ONS research shows majority of England private rents rose in the year to February 2023

ONS research reported by Which? shows 50.6% of privately rented properties in England had a rent increase in the year to February 2023, with London highest at 66.8%.

Just over half of privately rented properties in England had their rent increased in the year to February 2023, according to Office for National Statistics research reported by Which? on 2 April 2023. The ONS tracked rental price changes at individual properties over time rather than following individual tenants1.

The ONS found that 50.6% of privately rented properties in its survey in England experienced a price increase between February 2022 and February 2023, compared with 36% the year before. Among those that saw a rise, the ONS estimates the average increase was 9.6%, up from 7% 12 months earlier. One in five of the properties surveyed saw monthly rent rise by 10% or more. For most of the remaining properties, 46.6%, prices stayed constant, while 2.8% saw a rent decrease1.

The ONS notes that tenancies may have changed over the year, so the figures do not show how many tenants saw a rise or reduction in rental costs. They show how rents at properties changed1.

AreaShare of properties with an increaseAverage increase
England50.6%9.6%
London66.8%12%
West MidlandsNot reported8.2%

The average percentage increase over the year was highest in London at 12% and lowest in the West Midlands at 8.2%1.

Sarah Coles, head of personal finance at Hargreaves Lansdown, said:

"The figures in London are particularly painful, with more than two thirds of rents hiked an average of 12%."
Sarah Coles, Hargreaves Lansdown, cited by Which?1

Which? reports that private renting is more common in London, at 29% of households compared with an average of 19%. It attributes rising rents to demand since the pandemic combined with a shortage of rental homes, citing Zoopla figures showing private supply has grown just 1% since 2016 and that the number of available properties has fallen by 33% over the last 18 months1.

Why it matters for households

The figures cover rent changes at properties in England, not the experience of every tenant, because tenancies can change during the year1. For tenants in England, a landlord can increase rent under section 13 of the Housing Act. In a fixed-term contract the rent cannot normally go up until the term ends, though a rent review clause may allow a mid-term rise; the landlord must give at least one month's notice, or six months' notice where the fixed term is a year. On a periodic tenancy, rent cannot normally be increased more than once a year without the tenant's agreement, and at least one month's notice must be given where rent is paid weekly or monthly1.

Any rise must be in line with prices of other local properties. A tenant who considers a rise excessive compared with similar properties can apply to a tribunal before the date the increase is due to start; a decision can take up to 10 weeks, and rent must keep being paid while a rise is challenged1. Tenants in England or Wales may qualify for the Debt Respite Scheme, also called Breathing Space, which gives a 60-day window in which a landlord cannot take enforcement action; a similar moratorium exists in Scotland1. Renting rules differ in Scotland, Wales and Northern Ireland1.

What happens next

No further steps are set out in the research reported. The ONS figures cover the 12 months to February 2023 and no later data is included1.

Sources1 cited
  1. Rents hiked on the majority of homes in the last year: what are your rights? - Which? which.co.uk