Rents in England's capital, London, declined by *** percent annually as of January 2025. Nevertheless, many boroughs recorded growing rental prices, with Bromley and Croydon observing double-digit growth. Across the region, Croydon, Barking, Dagenham, and Havering ranked as some of the most affordable areas to rent. As shown by the Index of Private Housing Rental Prices, rents in the UK have soared since the COVID-19 pandemic.

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.

Rental prices in both Greater London and Central London were expected to continue to rise in the period until 2029. Nevertheless, growth will be slower compared to the five-year period up to December 2024. Prime rents in Outer London grew by **** percent in that period and were expected to rise by **** percent until 2029. In Central London, prime residential rents rose by **** percent and were expected to further grow by **** percent. Meanwhile, mainstream residential property prices in the UK are forecast to rise even faster, indicating a strong demand for residential housing.

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.

Median monthly rental prices for the private rental market in England by bedroom category, region and administrative area, calculated using data from the Valuation Office Agency and Office for National Statistics.

It can be seen that the largest prime rent for office properties in London West End was found in the districts of St James's and Mayfair at that time, both with a prime rent of 120 British pounds per square foot as of the third quarter of 2020. Prime rents in most West End districts did not change between 2019 and 2020, except in Victoria and King's Cross. In 2021, rents in most London districts remained unchanged.

London is the most expensive city for office real estate in Europe. In 2023, the per square foot cost of office space in London was higher than in any other European city. In West End, a Grade A office cost about 90 British pounds per square foot in 2023. Prime offices were even more expensive, at 135 British pounds per square meter. Office yields Prime yields in Central London fluctuate depending on the district, but West End areas tend to have lower yields compared to other areas, such as Stratford or Canary Wharf. The prime office yield in Mayfair/St. James' in 2023 was the lowest among the major London office submarkets. In real estate, yields measure the potential return of a rental property and are calculated as the ratio of the property's rental income to the investment cost. Typically, prime office yields in London are lower than the rest of the UK, which is mostly due to the highly competitive market and high investment costs. Vacancy rates Despite the high office rental costs in England’s capital city, vacancy rates in many of London's main office markets were below seven percent in 2023. This is good news for the office sector, as during the coronavirus (COVID-19) pandemic, the share of vacant office space across all Central London districts spiked dramatically. Compared to other European cities, London was in the middle of the ranking, alongside Frankfurt and Lisbon.

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

The Index of Private Housing Rental Prices (IPHRP) is a quarterly experimental price index. It tracks the prices paid for renting property from private landlords in Great Britain.

IPHRP is produced from a number of administrative sources and is classified as experimental by ONS.

The index compares trends (rather than levels) in average private sector rents across English regions, Wales and Scotland. It uses a complex mix-adjustment and weighting process to produce a single index for each area. This index uses data on actual new and ongoing rents.

The sample ensures that the index is representative of the stock at regional level and that it isn't distorted by units dropping out of the sample because they switch to LHA or for other reasons. This is an advantage over the VOA dataset where the sample is changing over time and may not be representative.

Tables show monthly data. Data is updated once a quarter.

Index level (January 2011 = 100). Not seasonally adjusted.

See more on the ONS Website

Renting an apartment in Cambridge cost on average more than 1,500 British pounds per month in December 2023, making it the most expensive cities for renters in the UK after London. In London, the average rent ranged between 1,400 British pounds and 3,700 British pounds depending on the location. On the other hand, Northern Ireland, Wales, and North East were the regions with the most affordable rents.

The rental prices of prime office spaces per square meter varied greatly across different European cities in 2023, ranging from over ***** euros in London to *** euros in Riga. Prime office properties typically meet specific criteria, including a good location in major commercial centers, public transport accessibility, and energy efficiency. Where in Europe are offices most expensive? London, England, had the most expensive prime office spaces with the West End, Marylebone, and Knightsbridge/Chelsea submarkets commanding the highest prices. Other European cities with high-end office rents included Paris, Milan, and Dublin. Where is the most office space leased? Larger cities with flourishing economies tend to attract most businesses despite higher office space costs. Therefore, it is unsurprising that Germany's big Four (Berlin, Munich, Frankfurt, and Hamburg), Paris, and London had the highest take-up rates for office spaces across Europe. In Berlin and Luxembourg, the share of vacant office space was less than **** percent.

Comprehensive Airbnb dataset for London, United Kingdom providing detailed vacation rental analytics including property listings, pricing trends, host information, review sentiment analysis, and occupancy rates for short-term rental market intelligence and investment research.

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.

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.

United Kingdom PHRPI: England: London data was reported at 108.337 Jan2015=100 in Jul 2020. This records an increase from the previous number of 108.333 Jan2015=100 for Jun 2020. United Kingdom PHRPI: England: London data is updated monthly, averaging 93.794 Jan2015=100 from Jan 2005 (Median) to Jul 2020, with 187 observations. The data reached an all-time high of 108.337 Jan2015=100 in Jul 2020 and a record low of 75.483 Jan2015=100 in Feb 2005. United Kingdom PHRPI: England: 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.

Price to Rent Ratio in the United Kingdom decreased to 113.62 in the fourth quarter of 2024 from 114.08 in the third quarter of 2024. This dataset includes a chart with historical data for the United Kingdom Price to Rent Ratio.

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