"The 4.2% drop in the salary required to rent in the capital reflects a rebalancing in tenant demand and landlord pricing strategy, likely influenced by cost-of-living pressures and increased supply in some urban markets"
- Megan Eighteen - ARLA Propertymark
London and the South East recorded the sharpest year-on-year declines in the average salary needed to rent a typical home in their areas. In London, the figure fell 4.2%, while the South East saw a 2.9% drop, according to Propertymark.
In contrast, Yorkshire and Humberside experienced an 8% rise in average rents, increasing from £923 in September 2024 to £997 in September 2025. Northern Ireland also saw an increase, with the average required annual salary rising 3.7% over the same period.
Scotland’s rental market showed a month-on-month decline of 4.6%, with average rents falling from £1,150 in August 2025 to £1,097 in September 2025. Meanwhile, the North East remains the most affordable region for renters, with average monthly rents of £859, requiring an annual salary of £25,770.
Average rental prices and typical salaries, September 2025
Scotland: £1,097 / £32,910
Northern Ireland: £928 / £27,840
Wales: £995 / £29,850
East Midlands: £991 / £29,730
East of England: £1,342 / £40,260
London: £2,382 / £71,460
North East: £859 / £25,770
North West: £1,131 / £33,930
South East: £1,496 / £44,880
South West: £1,242 / £37,260
West Midlands: £1,056 / £31,680
Yorkshire and Humberside: £997 / £29,910
Year-on-year changes in required salary
Scotland: -1%
Northern Ireland: +3.7%
Wales: +1.1%
East Midlands: +2%
East of England: -0.5%
London: -4.2%
North East: +0.7%
North West: +2.2%
South East: -2.9%
South West: -1.1%
West Midlands: +1.4%
Yorkshire and Humberside: +8%
Month-on-month rental price changes, August to September 2025
Scotland: -4.6%
Northern Ireland: -2%
Wales: -0.9%
East Midlands: +1%
East of England: -0.3%
London: -3%
North East: -0.7%
North West: -1.7%
South East: -0.07%
South West: -2.9%
West Midlands: +0.8%
Yorkshire and Humberside: -1.2%
Megan Eighteen, president of ARLA Propertymark (Association of Residential Letting Agents), explained: "The latest data highlights a clear softening in rental prices across much of the UK, particularly in London and the South East, where affordability pressures have begun to push against rental growth. The 4.2% drop in the salary required to rent in the capital reflects a rebalancing in tenant demand and landlord pricing strategy, likely influenced by cost-of-living pressures and increased supply in some urban markets.
"However, regional variation remains significant. Yorkshire and Humberside's 8% annual increase in rent levels points to growing demand and potentially undersupplied rental stock in those areas. For landlords and investors, this underlines the importance of a granular, region-by-region view when making portfolio decisions. Affordability is still a key driver, and we're likely to see further shifts as interest rates, tenant budgets, and broader economic conditions evolve into 2026."
