Figures from the HomeLet RENTAL INDEX from January 2023 reveal that the average monthly price for a rental property in London has dipped to £1,989 PCM, a monthly drop of 0.9%, and the first time the price has dropped below £2,000 PCM for three months.

London’s most expensive borough remains Westminster, with average rents costing £3,290.

London’s least expensive borough continues to be Croydon, average rents cost £1,370 per month.

The borough of Brent has posted the biggest YoY rise in London, with rents increasing by 23.8% annually to a new price of £1,988 PCM.

The London headlines from this month’s report are (full table of London rent prices included below in this release): 

Average rents in London dip back below £2,000 PCM, with a 0.9% MoM drop.

The borough of Brent sees the biggest YoY rise, increasing by 23.8% annually.

Westminster remains the most expensive rental area in London at £3,290 PCM, with average rents increasing by 17.5% in the last year

Rents in London are over double the price of an average rent in all but three of the UK’s regions (South West, South East, and East of England).

On average, Londoners spend over a third of their income on rent (36.1%), a higher rate than the rest of the UK excluding London (31.3%)

The HomeLet Rental Index provides the most comprehensive and up-to-date data on rental values in the UK.  The trends reported within the HomeLet Rental Index are from data on actual achieved rental values for just-agreed tenancies arranged in the most recent period – providing an in-depth insight into the lettings market and what’s happening right now across the UK.