The Price Index of Private Rents (PIPR) increased gradually since 2015 and reached a value of 121.8 in January 2025. That indicates a rental increase of 11 percent since January 2023, the baseline year when the index was set to 100. The rental rates for mainstream properties are forecast to continue to grow over the next five years.

The Price Index of Private Rents (PIPR) has shown significant growth, reaching a value of 117.9 in January 2025. This marks an increase of approximately 17.9 percent since January 2023, reflecting a robust upward trend in rental prices. Notably, the index saw a steady rise throughout 2024, with an annual percentage change peaking at 9.2 percent in March 2024. Mainstream properties are forecast to see rents further increase until 2028.

Rental price statistics historical data time series (indices and annual percentage change). These are official statistics in development.

An experimental price index tracking the prices paid for renting property from private landlords in the United Kingdom

Rents of mainstream rental properties in London are forecast to continue to increase between 2024 and 2028. Rental growth is expected to be the strongest in 2024, at 5.5 percent. On the other hand, house prices are expected to grow at a slower rate.

The average agreed rent for new tenancies in the UK ranged from 665 British pounds to 2,100 British pounds, depending on the region. On average, renters outside of London paid 1,095 British pounds, whereas in London, this figure amounted to 2,025 British pounds. Rents have been on the rise for many years, but the period after the COVID-19 pandemic accelerated this trend. Since 2015, the average rent in the UK increased by about 25 percent, with about half of that gain achieved in the period after the pandemic. Why have UK rents increased so much? One of the main reasons driving up rental prices is the declining affordability of homeownership. Historically, house prices grew faster than rents, making renting more financially feasible than buying. In 2022, when the house price to rent ratio index peaked, house prices had outgrown rents by nearly 30 percent since 2015. As house prices peaked in 2022, home buying slowed, exacerbating demand for rental properties and leading to soaring rental prices. How expensive is too expensive? Although there is no official requirement about the proportion of income spent on rent for it to be considered affordable, a popular rule is that rent should not exceed more than 30 percent of income. In 2024, most renters in the UK exceeded that threshold, with the southern regions significantly more likely to spend upward of 30 percent of their income on rent. Rental affordability has sparked a move away from the capital to other regions in the UK, such as the South East (Brighton and Southampton), the West Midlands (Birmingham) and the North West (Liverpool, Manchester, Blackpool and Preston).

United Kingdom PHRPI: England: excl London data was reported at 110.602 Jan2015=100 in Jul 2020. This records an increase from the previous number of 110.486 Jan2015=100 for Jun 2020. United Kingdom PHRPI: England: excl London data is updated monthly, averaging 97.254 Jan2015=100 from Jan 2005 (Median) to Jul 2020, with 187 observations. The data reached an all-time high of 110.602 Jan2015=100 in Jul 2020 and a record low of 85.071 Jan2015=100 in Jan 2005. United Kingdom PHRPI: England: excl London data remains active status in CEIC and is reported by Office for National Statistics. The data is categorized under Global Database’s United Kingdom – Table UK.EB015: Private Housing Rental Prices Index: January 2015=100.

Rent Inflation in the United Kingdom decreased to 7.40 percent in February from 7.80 percent in January of 2025. This dataset includes a chart with historical data for the United Kingdom Rent Inflation.

英国 PHRPI: England: excl London在2020-07达110.602 Jan2015=100，相较于2020-06的110.486 Jan2015=100有所增长。英国 PHRPI: England: excl London数据按月度更新，2005-01至2020-07期间平均值为97.254 Jan2015=100，共187份观测结果。该数据的历史最高值出现于2020-07，达110.602 Jan2015=100，而历史最低值则出现于2005-01，为85.071 Jan2015=100。CEIC提供的英国 PHRPI: England: excl London数据处于定期更新的状态，数据来源于Office for National Statistics，数据归类于Global Database的英国 – Table UK.EB015: Private Housing Rental Prices Index: January 2015=100。

Between 2008 and 2024, the average weekly rent for private renters in England has shown a significant increase. In the 2009, the average rent was 153 British pounds, and by 2024, it had risen to 237 British pounds. Excluding London, the average rent started at 130 British pounds in 2009 and reached 191 British pounds in 2024, demonstrating a similar upward trend but at a lower rate compared to the overall average in England. Rental households in England Renting is common in England. Nearly one in five households occupied a dwelling that was privately rented in 2024. While the majority of households in the country live in an owner-occupied home, this percentage has declined since the early 2000s. Meanwhile, the share of households occupying a private rental has doubled over the past decade. This shows a growing rental sector and a shift in tenure trends in the country. Buying vs renting costs For a long time, the average monthly costs of buying a home were lower than renting. In 2021, housing costs started to increase steeply, closely followed by rental costs. This resulted in the gap nearly closing in 2023. This trend can also be observed through the house price to rent ratio - an index that follows the development of house prices relative to rents, with 2015 as a baseline year. Between 2015 and 2022, the ratio grew steadily, indicating that property prices rise faster than rents. However, with rental growth accelerating and catching up with property prices in 2022, the index declined notably.

Summary of UK House Price Index (HPI) price statistics covering England, Scotland, Wales and Northern Ireland. Full UK HPI data is available on GOV.UK.

Indicative weights used in the new Price Index of Private Rents statistics.

Price to Rent Ratio in the United Kingdom decreased to 114.58 in the third quarter of 2024 from 116.11 in the second quarter of 2024. This dataset includes a chart with historical data for the United Kingdom Price to Rent Ratio.

In the five-year period between 2024 and 2028, the prime residential rent for existing properties in Greater London is expected to increase by over 19 percent. The highest percentage change is expected to occur in 2024, when rents are to rise by 5.5 percent. In the UK. rental growth has accelerated notably since 2021, with March 2024 experiencing a decade-high annual percentage growth. The trend reflects the complex interplay between housing affordability, mortgage rates, and supply of rental homes, as the UK housing market navigates a period of transition.

Regional Price Parities: Services: Rents for Norwich-New London, CT (MSA) was 102.53000 Index in January of 2020, according to the United States Federal Reserve. Historically, Regional Price Parities: Services: Rents for Norwich-New London, CT (MSA) reached a record high of 121.88700 in January of 2008 and a record low of 98.75100 in January of 2014. Trading Economics provides the current actual value, an historical data chart and related indicators for Regional Price Parities: Services: Rents for Norwich-New London, CT (MSA) - last updated from the United States Federal Reserve on March of 2025.

The industrial real estate sector is forecasted to see the highest annualized rental growth in the UK between 2024 and 2028, followed by West End offices. According to the forecast, industrial real estate rents are expected to grow by 3.2 percent per year in this period, while West End office space rents are expected to increase by 2.7 percent. When it comes to total commercial real estate returns in the UK, the industrial and retail warehousing sectors are forecast to outperform all other property types.

Median price paid for residential property in England and Wales, by property type and administrative geographies. Annual data.

The prime property rental real estate market in Central London is expected to see an overall increase in rental rates during the five-year period between 2024 and 2028, according to a May 2024 forecast. Over the five-year period, the cumulative prime rental growth is forecast at 15.9 percent. Property price increase in Outer London is expected to be higher.

Rental rates of high street and shopping center properties in the UK increased in 2023, exceeding the 2019 levels. In the fourth quarter of 2023, the net effective rent increased by 10.2 percent from 2019. That ended a nearly three-year period of a decline in rents. Headline rent refers to the rental rate written in the lease, but this often differs from the effective rent paid due to rent-free periods or other inducements offered by the landlord. Prime retail rents in Europe are forecast to rise by 2027. However, in London, this increase is expected to remain below average for the region.