Asking rents rise nearly twice as fast in London versus rest of Great Britain over past decade

Rightmove logo
  • London asking rents hit a new record average of £2,119 per calendar month (PCM) as ongoing lack of supply means rents are 4.2% higher year-on-year, and the rest of Great Britain is up 2.4%
  • Over the past 10 years London asking rents have risen almost twice as fast as the rest of Great Britain:
    • Average asking rents outside London have risen by 24%, compared to 45% in the capital
    • In cash terms London asking rents are up by £658 PCM compared to £159 PCM outside London over the last decade
    • North East rents have grown the slowest, up 8.4% from £554 to £601 PCM in ten years

 

London asking rents hit a new record average of £2,119 per calendar month (PCM) as the ongoing shortage of property for tenants continues to increase rents. Rents in the capital are up by 4.2% over the last year and 45% up over the past decade. In comparison, the rest of Great Britain sees rents up 2.4% year-on-year and 24% over the last ten years.

 

Rightmove’s Commercial Director and Housing Market Analyst Miles Shipside said: “We’ve seen a lack of rental properties coming to market in London over the last 18 months and that keeps feeding through into rising rents and another new record this quarter. Rents in the capital have risen at nearly twice the rate of the rest of Great Britain both over the last year and the last decade. New supply coming to market is constrained by a lack of new landlords, and existing tenants staying longer. Tenants are less likely to swap their existing rental for another as their other options on the open market are likely to be more expensive than sticking with their current landlord.”

 

In cash terms, average asking rents have risen by nearly £160 per calendar month (PCM) nationally outside London in the last 10 years. In the capital the figure is much higher, with rents in London now £658 PCM more expensive than a decade ago. Conversely, the North East is where rents have risen the least, with average asking rents increasing by 8.4% to £601 PCM since 2009.

 

Shipside adds: “London, in particular, has some rent increase hotspots due to a shortage of stock with existing and new landlords deterred by the additional 3% stamp duty when buying rental investments. On top of London’s high purchase prices this is a substantial extra sum. The lack of reasonably priced choice and rising rents for London’s tenants looks set to continue. At present, the only growth in supply is coming from the institutional build-to-rent sector.”

 

Agent’s view

 

Kate Eales, Savills National Head of Lettings at Savills, added: “This increase is in line with the rise in price of residential property and the increase in the cost of living in the UK. Over the past six months since the tenant fee ban, landlords are having to pay a bit more for lettings services. This cost isn’t necessarily being passed onto tenants, but landlords are not entering the market in the same way that they were back in 2010. This has resulted in a lack of rental stock, which in turn pushes rental prices up. In London, areas have changed dramatically in the past 10 years in terms of demographic and popularity. Brixton is such an example, previously up and coming, and now an area that’s seen landlords benefit from an increase in rental prices.”

Rightmove

UK Property news updates shared directly from Rightmove PLC - the country's leading property portal.

You May Also Enjoy

Damaged timber from Dry Rot
Estate Agent Talk

Mould and damp – what you need to know ahead of winter

With the winter months just round the corner, problems with damp and mould can become far more prominent. Autumntime is when many people turn on central heating systems and choose to close windows, preventing fresh air ventilation needed to allow damp air to leave a property. Unfortunately, the combination of warm and damp air can…
Read More
Breaking News

Rental price and average salary tracker – September 2025

London and South East see biggest dips in required rental salary year-on-year London and the South East saw the sharpest dips year-on-year in the average salary needed in order to rent the average home in that area. London saw a 4.2% drop, whilst the South East saw a decline of 2.9%. Yorkshire and Humberside saw…
Read More
buying at auction uk
Breaking News

The cities where buying beats renting – with just a 5% deposit

British first-time buyer mortgage payments are typically 17% cheaper than renting, even with a low 5% deposit The average 5% deposit is £11,412 based on a typical first-time buyer property price of £228,233 Among major cities outside London, the biggest gap between owning and renting is in Glasgow, where buyers could save more than £4,750…
Read More
Rightmove logo
Breaking News

Rightmove’s Weekly Mortgage Rates Tracker

Average rates for 2-year and 5-year fixed-rate mortgages   Term Average rate Weekly change Yearly change 2-year fixed 4.51% +0.00% -0.37% 5-year fixed 4.55% +0.01% +0.01%   Lowest rates for 2-year and 5-year fixed-rate mortgages   Term Lowest rate Weekly change Yearly change 2-year fixed 3.77% +0.05% -0.07% 5-year fixed 3.97% +0.10% +0.29%   Average…
Read More
Rightmove logo
Breaking News

Data and commentary from Rightmove on stamp duty reforms

Colleen Babcock, Rightmove’s property expert said: “We’ve been calling for stamp duty reform for some time now, as it’s a significant barrier for many people moving home. Abolishing it completely would remove one of the biggest barriers to moving, unlocking more moves at all stages of the property ladder. “Our data shows that only 5%…
Read More
Breaking News

Second-time buyers dominate demand for longer term fixed mortgage deals

Second-time buyers are dominating demand for longer term fixed mortgage deals, fresh data from Moneyfacts Analyser can reveal. Of those looking for fixed term deals on moneyfactscompare.co.uk: Almost two-thirds (58%) of second-time buyers who compared mortgage deals using the moneyfactscompare.co.uk website were considering terms of three years or longer in the 30 days to 1…
Read More