Rents surge in wake of Renters’ Rights Bill adoption

Britain’s average rent increased by 3.9% over seven months.

Related topics:  Landlords,  Tenants,  Rent,  Renters’ Rights Bill
Property | Reporter
20th June 2025
Rent - 822
"Landlords have faced a relentless wave of legislation in recent years, and for many, the Renters’ Rights Bill is seen as a step too far"
- Marc von Grundherr - Benham and Reeves

Average rents have increased by as much as 17.4% in some areas of Britain since the Labour Government adopted the proposed Renters’ Rights Bill, according to new analysis by London estate and lettings agency Benham and Reeves.

The Bill, which is expected to become law later this summer following its House of Lords Report Stage on 1 July, has coincided with steep rent increases across many parts of the country. Benham and Reeves examined Office for National Statistics (ONS) data, tracking rent changes from September 2024 to April 2025, the period after the Bill moved past its second stage.

During this seven-month span, average rents across Britain rose by 3.9%. However, several local authorities recorded significantly sharper increases.

Newport, Wales, saw the largest jump, with monthly rents rising from £782 to £918, an increase of 17.4%. Camden in London followed with a 12.7% rise, as average rents climbed from £2,516 to £2,836. Broxbourne in the East of England recorded a 12.2% increase, Slough in the South East 11.4%, and Gloucester in the South West 9.0%.

Other notable changes include:

Rhondda Cynon Taf (Wales): up 8.8%

Dumfries and Galloway (Scotland): up 8.7%

Rutland (East Midlands): up 8.5%

Stoke-on-Trent (West Midlands): up 8.1%

Barking and Dagenham (London): up 7.9%

West Lindsey (East Midlands): up 7.8%

Derby (East Midlands): up 7.6%

Newcastle upon Tyne (North East): up 7.6%

Bath and North East Somerset (South West): up 7.4%

The figures reflect a market under pressure, where supply remains tight and demand continues to climb. Benham and Reeves highlights that some landlords are opting to leave the sector in response to the latest wave of legislative change, adding further strain to an already constrained rental landscape.

“Landlords have faced a relentless wave of legislation in recent years, and for many, the Renters’ Rights Bill is seen as a step too far,” said Marc von Grundherr, director at Benham and Reeves. “While tenant protections are important, the Bill has introduced more uncertainty into an already pressured market, and that’s prompted some landlords to sell up entirely.”

“Although the Bill includes provisions to keep rent increases in line with market values, those same market values are now rising sharply due to restricted supply and surging demand,” von Grundherr continued. “So, while rent hikes may be capped procedurally, the real-world outcome is that tenants are still facing considerable increases, with fewer rental properties available and more people competing for them.”

Benham and Reeves warn that improving affordability in the long term will require more than regulation alone. Strategies aimed at retaining landlords and increasing rental housing stock will be key to easing pressures on tenants and creating greater market stability.

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