UK rental growth saw the same modest +0.2% increase from May to June as April to May, according to the latest HomeLet Rental Index.

Many London boroughs saw a decrease in the average rental prices in June. Wandsworth had the biggest decrease (-5.9%), followed by Hammersmith, Fulham, Kensington and Chelsea (-4.3%), Westminster (-3.9%), Tower Hamlets (-3.1%), Bexley and Greenwich (-2.7%), Lambeth (-2.7%), Hackney and Newham (-2.1%), Lewisham and Southwark (-2.0%), Haringey and Islington (-1.8%), and Hounslow and Richmond upon Thames (-1.1%).

It was a disappointing month for some Boroughs though, who were impacted by notable increases, such as Barnet (4.2%), Brent (2.7%) and Enfield (2.0%). Other increases include Bromley (1.7%), Croydon (1.0%), Merton, Kingston upon Thames and Sutton (0.9%), Redbridge and Waltham Forest (0.8%), Harrow and Hillingdon (0.3%), Barking, Dagenham and Havering (0.3%) and Ealing (0.1%).

Outside of London, renters in Scotland faced the highest average increase in the UK, with a whopping +3.8%. Other regions that saw an increase were Northern Ireland (+1.8%), Wales (+1.6%), South East (+1.5%), East of England (+1.2%), West Midlands (+0.4%), North West (+0.3%), East Midlands (+0.2%) and the North East (+0.1%).

Amidst an uncommon beacon of optimism for the rental sector, rents decreased in Greater London (-1.6%), Yorkshire & Humberside (-0.6%) and South West (-0.3%).

HomeLet and Let Alliance CEO, Andy Halstead, comments on the future of the rental sector and the lack of support from the government:

“The data and analysis speak for itself. All stakeholders in the private rental sector are managing their way through turmoil, not least landlords and tenants. Professional Letting Agents have the most difficult task, balancing the needs of both, whilst working in a political void, with uncertainty everywhere.

“It is rarely quoted that a tenant can now quite easily occupy a rental property for 12 months or so, without paying a penny in rent. Whilst this is a fact, politicians run away from dealing with the challenge.

A viable private rental sector requires support for all stakeholders, including agents and landlords, this still looks like a pipe dream. Rent Guarantee and Legal Protection have never been more important.”

The full breakdown of rent increases, variances and rent-to-income ratios can be found on the HomeLet website.