Tenants are feeling the pinch, as typical UK rents increased by more than a third (36.2%) against the rate of inflation during the past year, research from The Deposit Protection Service has revealed.
Rents stood at around at £1,120 in Q3 a rise of 9.13% (£93.79) since Q3 2022, while inflation increased by 6.7% over the same period
Matt Trevett, managing director at The DPS, said: “Every region across the UK has witnessed inflation-beating rent increases during the past 12 months.
“The combination of increasing demand for rental property and cost-of-living pressures seems to be fuelling sustained rent rises.
“Rent increases are also affecting every type of property, whether flats, terraced, semi-detached or detached, which may also reflect demand for rental property outstripping supply in many parts of the UK.”
Scotland saw the largest annual rent increase at 13.56% (£123.45), with average rents reaching £1,033.80 by the end of Q3 2023.
The second highest annual rent increases took place in the east of England, where rents rose 11.32% (£113.55) to £1,116.87 per month.
London saw the largest value increase, with average monthly rents rising 13.31% (£173.13) during the past 12 months to £1,922.37.
Yorkshire rents rose 6.73%, increasing £48.18 to £764.24.
Flats in the east experienced the highest annual percentage increase of any property type, rising 16.88% (£149.36) to £1,034.41.
Detached properties in the south east experienced the highest value rent rise, increasing by 12.66% (£208.84) to £1,857.81 per month.