Supply shortage keeps rents rising as Act kicks in

Supply shortage keeps rents rising as Act kicks in


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Average UK rents rose again in May, with increases recorded across most regions and annual growth now at its strongest level so far this year.

The latest figures from the HomeLet Rental Index show that average UK rents reached £1,340 in May 2026, a 1.1% increase month‑on‑month from £1,325 in April. 

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Rents are now 2.5% higher than in May 2025, when the average was £1,307.

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Excluding London, average rents in the rest of the UK rose to £1,146 in May, up 1.0% from £1,135 in April and 2.0% higher than the £1,124 recorded in May 2025.

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In Greater London, average rents climbed to £2,161 in May 2026, an increase of 1.6% from £2,128 in April and 3.5% higher than the £2,088 average in May 2025.

On a regional level, rents are generally moving upwards: ten of the twelve regions recorded a monthly rise, one was flat, and only one saw a decrease. 

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Scotland saw the strongest monthly growth at 1.9%, while Greater London and the East of England both recorded increases of 1.6%. 

Scotland also posted the highest annual growth at 3.9%, with Greater London and the North East both up 3.5% year‑on‑year. 

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Jo Dickens, Head of Business Development at HomeLet and Let Alliance, says: “May’s data underlines that, while the pace of growth remains measured, rents are still edging upwards across much of the UK.

“Affordability remains a key concern for tenants, so the modest, incremental increases we’re seeing will be felt. The priority for agents and landlords remains sustainable tenancies – balancing fair market rents with what tenants can realistically afford.

“Robust fraud prevention through our referencing, coupled with Rent Guarantee insurance, continues to play a crucial role in supporting stable tenancies, protecting landlord income and helping to manage risk in a market that remains finely balanced.” 

Key Data from the May 2026 HomeLet Rental Index

  • Average UK rent: £1,340 (+1.1% MoM, +2.5% YoY)
  • UK excluding Greater London: £1,146 (+1.0% MoM, +2.0% YoY)
  • Greater London: £2,161 (+1.6% MoM, +3.5% YoY)

Largest monthly changes:

  • Scotland: +1.9%
  • Greater London: +1.6%
  • East of England: +1.6%

Strongest annual increases:

  • Scotland: +3.9% YoY
  • Greater London: +3.5% YoY
  • North East: +3.5% YoY

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