UK Rental Price Trends: Rising Rents
UK rental price trends show average UK rents rising in July 2025 to £1,313 amid persistent demand and tight supply. This marks the seventh straight month of increases, according to the latest HomeLet Rental Index, as limited supply and ongoing demand continue to drive up prices.
National Trends: Modest Growth Masks Regional Disparities
Outside of London, average rents rose to £1,132 per month – also a 0.4% month-on-month rise and up 1.7% compared to July 2024. While these national figures may appear relatively stable, a deeper dive reveals stark variations between regions, highlighting the uneven impact of current market pressures.
Scotland recorded one of the most significant monthly increases, with average rents jumping 2.1% to £1,017. In contrast, the East Midlands experienced a notable drop of 0.9%, bringing average rents down to £896. Consequently, these fluctuations reveal a fragmented market shaped by diverse local dynamics and landlord decisions. Meanwhile, market effects vary significantly.
Market Jitters and Landlord Uncertainty: UK Rental Price Trends
According to Will Eastman, Head of Legal at HomeLet and Let Alliance, the ongoing uncertainty is making its presence felt.
“Rents are still inching upwards, but there’s no ignoring the role that market instability is playing,” he said. “A mix of rising operational costs, regulatory changes, and emerging risk factors is pushing some landlords to re-evaluate their position.”
At the centre of these concerns is the proposed Renters’ Rights Bill. While aimed at improving tenant protection, the legislation has sparked debate about its potential consequences. Some landlords fear it may discourage property investment or add burdens that push them out of the sector altogether.
Eastman added that although a number of landlords may exit the market, others are instead turning to tools like Rent Guarantee Insurance to offset risks. Furthermore, this shift reveals a broader trend towards cautious, stability‑focused landlord strategies in an increasingly volatile rental market. Consequently, those strategies prioritise long‑term security amid uncertainty.
Pressure from All Sides: UK Rental Price Trends
The UK rental market in 2025 remains tight, with demand continuing to outstrip available homes. A shrinking pool of rental stock, influenced in part by landlords either selling up or opting not to expand their portfolios, is driving the trend.
Even as some regions saw minor decreases – such as Northern Ireland and the East of England – these dips have done little to halt the overall upward movement. The average rent in Greater London, for instance, ticked up slightly to £2,083 despite being lower than the same time last year. This reflects how persistent demand in high-density areas is propping up prices, even against a backdrop of broader economic caution.
Regional Rent Breakdown – July 2025
Here’s a closer look at how rental prices changed across the UK over the past month and year:
| Region | Jul-2025 | Jun-2025 | Jul-2024 | Monthly Change | Annual Change |
| Yorkshire & Humberside | £920 | £914 | £880 | +0.7% | +4.5% |
| Wales | £933 | £918 | £894 | +1.6% | +4.4% |
| Northern Ireland | £935 | £941 | £901 | -0.6% | +3.8% |
| North West | £1,082 | £1,074 | £1,058 | +0.7% | +2.3% |
| West Midlands | £1,026 | £1,023 | £1,003 | +0.3% | +2.3% |
| East of England | £1,304 | £1,305 | £1,284 | -0.1% | +1.6% |
| South West | £1,194 | £1,193 | £1,186 | +0.1% | +0.7% |
| East Midlands | £896 | £904 | £889 | -0.9% | +0.8% |
| South East | £1,431 | £1,429 | £1,422 | +0.1% | +0.6% |
| Scotland | £1,017 | £996 | £1,016 | +2.1% | +0.1% |
| North East | £701 | £693 | £702 | +1.2% | -0.1% |
| Greater London | £2,083 | £2,078 | £2,101 | +0.2% | -0.9% |
| UK Average | £1,313 | £1,308 | £1,308 | +0.4% | +0.4% |
| UK excl. London | £1,132 | £1,127 | £1,113 | +0.4% | +1.7% |
What Lies Ahead?
As the year progresses, all eyes will be on whether proposed legal reforms will pass, and how the market might respond. Landlords are treading carefully, and tenants are increasingly feeling the pinch.
Despite uncertainty, the rental market balances on a tightrope shaped by shifting policies and financial pressures. Meanwhile, rental prices keep climbing and appear unlikely to slow.
