UK rental market: Tenants spending nearly one-third of income on rent

New research from Lomond reveals that tenants in the UK are spending approximately 32.7% of their annual income on rent. The average monthly rent has risen by 4.3% year-on-year, currently standing at £1,369.

Significant regional disparities exist within the market. London remains the most expensive area, with average monthly rents reaching £2,418, which is 76% higher than the national average. In the North West and Yorkshire, average monthly rents reached £1,215 and £1,283, respectively, representing 5% increases.

The rental market is currently navigating changes brought about by the Renters’ Rights Act. John Ennis, Chief Revenue Officer of Lomond, noted that while the market remains resilient, affordability is a primary concern for households. He observed that renters are shifting priorities toward long-term value and high-quality accommodation rather than a simple slowdown in demand.