UK private rents rose 3.8% to an average of £1,406 a month in the 12 months to September, according to provisional estimates from the Office for National Statistics (ONS). The annual growth rate is unchanged from August, and the average rent is £52 higher than a year ago.
National breakdown
Private rents in England rose 4.0% to £1,466, matching the August rate. Wales recorded a 4.1% rise to £848, down from 4.3% in August and from the most recent peak of 8.9% in March 2025. In Scotland, rents rose 0.7% to £1,011, slowing from 1.1% in August. That is the lowest annual change since the ONS Price Index of Private Rents (PIPR) annual series began in January 2016.
Northern Ireland’s figures run two months behind. Average rent there reached £879 in July, up 1.7% from a year earlier and slightly above the 1.6% recorded in the 12 months to June. Annual inflation has generally slowed since the record 9.9% rise in April 2024.
Regional outlook
The North West recorded the highest annual private rent inflation of any English region at 5.7%, down from 5.8% in August. London and the South East were the lowest, both at 3.5%. The rate rose in the South East from 3.0% in August and held steady in London. Average rent was highest in London at £2,338 and lowest in the North East at £790.
Industry comments
“Rising rental prices continue to highlight the affordability challenges facing tenants, many of whom are already under significant pressure from the cost of living,” said Nathan Emerson, chief executive of Propertymark. “Landlords are also having to adapt to changing market conditions and balance rising costs with the need to keep homes affordable.
“Creating the right conditions for landlords to invest in the private rented sector and increase the supply of homes will be essential to easing pressure on rents and improving choice for tenants.”
“Continued rental growth highlights the pressure that remains on the private rented sector, even as the market becomes more balanced in some areas,” added Alex Upton, managing director, specialist mortgages and bridging finance at Hampshire Trust Bank.
“Rightmove’s latest figures suggest that the supply of rental homes is still struggling to grow, with London facing particularly acute pressures. The concern is that we are not seeing enough new landlord investment to make a meaningful difference to the availability of homes.
“There is no shortage of demand for good-quality rental accommodation, but that alone is no longer enough to encourage landlords to invest. Higher borrowing and operating costs have changed the calculations, and experienced investors are looking much more carefully at where they commit capital.
"The conversations we’re having are increasingly about how a property will perform over time, what it adds to an existing portfolio and whether there is scope to improve returns through refurbishment or a different investment strategy. Strong tenant demand is only part of the equation. Landlords also need to see that the investment makes financial sense.
“That is contributing to continued interest in specialist property types such as HMOs, where experienced landlords can potentially generate more resilient income while meeting demand for shared accommodation. But these are not always straightforward investments, and funding needs to reflect the property and the investor’s wider plans.
"The challenge is creating the conditions in which landlords have the confidence and financial flexibility to continue investing. Without that investment, it will be difficult to make meaningful progress on rental supply, however strong tenant demand remains.”
“Rental value growth continues to be supported by tight supply and landlords setting higher asking rents to compensate for the greater risks they face with the Renters Reform Bill around void periods and selling or gaining possession of their property,” noted Tom Bill, head of UK residential research at Knight Frank. “The upward pressure is likely to continue as legislation like the Minimum Energy Efficiency Standards is on the horizon and may require extra expenditure.”
