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Average UK rent remains 8.7% up against last year despite monthly drop

uk rent up against last year

Rental figures for October have revealed that, despite a slight drop of 0.2% from September’s total, the average rent in the UK is now £1059, a rise of 8.7% on the same time last year.

HomeLet data shows that when London is excluded, the average rent in the UK is now £888, this is up by 8.2% on last year. Average rents in the capital were £1,759, an increase of 9.7% on last year, and another monthly rise, up 0.4% on September’s price.

All regions showed an increase in annual variance, with the largest, being Wales with a huge 12.9% increase.

The trends reported within the HomeLet Rental Index are from data on actual achieved rental values for just-agreed tenancies arranged in the most recent period.

Chris Turner, Head of Business Development for Homelet and Let Alliance, comments: “In normal market conditions, we might see spikes in rental values for desirable or emerging areas, but we’re still seeing a really high demand for all property in the lettings market; that’s now the case in most parts of the UK. With fewer new properties coming up to rent when compared to pre-pandemic levels, we can expect the trends we see continuing throughout 2022.

“There was no specific mention of lettings or the private rented sector in the Budget, which might come as a welcome relief to many landlords, especially given the raft of changes that have impacted them in the past few years. The private rented sector provides a home to millions of people across the country. Our view is that the Government should give as much consideration to supporting this vital sector as it does to home ownership.

“The Chancellor announced a £65 Million Support Package for Vulnerable Renters, which will be welcome news for some. As the UK’s largest provider, we’ve dealt with an unprecedented rise in the volume of claims on Rent Protection insurance throughout the pandemic. With factors like the ban on evictions, we’ve also seen a record increase in the number of deferrals and payment plans put in place, with an exceptional level of compassion from landlords and letting agents for the circumstances many tenants have faced. Whilst there’s a focus on the pandemic impacting tenants, it has also significantly impacted many landlords without protection, both financially and emotionally.”

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