London luxury rents surge 70% amid shrinking supply

Luxury house rents in Prime Central London surged by approximately 67% during the first half of 2026, reaching an average of £4,177 per week. According to the Millionaires Letting in London Survey by Beauchamp Estates, this spike is driven by a significant contraction in supply, with rental volumes for properties exceeding £1,000 a week falling by over 44% year-on-year.

While house rents saw dramatic increases, luxury apartments and penthouses rose by more than 15%, averaging £1,957 per week. The market is experiencing heightened demand from international tenants, including a 30% increase in applicants from the Middle East, a 20% rise from the United States, and a 5% increase from China.

Record-breaking transactions include a Mayfair house on Mount Street let for £33,000 a week and a Chelsea townhouse in Cheyne Walk let for £30,000 a week. Beauchamp Estates attributes the supply shortage to landlords exiting the market due to concerns regarding taxation and regulation.