Rental affordability across the UK remained broadly stable over the past year but sharp month-on-month rent spikes driven by the pre-Christmas move-in rush are putting fresh pressure on tenants in several regions, according to new analysis from Propertymark.
The data shows that while annual shifts in average rents and the salaries needed to secure a typical home were modest in most areas, short-term volatility has become the dominant force shaping affordability.
Regions including the North East, Wales, the South West, Yorkshire & Humberside and parts of the Midlands all recorded significant rent increases between October and November.
By contrast, London, Scotland, Northern Ireland and the East of England saw far steadier year-on-year trajectories, with limited month-to-month movement – a divergence Propertymark says reflects a market becoming increasingly polarised, where national averages mask highly localised pressures.
MARKET SNAPSHOT
Propertymark’s monthly tracker compares final agreed rental prices with the representative gross annual salary typically required by referencing agencies to rent affordably in each region, offering a snapshot of how incomes are aligning with the realities of the private rented sector.
The November figures show only marginal changes in the salaries needed to secure an average rental home across most of the UK.
Scotland saw a 1.7% rise year-on-year, the East of England 1.6% and Yorkshire & Humberside 1.9%.
London recorded a slight easing, with the required salary dipping 1.1% to £66,240. Wales and the East Midlands saw more pronounced improvements in affordability, with required salaries falling by 4.5% and 2.1% respectively.
DIFFERENT STORY
But the month-on-month rental shifts tell a sharply different story. The North East experienced a dramatic 39.7% spike between October and November, pushing the average rent to £1,273.
Wales saw rents jump 15.3%, the South West rose 20.1% and Yorkshire & Humberside climbed 18.2%. Even the typically steadier South East recorded a 7.9% increase.
In London, rents dipped slightly on the month – down 1.6% – but remain the highest in the UK at an average of £2,208, requiring a representative annual salary of £66,240.
SEASONAL SQUEEZE
Megan Eighteen (main picture, inset), President of ARLA Propertymark, says: “Seasonal pressures are clearly influencing the market as we move into the pre-Christmas period, with many tenants aiming to secure a home before the end of the year.
“This surge in demand is amplifying short-term rent increases in several regions, even though the underlying year-on-year trends remain relatively steady.
“What we’re seeing is not a fundamental shift in affordability, but a seasonal squeeze layered on top of an already tight rental landscape.
“Unless more homes become available to rent, rent levels will continue to place a significant strain on households looking to move at peak times of the year.”
