Tenants face crippling rises in rents, with those in London, the West Midlands, and Yorkshire and the Humber the worst affected, official figures suggest.
Rents increased by 5.3 per cent in the 12 months to July this year, according to the Office for National Statistics.
It is the largest annual percentage change since these records began in January 2016.
ONS has revealed how rents have changed in the 12 months to July 2023 by English region
The ONS said the annual rate of rental inflation began to increase in the second half of 2021.
Rises were seen across all regions except London, where prices decreased.
But the annual percentage change in rents then increased across all regions in 2022, including in London. This continued in early 2023.
In the 12 months to July this year, rental prices in Britain – excluding London – increased 5.2%
In the 12 months to July this year, rental prices in Britain – excluding London – increased 5.2 per cent, up from 5.1 per cent in the 12 months to June 2023.
Meanwhile, rents in London rose at a faster rate, at 5.5 per cent in the 12 months to July this year, up from 5.3 per cent in the 12 months to June 2023.
It is the highest annual percentage change since the London data series began in January 2006.
The number of people living in England and Wales is just shy of 60 million, according to ONS figures taken in 2021. Around nine million of these live in London.
And yet, the ONS said private rents in London account for almost a third of rental expenditure.
It highlights the high demand for rental properties in London. Combined with a lack of available homes to rent in the capital, this has helped to push up rents.
Values increased the most in London, the West Midlands, and Yorkshire and the Humber
Separate research by Goodlord shows the average cost of rent in England has reached a record £1,367 a month per property, while in London average values have climbed to £1,986 a month.
It said prices were being pushed up by students seeking accommodation for the new university term.
Aimee North, of the ONS, said: ‘There was another record annual increase for UK rents in the latest month.
‘London rental prices rose steeply to their highest annual rate since records began in 2006. The lowest annual inflation was in the North East.’
London isn’t the only place in England where rents have soared during the past year, according to the ONS data.
The regions in England with an equally high annual rent inflation of 5.5 per cent include the West Midlands, and Yorkshire and the Humber.
By contrast, the region with the lowest percentage increase was the North East at 4.6 per cent.
Harriet Scanlan, of estate agents Antony Roberts, said: ‘Although we are starting to see more rental stock come onto the market, there is still a demand and supply issue.
‘Applicants need to be extremely proactive – if a suitable property becomes available to let, they need to get in there quickly to view and be ready to offer. Chances are they will have fierce competition.’
