London has seen the strongest rental growth over the last year according to an analysis by lettings agency Hamptons.
The average rent in the capital rose to £2,425 pcm, some 11.8 per cent or £255 pcm more than in November 2022.
Consequently, tenants in the capital paid a record £32.1 billion in rent this year, up from £28.7 billion in 2022 and £17.5 billion a decade ago. This means that the total rent bill in London is bigger than the bill in the North of England, Midlands, Wales and Scotland combined.
Rental growth in London continues to be driven by Inner London. Here, rents on new tenancies grew 13.2 per cent last month. Beyond the capital, the Midlands where rents grew 10.9 per cent year-on-year, overtook Scotland as the second fastest region for rental growth last month.
However, rental growth across Great Britain continued to cool a little from its 12.0 per cent peak in August.
Seven of the 11 regions in Britain saw the pace of rental growth slow last month. Scotland and the South East saw the biggest monthly slowdown. Even so, rental growth has not decelerated as much as we expected given landlords’ rising costs and a lack of homes available to rent.
The agency also says the total amount of rent paid by tenants in Great Britain this year will hit £85.6 billion - over twice the level of 2010 and 10 per cent more than in 2022.
Hamptons says double-digit rental growth over the last year means the total rent bill has increased by £8 billion over the last year from £77.6 billion in 2022, marking the biggest annual jump on record.
The total rent bill is now more than double the £40.3 billion in 2010, partly because the number of households renting has increased by 25 per cent or 1.1m over that period and partly because rents have risen too.
The average rent on a newly let home in Great Britain rose to £1,348 pcm in November, this year up 10.2 per cent or £125 pcm on the same month last year. This marked the seventh double-digit increase over the last 12 months and the strongest annual rate of growth recorded in any November since Hamptons records began in 2014.
Want to comment on this story? If so...if any post is considered to victimise, harass, degrade or intimidate an individual or group of individuals on any basis, then the post may be deleted and the individual immediately banned from posting in future.
.jpg)
%20(002).png)
.png)
Join the conversation
I cannot understand why we have these never ending articles on how high rent is 🤔🤔 it’s akin to articles in December saying it’s getting cold 🥶. We all know they are high, and why. Nothing we as landlords can do 🤷♂️🤷♂️, just either crack on or move on.
£32.1 billion paid in Rents in L’don alone never said how much of this was paid to Benefits by the tax payers.
The more they attack Landlords the higher the Benefit Bill nothing gained there.
I see even to Rent a Shipping Container Home costs £277.00 pw from LA but as one woman says living there with her son it’s covered by housing allowance you can’t beat living for free. I have one bed proper Flats for less than £277. pw but we are the Rogue’s and a Political football.
Bit like the homeless guy in the news at the moment, not for one minute do I condone what happened to soaking his blanket but he was in the feeds with his best sad face on complaining he cannot get any help. First thing that struck me was he was there with a pair of Nike Air force trainers which retail at about 120quid....
I am convinced that was staged by one of the Crackpot Businesses I mean Charities.
Funny because the rent in my supposed high profile in demand maisonette hasn’t increased in real terms in the past 3 years
The site becomes more and more a parody one
Central and local governments are haemorrhaging money through poor management and business decisions and see the perfect answer to salvaging and saving £10bn - by immorally continuing to sell off council housing through their hypocritical right-to-buy schemes and placing the financial burden for taking on millions of migrants and millions of low-income workers onto the PRS sector.
The question that arises is: what is the political 'End Game'? How does this policy pan out in the long term? And what can the PRS do? PRS selling may be the answer for some, but with 3M landlords, they need desperately to unify more than they have done. They have enormous power and money. The PRS must react and take the bull by the horns, unify and attack as a vast, organised business. This can be done by pinpointing and responding en bloc to local councils, forming agreements with tenants that transfer life-long responsibilities onto them, instigating Class A action challenges to central and local council failures that have unreasonably lost the PRS sector money, having template forms for suing tenants and local councils, etc. There are scores of schemes the PRS can adopt to deal with this corrupt transfer of government housing poverty onto public citizens.
We have had 10% inflation (higher for mortgage holders including landlords) and the total London PRS rent bill has increased by just over ten percent when immigration has been in excess of 750k. What a surprise..
Please login to comment