One of the UK’s largest tenant referencing and lettings specialists
Posted by Ellie Dreisenstock on September 5, 2022
For August 2022, the average rental price for a new tenancy in the UK rose by 1.4% since July 2022 to 1,143 per calendar month (PCM).
Every region in the UK has seen annual and monthly growth.
London’s average price for August is £1,898 PCM. This is a 1.6% increase since last month and is 10.8% higher than 12 months ago.
Excluding London, the average UK rent price is 7.7% higher than in August 2021 and 1.4% higher than in July 2022, up to £961 PCM.
Scotland has seen the highest annual growth (13.6%), with an average rental price for August 2022 of £861 PCM.
Northern Ireland’s average price for August 2022 is £795 – 2.4% higher than in July.
Commenting on the latest data, CEO Andy Halstead had the following to say:
Costs of all kinds are rising, directly impacting landlords and their tenants. Factors like increasing mortgage interest rates, changes in taxation, and bills for improvements to meet new government energy efficiency standards are growing pressures on landlords.
“With high demand, tenants’ affordability constraints will start to be stretched. The value letting agents can provide to both tenants and landlords is only increasing in the current market. High-quality tenant checks and relevant insurance have become essential considerations for landlords. We’ll do everything we can to support customers through this difficult period.
“We expect rental prices for new tenancies will continue to increase. It’s a challenging position for both landlords and tenants. Whilst landlords’ cost bases are being squeezed, tenants’ living costs are only getting worse.