscape, investors are once again prioritising strong rental yields and reliable cash flow over speculative short-term gains.
In many cases, high-yield property investments in locations such as Manchester and Hull are helping investors position themselves more defensively against rising costs, whilst still generating meaningful passive income and long-term growth potential.
As margins tighten across the sector, assets with strong fundamentals, lower entry points and sustainable tenant demand are becoming increasingly attractive for investors looking to ride out the current market cycle and maintain positive returns net of tax over the long term.
To discuss current investment opportunities in Manchester, Hull and other high-yield UK locations, contact the team at Thirlmere Deacon.
