Rents for new tenancies rise at lowest level for four years

Rents for new tenancies rise at lowest level for four years

New research from Zoopla shows that over half (52%) of local authorities across Britain now have average rents of over £1,000 pcm. 

This is up from less than a quarter of local authorities (23%) in 2020.

However despite this, rents for new tenancies rising at their lowest level for four years, and up just 1.9% in the year to November 2025. 

There are 14% more homes for rent compared to a year ago, largely driven by a decline in international migration for work and study, and improved conditions for first-time buyers who typically leave the rental market when they purchase their first home. 

Number of areas where average rents >£1000 per month and % of region/country

Region/countryNumber 2020Number 2025% areas 2020% areas 2025
London3333100%100%
South East326350%98%
Eastern143631%80%
South West2188%69%
West Midlands080%27%
Scotland060%21%
East Midlands060%17%
Yorkshire and The Humber020%13%
Wales030%14%
North West040%11%
North East010%8%
Total8118023%52%

Source: Zoopla, data as at November each year

Although pressure is easing in the rental market, affordability remains stretched. 

Many households are still paying historically high rents, especially in southern England and major cities, where £1,000+ pcm is now the norm rather than the exception. 

Local authorities that have recently tipped over the £1,000pcm include the City of Nottingham (£1,015pcm), Leeds (£1,013pcm), Thanet (£1,017pcm), East Devon (£1,032pcm) and Stirling in Scotland (£1,040pcm). 

However due to the slowdown in rental growth for new tenancies, renters now  have more choice and slightly more bargaining power, meaning it may be easier to negotiate or move. 

This article is taken from Landlord Today