Demand cools and supply rises - new lettings analysis

Rents rose 9% on average in the UK in Q1 2024 compared to the same period in 2023, says flatshare site SpareRoom.

Out of the UK’s 50 largest towns and cities, Bolton in Greater Manchester saw the biggest increase, with average rents rising almost a quarter (23%) over the last 12 months.

The regions with the biggest rental increases were the West Midlands and Northern Ireland, both up 11% on average, whilst London experienced its slowest year on year growth rate since the pandemic (Q3 2021), with rents up 5%.

Looking at the UK’s top 50 cities and towns, Birmingham rents have gone up 19%, Glasgow (8%), Manchester (9%), Liverpool (6%), and Edinburgh up 14%. 

None of the top 50 towns and cities saw a decrease in rent, but the area with the least change was Sunderland (0%), followed by Middlesbrough (1%) and Dundee (2%).

Matt Hutchinson, Director at SpareRoom, comments: “Despite a cooling in demand and a slight increase in supply, rents continue to rise, which isn’t good news for renters. Things are slowing, but it always seems to be the case that rents go up faster than they come back down. 

“A possible reason for the increase in rents seen in the West Midlands is the current construction of HS2, which has brought thousands of jobs to the area, with more on the way.”