Figures from the Office for National Statistics show that average rents increased to £1,394 (7.1%) in England, £799 (8.5%) in Wales, and £999 (4.5%) in Scotland in the 12 months to May 2025.
Average rents increased to £848 (7.7%) in Northern Ireland in the 12 months to March 2025.
Private rents annual inflation in England was highest in the North East (9.7%) and lowest in Yorkshire and The Humber (3.7%) in the 12 months to May 2025.
Sarah Coles, head of personal finance at Hargreaves Lansdown, said: “Hope blossomed for renters in May, as rent rises slowed again. There are some signs of more balance returning to the market, with more properties up for rent and fewer tenants on the hunt for a home. There have even been some rent reductions from landlords who realised they’d been over-optimistic with pricing.
“This owes a great deal to how unaffordable rents have become. The fact rents have been rocketing for four years – well ahead of wages – has pushed more renters out of the market. Fewer are able to leave the family home, more are returning to it, and some are stretching to a house purchase to get out of the rental cycle. Meanwhile, rising rents are helping to balance the books for landlords, so their exodus from the market is slowing.”
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Alex Upton, managing director – specialist mortgages & bridging, at Hampshire Trust Bank: “Rents continue to rise, and it is no surprise. Supply is still struggling to meet demand, and competition for well-located rental properties remains high. That pressure is unlikely to ease in the near term. New housing delivery may help, but even if government targets are met, it will take time for that stock to reach and influence the rental market.”
