Rents in UK expected to continue to rise over next 5 years according to RICS

The latest RICS UK Residential Market Survey – July 2018 released today headlines ‘Rents to continue to rise, as supply of new property to let drops again’.

The survey highlights the continued reduction of new property being put on the market in the lettings sector with 22% more respondents seeing a fall rather than rise in New Landlord Instructions. This is the eighth consecutive quarter in which this indicator has recorded a negative number.

The surevey reveals that the sales market remains broadly flat at the national level, little different from that reported in June.

Simon Rubinsohn, RICS Chief Economist said:
“The impact of recent and ongoing tax changes is clearly having a material impact on the Buy to Let sector as intended. The risk, as we have highlighted previously, is that a reduced pipeline of supply will gradually feed through into higher rents in the absence of either a significant uplift in the Build to Rent programme or government funded social housing. At the present time, there is little evidence that either is likely to make up the shortfall. This augers ill for those many households for whom owner occupation is either out of reach financially or just not a suitable tenure.”
Read the latest RICS UK Residential Market Survey – July 2018 in full click here.

 

 

Allen Walkey

Highly experienced businessman with a successful career in property sales and investment both in the UK and abroad. Now a freelance writer and blogger for the property and Investment Industry, keeping readers up-to-date with changes and events in a rapidly changing world.

You May Also Enjoy

Breaking News

Rental Market Hotspots Drive National Growth

New analysis from FCC Paragon reveals modest national growth in rental demand across England in Q2 2025, up by 1.2% to 29.4%. However, this overall increase masks significant regional variation, with several counties experiencing substantial quarterly surges that are driving the market forward. The research shows that rental demand across England strengthened in Q2, up 1.2%…
Read More
Breaking News

Nationwide House Price Index for June 2025 – Thoughts from the Industry

Nationwide House Price Index for June 2025 shows House prices fell by -0.8% between May and June of this year. On an annual basis, the average house price increased by 2.1% although this rate of growth had slowed from 3.5% the previous month. As a result, the average UK house price now sits at £271,619.…
Read More
Breaking News

Clarity still needed on key areas in Renters’ Rights Bill

Ahead of Report Stage of the Renters’ Rights Bill in the House of Lords later today, 1 July 2025, Propertymark is urging the UK Government and Peers to amendment Bill, so it is fit for purpose. There remain long-standing concerns about the capacity and capability of the Courts, with the time from claim to hearing…
Read More
Cozy Pet Cat Tree Grey
Breaking News

Pet deposits only option following UK Government U-turn on Renters’ Rights Bill

Ahead of Report Stage of the Renters’ Rights Bill in the House of Lords which kicks off later today, Tuesday 1 July 2025, Propertymark is urging Peers to support an amendment that would allow for an additional pet deposit now that the UK Government has tabled amendments to remove pet insurance requirements. Since the introduction…
Read More
Breaking News

Annual house price growth softens in June

Annual rate of house price growth slowed to 2.1% in June, from 3.5% in May Northern Ireland remained the top performing area, with annual house price growth of 9.7% East Anglia weakest performing region, with 1.1% year-on-year rise Commenting on the figures, Robert Gardner, Nationwide’s Chief Economist, said: “UK house price growth slowed to 2.1%…
Read More
Letting Agent Talk

How Letting Agent Software Can Streamline Your Rental Management

Managing rental properties has evolved far beyond the traditional approach of paperwork, phone calls, and manual record-keeping. Today’s letting agents face increasing complexity in their operations, from navigating ever-changing regulations to meeting heightened tenant expectations while maintaining profitability. The modern rental management landscape demands efficiency, accuracy, and responsiveness that manual processes simply cannot deliver at…
Read More