Rental prices have increased at a faster rate in most regions of England since the Renters’ Rights Act was implemented in May, according to research by lettings agency Benham and Reeves.
The data shows that whilst the overall national rate of rental growth remains unchanged, regional variations reveal accelerated price increases in several areas, particularly in the West Midlands, North West, and London.
Regional variations
The West Midlands recorded the most significant acceleration in rental growth, rising by 0.8% since the Act’s implementation, compared to 0.2% growth during the equivalent period beforehand. The North West saw rental growth increase from 0.7% to 1.2% over the same timeframe.
Yorkshire and the Humber and the North East both experienced rental growth increasing from 0.5% to 0.9%. In London, average monthly rents increased by 1% since implementation, rising from £2,294 to £2,317, compared to 0.6% growth in the previous period.
Market dynamics
Marc von Grundherr, Director of Benham and Reeves, attributed the increases to pent-up demand returning to the market following the Act’s implementation. “We saw many tenants sitting on the fence while they waited to see what the new landscape would look like, rather than committing to their next move,” he said.
The implementation of the Renters’ Rights Act comes ahead of England’s landlord register launching in December 2026, which will introduce further regulatory changes to the private rental sector.
Von Grundherr noted that limited rental stock in many areas, combined with increased tenant activity, has created greater competition for available properties. The data suggests that tenant demand remains strong despite the regulatory changes introduced by the Act.
Outlook
The acceleration in rental growth across multiple regions indicates that the private rental market continues to experience upward price pressure. With regulatory changes ongoing and property sector activity remaining robust, market observers will monitor whether this trend continues in the coming months.
