The average rent across England and Wales is 3.1 per cent higher than a year ago - the largest annual rise in nearly two years, according to LSL Property Services.
In real terms, average residential rents in England and Wales now stand at £766, compared to £763 in January 2015 and £743 in February last year.
Rents in the East of England have rocketed up to £787 in February 2015 compared to £714 a year ago. This represents a 10.2 per cent year-on-year increase for rents in the region - the largest growth seen in any region in over five years.
The North West (-0.3 per cent) and North East (-0.4 per cent) were the only regions to see a year-on-year drop in rents, while prices in the West Midlands and South West remained stable compared to last year.
Here we have a perfect example of rents following the jobs market. With growth gathering around London, renters are moving to areas that allow them to commute into the capital. Rents are rising in line with the salaries of these new tenants. It's a clear illustration of why new builds are important to the wider economy says LSL spokesman Adrian Gill.
The gross rental yield on a typical rental property in England and Wales now stands at 5.0 per cent, just a 0.2 per cent down from a year ago.
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