The Competition and Markets Authority (CMA) is launching an investigation into how letting agents operate within the private rental sector, with a view to shedding a light on the experience of renters and explore whether more could be done to help landlords and intermediaries to understand their obligations.

The CMA will spend around three months looking at consumer protection in the rental sector across the whole of the UK, which will help inform further work.

The CMA will examine tenants’ experiences, including finding somewhere to live, renting a property, and moving between homes.

Aside from look at the role of letting agents, the project will also assess the relationship between tenants and landlords.

A market study into housebuilding has been also been launched by the CMA, following concerns that developers are failing to deliver the homes people need at sufficient scale or speed.

The market study will examine housebuilding in England, Wales and Scotland.

The CMA’s market study into housebuilding will focus housing quality; land management; local authority oversight; and innovation.

The watchdog will explore how councils oversee the delivery of homes and how developers negotiate affordable home requirements.

And it will consider whether factors may be holding builders back from adopting new building techniques or moving towards more sustainable, net-zero homes.

The CMA must, within 12 months of publication of a market study notice, publish a report setting out its findings and any proposed action.

Sarah Cardell, chief executive of the CMA, said: “The quality and cost of housing is one of the biggest issues facing the country.

“Over the last few years, the CMA delivered real change for leaseholders, with tens of thousands of homeowners receiving refunds after being overcharged unfair ground rents.

“With that work nearly finished, we’re now looking to probe in more detail two further areas – the housebuilding and the rental sectors.

“If there are competition issues holding back housebuilding in Britain then we need to find them. But we also need to be realistic that more competition alone won’t unlock a housebuilding boom.

“In the same vein, we want to explore the experiences people have of the rental sector and whether there are issues here that the CMA can help with.

“We will, of course, be guided by the evidence, but if we find competition or consumer protection concerns, we are prepared to take the steps necessary to address them.”