Industry supplier HomeLet says rent guarantee insurance is now heavily advised because rents have reached what it calls an “astonishing” level.

Andy Halstead, HomeLet & Let Alliance chief executive, says: “July’s average rental price has now hit an astonishing £1,243, the highest average yet. 

“This all-time high paired with every region of the UK seeing a month-on-month price rise is a concern for both tenants and landlords. 

“We’re edging closer and closer to a situation in which a large portion of potential tenants are simply unable to live, which is a dangerous situation for the market to be in. 

“It is worth saying that extreme rental prices does not equate to all time high margins for landlords either. Landlords being unable to rely on rental income is a terrible scenario. 

“Investing in rent guarantee insurance is becoming the only way for landlords to properly protect themselves during this time, and we highly recommend it.”

HoneLet says that in addition to the nationwide high of £1,243 pcm – following a further 1.1 rise from last month – the figure excluding London is still a high £1,037 average.

Scotland has hit its highest rental average yet at £973 pcm and the UK’s typically cheapest rental area, North East England, rose 1.8 per cent in the past month to £636 pcm.