Tenants still struggling despite slowing rent growth warns charity

Tenants still struggling despite slowing rent growth warns charity

0:02 AM, 29th January 2025, About 2 days ago

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A debt charity is warning that tenants are facing ongoing financial difficulties, despite new data pointing to the slowest increase in private rents since 2021.

Stepchange says that Rightmove’s rental tracker offers little relief in rent inflation as rents are 4.7% higher than they were a year ago.

Research carried out by StepChange reveals that 22% constantly worry about their finances.

Rents have continued to grow

The charity’s chief client officer, Richard Lane, said: “While the overall rate of inflation has fallen closer to the Bank of England’s target, private rental prices have continued to grow at a stubbornly high rate in recent months.

“A slight fall in rent prices is positive, but we know that the unaffordable cost of renting remains a huge financial burden on households, making it difficult for people to cover other bills, pay off debts or pay into their savings.”

He added: “We’re pleased to see the Renters’ Rights Bill progressing through Parliament, which will end section 21 ‘no-fault’ evictions – a long overdue piece of legislation.

“However, we’ve long called for strengthened protections for private renters facing financial hardship.”

Advertised rent for properties

The data from Rightmove shows that for the first time since before the pandemic, the average advertised rent for properties coming to market outside of London has fallen.

It now stands at £1,341 – a drop of 0.2%.

Although rents remain 4.7% higher than they were at this time last year, this marks the slowest rate of growth since 2021.

Meanwhile, in London, average advertised rents continue to climb, achieving a record high for the 13th consecutive quarter at £2,695 – a rise of 0.1%.

The platform says that the rental market is seeing an improvement in supply, with the number of available rental properties now 13% higher than at the same time last year.


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