Tenants across the UK are now spending a record share of their income on rent as affordability pressures in the private rental sector continue to intensify according to new analysis from LandlordBuyer.
The research, based on the latest official data, shows that average monthly private rents have reached £1,360, marking a 5.0% increase over the past 12 months.
At the same time, the proportion of income spent on rent has climbed to 36.3%, up from 34.2% the previous year.
Housing experts typically consider spending above 30% of income on rent to be unaffordable.
MIND THE GAP
The findings point to a widening gap between earnings and housing costs, with renters in high-demand areas often paying significantly more than the national average.
LandlordBuyer said the imbalance between supply and demand, rising landlord costs and sustained interest rate pressures are continuing to drive rental growth.
The company added that increasing regulatory and financial pressures are prompting some landlords to exit the sector, further tightening supply and intensifying competition for available homes.
CRITICAL POINT
Jason Harris-Cohen, Managing Director of LandlordBuyer, says: “The data clearly shows that rental affordability in the UK has reached a critical point. Tenants are now spending a record share of their income just to keep a roof over their heads, and this trend is not sustainable.
“Rising costs, ongoing regulatory change, and increasing financial pressure are pushing many landlords to reconsider their long-term position. As supply tightens, the result is higher rents and reduced choice for tenants.
“We need a balanced approach that supports responsible landlords while improving access to affordable housing. Without meaningful action, the gap between wages and housing costs will continue to widen, and more households will face real financial hardship.”
