Rents in England and Wales rise, says survey
Average rents in England and Wales have increased by 2.9 per cent, according to an estate agency network.
LSL Property Services’ buy to let index shows the average rent in July was £725 a month, an increase of 2.9 per cent compared to July last year and a one per cent increase on the previous month.
London, the south east and the west Midlands saw the biggest annual increases, of 4.8 per cent, 4 per cent and 3.5 per cent respectively, while rents fell in the east Midlands and the south west.
David Newnes, director of LSL Property Services, said: ‘With more tenants on the move, alongside long-term underlying demand, fierce competition for properties is enabling landlords to increase rental prices to new highs.’
David Cameron argued in January that the government’s welfare reforms are reducing rents. Housing minister Grant Shapps has repeatedly said rents are rising at a lower rate than inflation, meaning they are falling in real terms. Average inflation over the last 12 months, according to the retail price index, is 4.3 per cent.
Jack Dromey MP, Labour’s shadow housing minister, said: ‘The government’s housing and economic policies are making the housing crisis worse not better. As a result ‘generation rent’ are finding themselves squeezed further and further, making it even more difficult to save for a deposit to buy their own home.’