Renters faced more financial strain last month as the average private monthly rent surged 9.1 per cent to record highs last month, according to official figures.
The latest increase topped October’s rise of 8.7 per cent and nudges close to record-high annual rise of 9.2 per cent recorded in March 2024. London’s tenants were hit hardest, with a rise of 11.6 per cent in the 12 months to November.
The average private rent in Britain was £1,319 per month in November – £110 higher than in November 2023, the Office for National Statistics (ONS) said. In England, the average was £1,362, up 9.3 per cent (£116) – a record high – from a year earlier.
Within England, rental price inflation was highest in London (11.6 per cent) and lowest in Yorkshire and the Humber (5.7 per cent) over the period.
Average rent for Wales was £772 in November 2024, up 8 per cent (£57) from a year earlier. This annual rise was higher than in the 12 months to October 2024 (7.9 per cent).
In Scotland, average rent for Scotland was £980 last month, a rise of 6.5 per cent (£59) from a year earlier. This annual rise was lower than in the 12 months to October 2024 (6.6 per cent).
In Northern Ireland, the latest data are currently only available up to September 2024. It shows average rent increased by 9 per cent in the year prior.
Aimee North, ONS head of housing market Indices, said: “Rental prices climbed again in the year to November with the average private rent in Great Britain now around £1,300 per month. Average rent increases continue to be highest in London while annual rent inflation reached a record high for England.”
Nathan Emerson, chief executive of estate agents body Propertymark, said the lettings market remained “challenging” but said it is crucial the Government maintained a diverse mix of housing choices.
“Ultimately the sector is about to undergo one of the biggest evolutions in over thirty years with a raft of new legislation proposed that will fundamentally alter the viability for some landlords to even operate.
“It remains important the UK Government encourages a diverse mix of housing options, especially as demand on rental sector is expected to considerably expand across the next ten years.
“It is crucial there is sensible support in situ that encourages long term investment in rental properties and that both tenants and landlords are treated with equal fairness to keep a objective oversight on a system that is increasing coming under additional pressure to keep pace with ever increasing demand.”
The average UK house price increased by 3.4 per cent in the 12 months to October, the ONS said.
The annual growth rate accelerated from 2.8 per cent in the year to September. Across the UK, the average house price in October was £292,000.
Average house prices increased in England to £309,000 (3 per cent annual growth), in Wales to £222,000 – 4 per cent, and in Scotland to £197,000 (5.5 per cent). The average house price for Northern Ireland was £191,000 between July and September, up by 6.2 per cent annually.
House prices are set to grow by up to 3 per cent next year as property remains in short supply across much of the country and new homebuilding has been weak, mortgage lender Halifax predicted.
“The uneven availability of properties for sale across the country, relative to demand … continues to underpin prices,” Amanda Bryden, head of Halifax mortgages, said.
“Higher mortgage rates compared to a few years ago may have made some homeowners hesitant to sell, to avoid triggering an immediate increase in their monthly mortgage cost when they move,” she added.
