0:01 AM, 2nd July 2025, About 4 months ago
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Rents in England climbed sharply in June, marking the steepest monthly increase this year, one rental index reveals.
According to Goodlord, the average rent rose by 3.2%, from £1,226 in May to £1,265 in June, adding £39 monthly or £468 annually to tenants’ outgoings.
The rise aligns with the peak letting season, reflecting heightened demand but the rise also reflects a long-term cooling of prices.
Tenants in Greater London, the North East, and the North West experienced rises between 2% and 4%.
However, the South West stood out with a dramatic 14% jump in rents, mirroring a similar spike in June 2024.
The firm’s chief executive, William Reeve, said: “The data is showing us two really interesting forces at play.
“On the one hand, we’re seeing rents hotting up as we enter summer – all signs point to there being a new rental price record set this season.
“However, on the other hand, the narrowing of the year-on-year rental rises shows us that some of the long-term heat is starting to seep out of the system.”
He added: “This could be an early indication that supply, and demand is beginning to recalibrate, although the upcoming passing of the Renters’ Rights Bill – which is unpopular with landlords – could potentially spark a buy-to-let sell off that tips the balance back in the other direction.”
Goodlord says that the East Midlands and West Midlands saw slight rent falls, with rents dropping by just under 2% from May.
Year-on-year, rents also grew by 3.2%, from £1,225 in June 2024 to £1,265 this year.
Greater London recorded the largest annual increase at more than 5%, followed by the South East with more than 4%.
Despite these rises, the pace of annual rent inflation is slowing, with June’s 3.2% increase lower than May’s 3.7%, April’s 4.2%, and March’s 4.6%.
Voids have also tightened, dropping from 21 days in May to 20 days in June.
However, this is still longer than the 17 days recorded in June 2024, hinting at a market gradually finding balance.
