That’s according to the government’s latest English Housing Survey, which revealed the struggle tenants face to escape the rental trap.
The study showed that private renters have higher weekly housing costs (mean: £237, median: £196) than those with mortgages (mean: £222, median: £185).
On average, private renters spent 34% of their income on rent, while those with mortgages spent 19%.
Looking specifically at retired households, they spent 18% of income on mortgages and 38% on rent.
The data also showed that only 52% of private renters have savings – compared to 79% of owner occupiers.
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Sarah Coles, head of personal finance at Hargreaves Lansdown, said: “The eye-watering cost of rent is devouring huge chunks of people’s income, making it incredibly difficult to build a deposit – it’s no wonder millions of people risk being stuck in the rental trap.
“Private renters spend more on their housing costs than any other group, and because they tend to be on lower average incomes, it takes a punishingly large proportion of their cash each month.
“Younger renters face a mountain to climb paying the rent each month – and on average, private renters aged 16 to 24 spent half (50%) their income on rent. Tenants in London are struggling too – spending an average of 46% of their income on rent.”
