Rental prices in slowdown

Growth ‘cools to four-year low but low income tenants squeezed’

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Rental prices have slowed to their lowest annual increase since the market was dealing with the impacts of the coronavirus pandemic, according to figures from a property website.

Average UK rental prices for new lets in April were 2.8% higher than a year earlier, marking the lowest rate of rental inflation since July 2021, Zoopla said.

The average monthly rent now stands at £1,287 per month, marking a £35 annual increase.

Rental price inflation is now running at less than half the levels seen a year earlier, with a typical 6.4% annual increase in rental prices recorded in 2024.

Despite the slowdown, average UK rental prices have still jumped by more than a fifth (21%) over the past three years, Zoopla said.

The website noted a particularly big slowdown in rental prices in Yorkshire and the Humber compared with a year earlier, with annual rental inflation now put at 1.1%, down from 6.4% in 2024.