Private rental prices across the UK have increased by 2.4% in the year to July 2016, unchanged compared with the year to June 2016, new figures show.
According to data from the Office for National Statistics, rents grew by 2.6% in England, 0.2% in Scotland and remained unchanged in Wales.
Rental prices increased the most in the South East at 3.5%, followed by the East of England (3.1%) and London (3.0%), both unchanged from June 2016.
The lowest annual rental price increases were in the North East (0.9%), up from 0.8% in June 2016, the North West (1.2%) and Yorkshire and The Humber (1.3%), both unchanged when compared with June 2016.
Rents continue to rise despite low inflation, which was 0.6% in July.
Average weekly earnings increased by 2.3% compared with a year earlier.
Richard Connolly, CEO at Rentplus, said: “The issue of increasing rents is not confined to London with the largest rental price increases in the South East, followed by the East of England, which highlights the fact that housing affordability is firmly a national issue. The struggles are numerous with aspirant home owners in the current climate also facing rising fuel bills, low salary growth and low interest rates from savings accounts.
“This all points to the urgent need for a rethink in this country on the housing models that are used to migrate people into home ownership. New innovations such as rent-to-buy models, which allow people to benefit from affordable intermediate rents and make real savings toward a home of their own, ought to be part of an inclusive UK property market which provides secure affordable housing options for all.”
