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Average private rent growth slows to 8.9% – ONS

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  • 22/05/2024
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Average private rent growth slows to 8.9% – ONS
Average private rents across the UK rose 8.9% to £1,254 in the year to April 2024, down from the record high annual growth of 9.2% recorded during the previous month.

Figures from the Office for National Statistics (ONS) showed this was the first sign of slowing since December 2023. 

In England, average rents rose by 8.9% to £1,293, while across Wales there was an 8.2% annual increase to £730. 

In Scotland, average rents increased by 10% to £952 while in Northern Ireland, there was a 10.4% uptick in the year to February. 

The annual growth in average rent prices across England, Wales and Scotland was lower than what was recorded in March. In Northern Ireland, this was higher than the annual growth of 10.1% in January and the highest yearly rise since the series began in 2016. 

Gareth Atkins, managing director of lettings at Foxtons, said: “The first quarter of 2024 saw a significant influx of new properties compared with 2023 and as such, less renters per property – or in broad terms, competition. One of the knock-on effects of that was a stagnation of average prices, which we predicted in January.  

“Early data from Q2 has seen not only that supply slowed but also the return of 2023 levels of applicants which, if it continues, would indicate a stronger rental market.” 

Nathan Emerson CEO of Propertymark, said: “As many people continue to grapple with what has been a very challenging few years financially, the pressure remains for some renters. Ultimately there are a few reasons why rents continue to rise. However, what we are seeing is many landlords who strive to provide high-quality accommodation currently being squeezed out of the sector due to aspects like elevated interest rates and proposed changes to background legislation.  

“Therefore, we need to see a much greater focus on ensuring the supply of homes meets current demand levels.” 

In England, rents inflation was highest in London at 10.% and lowest in the North East where there was a 5.8% rise annually. 

Across the UK, the highest average rent was recorded in Kensington and Chelsea at £3,356 and the lowest was in Dumfries and Galloway, where this came to £477 a month. 

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