Rents jump 5.7% as house prices hold steady

Average UK house prices edged 0.2% higher to £291,000 in the year to August, but private rents jumped 5.7% in the 12 months to September, according to latest data from the Office for National Statistics (ONS). 

London saw the biggest change in private rents over the last year, up 6.2%, the highest since records began in 2006.  Private rents lifted by 5.6% in England, by 6.9% in Wales and 6% in Scotland over the last year. 

Richard Lane, Director of External Affairs at StepChange Debt Charity, said “Private renters can find little respite from financial pressures as rents continue to reach record highs across the UK. Recent StepChange research found that tenants in the Private Rented Sector (PRS) are struggling to keep their heads above water when it comes to meeting financial commitments, with more than one in three (38%) using credit in order to afford rent, compared to one fifth (20%) of people with a mortgage.”

“Amidst a backdrop of staggeringly high rent prices in the PRS, tenants are afforded little statutory protection from eviction, particularly if they do fall into financial difficulty. We’re yet to see any progress on the long-awaited Renters (Reform) Bill which was introduced to Parliament several months ago. We would urge the government to follow through on its commitment to reform the PRS, and as part of those reforms, go further in protecting the most financially vulnerable tenants, who consistently struggle to make ends meet as the price of renting privately becomes increasingly unaffordable.”