Tenants in London are facing an unprecedented squeeze as the city's average monthly rent has soared to a record-breaking £2,121, according to the latest data from the UK's largest property portal, Rightmove.
The figures reveal a market operating at a frenetic pace, with fierce competition for available properties. The data shows that the number of prospective tenants enquiring about each rental property is now more than double the level seen during the same period in 2019, before the pandemic reshaped housing demands.
A Budget Without Relief
This alarming surge in rental costs comes amidst a backdrop of political uncertainty, with many housing experts and campaigners expressing disappointment that the recent Spring Budget offered no direct support for renters. The government's focus remained largely on other economic areas, leaving tenants to grapple with the escalating costs on their own.
Matt Smith, a property expert at Rightmove, provided a stark analysis of the situation: "The rental market is stuck in a cycle of high tenant demand and not enough available homes to rent, which is keeping asking rents growing at a pace that is well above the norm."
The Capital's Crushing Premium
The data underscores the immense premium associated with living in the capital. While the UK's national average asking rent outside of London now stands at £1,220 per month, London's figure is a staggering 74% higher. This gap highlights the intense pressure on the city's housing supply and the financial burden shouldered by its residents.
The market's velocity is another key indicator of the crisis. Rental properties in London are being snapped up at a remarkable speed, significantly faster than in any other region of the country, pointing to a critical shortage of available homes.
No End in Sight
With the Spring Budget failing to introduce measures aimed at cooling the rental market or stimulating the supply of new homes, industry observers fear the situation is unlikely to improve in the near term. The combination of relentless demand, constrained supply, and a lack of policy intervention suggests that London's renters will continue to face one of the most challenging and expensive housing environments in recent memory.
