Rental price and average salary tracker – January 2026
Seasonal cooling deepens regional rent declines, while affordability pressures remain structurally high
- Month-on-month rental prices fell across the majority of regions, with particularly pronounced drops in the North East (−10.0%), South West (−8.1%), Yorkshire and Humberside (−7.4%), and Wales (−6.1%), highlighting a clear seasonal slowdown as demand softens post-Christmas.
- Year-on-year salary requirements show only modest movement overall, reinforcing that short-term rent corrections have not yet translated into meaningful affordability improvements for tenants, with several regions still seeing increases in the income required to rent.
- London stands out as an exception, recording a 3.7% month-on-month increase in average rents, despite a slight annual easing in salary requirements.
- The market remains increasingly fragmented, with national averages masking sharp localised shifts. Some renters are seeing short-term relief, while others continue to face rising costs and limited choice.
This monthly report provides a comprehensive analysis of the current private rented sector in the UK by examining the average agreed rental prices alongside the typical average annual salary required by referencing agencies to affordably rent across various regions. By exploring these key indicators, we aim to shed light on the affordability and accessibility of private rented housing relative to income levels, offering valuable insights, especially for those navigating the dynamic landscape of the UK’s housing market.
*It is important to consider that rental pricing can be influenced by many complex metrics, which may include location, types of property offered, supply vs demand, and seasonal trends, to name just a few considerations.
January 2026:
| Location | Average rental price | Representative average annual salary needed to secure the average-priced home (before tax and any deductions) |
| Scotland | £1,042 | £31,260 |
| Northern Ireland | £913 | £27,390 |
| Wales | £1,037 | £31,110 |
| East Midlands | £993 | £29,790 |
| East of England | £1,324 | £39,720 |
| London (inner and outer London) | £2,204 | £66,120 |
| North East | £894 | £26,820 |
| North West | £1,072 | £32,160 |
| South East | £1,491 | £44,730 |
| South West | £1,363 | £40,890 |
| West Midlands | £1,054 | £31,620 |
| Yorkshire and Humberside | £955 | £28,650 |
January 2025:
| Location | Average rental price | Representative average annual salary needed to secure the average-priced home (before tax and any deductions) |
| Scotland | £1,054 | £31,620 |
| Northern Ireland | £884 | £26,520 |
| Wales | £1,002 | £30,060 |
| East Midlands | £997 | £29,910 |
| East of England | £1,344 | £40,320 |
| London (inner and outer London) | £2,217 | £66,510 |
| North East | £916 | £27,480 |
| North West | £1,060 | £31,800 |
| South East | £1,503 | £45,090 |
| South West | £1,395 | £41,850 |
| West Midlands | £1,049 | £31,470 |
| Yorkshire and Humberside | £947 | £28,410 |
Change seen in the average salary required year on year:
Average monthly rental price month-on-month comparison (December 2025 – January 2026):
| Location | Average monthly rental price – December 2025 | Average monthly rental price – January 2026 | Percentage change (difference from Dec to Jan) |
| Scotland | £1,039 | £1,042 | +0.29% |
| Northern Ireland | £945 | £913 | −3.39% |
| Wales | £1,104 | £1,037 | −6.07% |
| East Midlands | £1,044 | £993 | −4.89% |
| East of England | £1,322 | £1,324 | +0.15% |
| London (inner and outer London) | £2,125 | £2,204 | +3.72% |
| North East | £993 | £894 | −9.97% |
| North West | £1,121 | £1,072 | −4.37% |
| South East | £1,536 | £1,491 | −2.93% |
| South West | £1,483 | £1,363 | −8.09% |
| West Midlands | £1,087 | £1,054 | −3.04% |
| Yorkshire and Humberside | £1,031 | £955 | −7.37% |
Megan Eighteen, President of ARLA Propertymark (Association of Residential Letting Agents), comments:
“January’s data points to a rental market that is clearly responding to seasonal demand dynamics, with widespread month-on-month rent reductions signalling increased price sensitivity among tenants and a softening of competition in many regions. However, this short-term easing should be viewed in context.
“Despite notable monthly declines, the annual salary required to secure a rental property has remained broadly stable or increased in several areas, underlining that affordability pressures remain deeply embedded. Structural issues, particularly constrained supply, continue to limit the extent to which falling rents can deliver sustained relief for renters.
“As a result, January’s figures reflect a pause rather than a turning point. While renters in some regions may experience temporary breathing space, lasting improvements in affordability will depend on increased rental stock and more balanced supply-and-demand conditions, rather than seasonal fluctuations alone.”
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