Tenants now pay 2.6 per cent more rent on average than they did a year ago according to the government’s Office of National Statistics.
In the national regions rents grew by 2.7 per cent in England, 0.3 per cent in Wales and 0.8 per cent in Scotland. Predictably rents rose highest in London, up 3.9 per cent.
For the past four year rents for England have shown 1.4 per cent to 3.0 per cent annual rises. Excluding Greater London, the current data shows English rent rising 2.0 per cent over the past year.
Steve Bolton - founder of Platinum Property Partners and one of two landlords mounting a possible legal challenge to government efforts to reduce mortgage interest tax relief on buy to let properties - says: “Ending tax relief for landlords and levying a higher rate of stamp duty will ultimately increase investor’s costs, forcing many to push tenants’ rents up to remain profitable. Standards may also be reduced, with landlords having fewer funds to invest in the quality of their property. In some instances, landlords will be forced to sell, adding additional strain to private rented sector housing stock.”