A new report by Kinleigh Folkard & Hayward (KFH), one of London’s leading lettings and sales agencies, reveals the average London rent at the start of 2026 reached an average of £2,339 per calendar month (pcm), which is 69% higher than the UK average of £1,384 pcm.
With the Renters’ Rights Act (RRA) taking effect on 1st May, landlords went from a period of preparation to adaptation over the course of Q1 2026. Landlords are responding to sustained demand with increased confidence, reflected in a +44% rise in lettings valuations and a +58% uplift in instructions in Q1 2026 compared to Q4 2025.
Across Q1 2026, buyers and vendors moved quickly to lock in favourable mortgage rates, with a +51% increase in viewing activity compared to Q4 2025. That momentum is carrying forward, especially across outer London where families are keen to settle ahead of the September school intake. Statistics show that flats remain in demand with buyers, though pricing must be competitive.
Now that the first phase of the RRA is in place, tenants and landlords need to ensure they stay educated and informed as to what this means in practice.
John Ennis, Chief Revenue Officer, KFH, said: “Our latest Quarterly Insights report on the lettings market shows that rents across London remain steady, though pockets of very high demand persist.
“London’s track record speaks for itself, the city’s diverse economy and global appeal result in sustained rental demand from tenants, making property a compelling long-term asset for investors and landlords.”