The supply of rental stock in the UK available to rent increased at the end of 2017 to the highest since records began, according to the latest letting agents report.
The number of properties letting agents managed rose from 192 in November to 200 in December, some 6% higher than in the same month in 2016, the data from the Association of Residential Letting Agents (ARLA) shows.
The figures also show that the percentage of tenants experiencing rent increases remained at 16% December, unchanged from November when it fell to the lowest level since ARLA records began in January 2015.
In line with this, the number of tenants successfully negotiating rent reductions decreased from 3% in November to 2.6% in December, indicating a seasonal slowdown in the number of contract negotiations.
Meanwhile, demand for rental properties increased marginally from 58 prospective tenants registered per branch in November to 59 in December 2017.
David Cox, ARLA chief executive, pointed out that London is the most expensive city to rent a property in Europe, according to recent data from ECA International, and this could be due to the fact letting agents in the capital are only managing an average of 130 properties, 35% less than the national average and the lowest level in the country.
‘We need to tackle housing stock to reverse this and stop seeing rents increasing for tenants. The cost of living is already rising at an unsustainable rate and with the added pressures of rising rent costs, the dream of home ownership falls out of reach for many, even with the Government cutting stamp duty for first time buyers,’ he said.
‘However, it’s positive that we finished the year with the number of properties available for tenants at a record high. Here’s to a positive year for renters; cheaper rents, good living standards and a rental market which works for everyone,’ he added.