Rents excluding London accelerate at fastest rate since 2008

8 September 2021

Average rents outside London have increased by 5% over the year to August to reach £790 per month, marking the highest annual jump since Zoopla began recording the data 13 years ago.

Including London, average rents increased by 2.1% across the UK in the year to August, reaching £943 a month.

London rents dragged down the UK average, falling by 3.8% over the year to £1,593, but the pace of annual decline has slowed from February when rents were down 9.8% year on year.

However, when London is taken out of the equation, UK rents grew at their fastest rate since 2008.

Zoopla says that the widening gap between demand and supply is behind the rent increases.

In the year to date, rental demand is up 19% compared to last year, while the total stock of rental property is down 13%.

It says this is typically a busy period of year as students start university, graduates begin new jobs and families relocate for the new school term.

But this August is particularly so, with demand levels up nearly 80% on 2017-2019 averages, as pent-up activity from earlier in the year returns.

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