The average rent in the UK is now at a record high of £1,029, up 6.6 per cent on the same time last year, and up 2.2 per cent just on the previous month’s figures.
London sees its second average rent rise in as many months after a year of decline, with an annual increase of 2.1 per cent to £1,645 pcm.
Excluding London, the average UK rent price is 8.7 per cent higher than this time last year, up to £878 pcm.
The South West of England saw the highest annual price rise, with the current average price of £989 pcm marking a 12.9 per cent increase on this time last year, and a 4.3 per cent rise from last month’s data.
Elsewhere, rent prices in the North East rose by 1.1 per cent compared to last month to an average of £553 pcm, which is an annual increase of 3.4 per cent.
“The data shows the exceptional growth in rental values, particularly in areas that are within commutable distance to London. Throughout the pandemic, the rate of growth in some regions has more than doubled against previous years” according to Andy Halstead, HomeLet and Let Alliance’s chief executive officer.
“We see positive signs in the capital, rents are now just 1.2 per cent down on pre-pandemic levels from July 2019, with boroughs in central and inner London showing growth in achieved rental values. With restrictions easing, optimism is returning. The demand will steadily grow for the rest of the year.
“The private rented sector is exceptionally resilient, and demand for property remains high as we see the fast-growing Build To Rent industry meeting some of these needs across the country.
“That’s a theme that will continue for the foreseeable future, as tenants look to benefit from the lifestyle the industry can provide with features like on-site amenities and concierge services.
“We’ve supported thousands of agents who are dealing with rental arrears, and the end of the furlough schemes will sadly mean that there are further job losses in certain markets; the lettings sector has mitigated some of that risk through rent protection.”