Nottingham posts highest rate of rental growth in England
The average rent paid for a property in the UK now stands at £1,218, up by 0.96 per cent in the 12 months to April 2019, the latest lettings index shows.
Excluding London, the average rent in the rest of the UK was £773, up 1.11 per cent, with Scotland recording annual growth of 1.78 per cent, according to data from the Landbay rental index.
Rents in London increased by 0.66 per cent and the index report suggests that landlords looking for rental growth in London should look to Islington where rents increased by 1.64 per cent, Wandsworth with a rise of 1.43 per cent or Southwark, up 1.35 per cent.
Edinburgh recorded the highest rental growth overall, up 5.44 per cent year on year while in Glasgow rents increased by 2.59 per cent and in East Lothian by 2.21 per cent.
Wales has the second highest growth in terms of countries at 1.26 per cent, but has lower rents of £658 on average.
In Merthyr Tydfil rents increased by 4.65 per cent and in Blaenau Gwent they were up by 3.92 per cent.
In England, Nottingham recorded the highest rate of rental growth at 3.84 per cent, followed by Rutland at 2.56 per cent and Leicester at 2.33 per cent while overall the East Midlands has a higher growth rate as a region at 1.98 per cent than Scotland.
Some areas in the South of England are seeing reasonable growth with rents in North Somerset and South Gloucestershire recording above average growth of 2.39 per cent and 2.25 per cent respectively, leaving the average growth for the South West region at 1.24 per cent.
John Goodall, chief executive officer of Landbay, said: “Landlords can rest assured that there is decent rental growth to be found across the UK, particularly if they look north of London.
“On the face of it, landlords have had a tough time in the past few years, from increased regulatory pressure to a significant increase in stamp duty costs, yet they have managed to shoulder many of these costs without passing them onto tenants.
“For brokers, this provides them with the opportunity to give expert advice to their clients about changing elements of the housing market and which areas have the most potential in the coming months,” he added.