Typical UK monthly rent up only £16 in the past year says HomeLet

Average UK rents have risen 1.8 per cent in the last year, equating to a typical £16 monthly hike.

That’s the view of HomeLet, which says rents increased in 10 of the 12 areas of the country in June - only Wales and the North East saw a drop. 

As well as this, Wales has seen the average rental price fall by 0.8 per cent over the last year, the only region to see a decrease in prices in the last 12 months.

So the average rent UK-wide is now £924 pcm, up by 1.8 per cent on the same time last year; when London is excluded, the average rent in the UK is now £767, up by 1.3 per cent on last year.

In the capital itself rents are £1,596 pcm, up 4.7 per cent over 12 months. However, this is still lower than the rental payment in London two years ago.

Rents in Northern Ireland are showing the highest regional year-on-year increase, up 5.1 per cent; the biggest regional monthly rise in June alone was the West Midlands, up 1.6 per cent. 

“We don’t yet know if the government’s squeeze on private landlords via taxation changes and more regulation will discourage their continued participation in this important sector and begin to reduce supply. Any constriction of the number of properties available for rent can’t be good news for tenants if all it achieves is to increase rents” says Martin Totty, chief executive of HomeLet.

“However, the demand for rental properties remains strong and will continue in the near term, which has to be positive for property owners. If some landlords do choose to sell up there are many who will see that as an opportunity to improve their yields as demand still exceeds supply, a point many commentators have made via the many consultations government have invited on their proposals for the private rental sector.”