The East Midlands, West Midlands, and the South West are the only UK regions that saw rents rise in January 2024.
The HomeLet Rental Index for January 2024 found that every region in the UK saw a month-on-month drop in rental prices apart from the East Midlands (0.7%), West Midlands (0.5%), and the South West (0.7%).
The average UK rent price in January has dropped by 0.6%, now standing at £1,260, with the North East still the cheapest at £655.
The average monthly rent in London has fallen by 2.2% from December 2023, but is still 4.6% higher than January last year.
“The Spring Budget approaches, and it will be interesting to see what the Conservative party announces to support landlords and tenants — if anything at all,” said Andy Halstead, CEO at HomeLet & Let Alliance.
“We believe rebuilding the housing industry after the financial battering it has undergone in recent years should be a major priority.
While Andy is positive about the short-term gains reported this month, he doesn’t believe it is time to celebrate just yet.
“By all means, view this month’s figures with optimism, but we need to take it with a massive pinch of salt and hope that the declines remain steady,” he added.
“Of course, marginally lower rents put slightly more money in tenants’ pockets and partially reduce the likelihood of defaults, but the broader landscape is still incredibly challenging for all parties — with little sign of easing.
“Landlords will have to do battle with a familiar array of struggles, including rising costs and prohibitively expensive BTL mortgage rates.
“Can the government turn it around? Only time will tell.”
