The latest rent rise revealed by new government figures is the result of unintended consequences of the Renters Rights Act.

The Office for National Statistics says the average monthly private rent in the UK was £1,393 in July – around £50 (3.7%) higher than a year earlier.

Tom Bill, head of UK residential research at Knight Frank comments: “Rents are being pushed higher as the unintended consequences of the Renters’ Rights Act play out. 

“Some landlords have left the sector, which has reduced supply, while others have increased asking rents to reflect the additional financial risks they face. 

“The consequences may be unintended, but they were not unexpected, and a policy designed to tip the balance of power towards tenants is adding to the financial pressures they already endure.”

Jeremy Leaf, north London estate agent and a former RICS residential chairman, adds: “The rental data confirms what we have seen on the ground – that demand remains strong, particularly for higher-end houses among those returning from holiday seeking accommodation before the new school term.

“Rents have held firm invariably supported by a shortage of supply. Some landlords are still selling due to Renters Rights Act and tax concerns and those staying are insisting on better quality references, just in case possession is required. 

“We have also noticed more activity prompted by some tenants taking advantage of new rules rather than remaining in a fixed-term arrangement.”.