Rents for UK housing increased by 3.8% in 2015

Rents on the UK housing market increased on average by 3.8 percent in 2015, according the latest results published by the Landbay Rental Index. The country’s housing shortage saw rent increases outpace wages in many regions, with the average monthly rent on the UK market pushed to GBP 1,280. The highest monthly rents were reported in London at GBP 2,047, followed by the South East at GBP 1,019. The biggest drop was in the East of England with monthly rents averaging GBP 863.

“Despite a small seasonal dip towards the end of the year, rents rose significantly ahead of wages in 2015,” said John Goodall, CEO at Landbay. “Rents often track wages as consumers with more pay compete for the most desirable rental properties, but the fact that rents are outpacing wages is a clear sign of the shortage in properties to rent as large parts of the UK face an acute housing shortage. This trend is clear in London and the South East, along with large parts of the East Midlands and East Anglia, and it is most evident for three-bedroom properties.”