Rents tracking CPI inflation

by Property 118

13:53 PM, 12th August 2019
About 6 days ago

Rents tracking CPI inflation

Make Text Bigger
Rents tracking CPI inflation

HOMELET’s Rental Index figures for July 2019 have been released showing that the rental growth recorded in July 2019 appears to be in line with inflation, recorded at 2% in the Consumer Prices Index (CPI) in June 2019.

For July 2019 the data shows that the average rental price for a new tenancy in the UK was £959 per calendar month (959 pcm), which is up by 2.3% on last year.

The latest data also shows that rents in the South West are growing faster than any other region in the UK, whilst rental growth in London is speeding up. Rental values in Scotland and Wales are also rising faster than the UK average.

The headlines from this month’s report are:

  • The average rent in the UK is now £959, up 2.3% on the same time last year
  • When London is excluded, the average rent in the UK is now £794, this is up 2.2% on last year
  • The rental growth recorded in July 2019 is in line with inflation, recorded at 2% in the Consumer Prices Index (CPI) in June 2019
  • Average rents in London are now £1,665, up by 3.1% on last year
  • The region with the largest year-on-year increase is the South West, showing a 4.5% increase between July 2018 and July 2019
  • All 12 of the regions monitored by HomeLet showed an increase in rental values between July 2018 and July 2019
Region Jul-2019 Jun-2019 Jul-2018 Monthly Var Annual Var
South West £855 £842 £818 1.5% 4.5%
Scotland £679 £671 £651 1.2% 4.3%
Wales £637 £625 £611 1.9% 4.3%
Greater London £1,665 £1,611 £1,615 3.4% 3.1%
Northern Ireland £671 £671 £653 0.0% 2.8%
East Midlands £646 £635 £631 1.7% 2.4%
North West £726 £711 £712 2.1% 2.0%
East of England £925 £917 £909 0.9% 1.8%
West Midlands £709 £695 £701 2.0% 1.1%
South East £1,053 £1,035 £1,041 1.7% 1.2%
Yorkshire & Humberside £641 £634 £635 1.1% 0.9%
North East £529 £530 £525 -0.2% 0.8%

 

UK £959 £941 £937 1.9% 2.3%
UK excluding Greater London £794 £781 £777 1.7% 2.2%

As the UK’s largest tenant referencing firm, HomeLet references over 500,000 tenants every year. The HomeLet Rental Index provides the most comprehensive and up-to-date data on rental values in the UK.

The trends reported within the HomeLet Rental Index are brand new tenancies, which were arranged in the most recent period, providing an in-depth insight into the lettings market.



Comments

Dr Rosalind Beck

15:38 PM, 13th August 2019
About 4 days ago

This can't be right. Shelter repeatedly tells us rents are 'soaring.'


Leave Comments

Please Log-In OR Become a member to reply to comments or subscribe to new comment notifications.

Forgotten your password?

OR

BECOME A MEMBER

Errors in English Private Landlords Survey and English Housing Survey

The Landlords Union

Become a Member, it's FREE

Our mission is to facilitate the sharing of best practice amongst UK landlords, tenants and letting agents

Learn More