The gap between the cost of renting in the North and South of England has narrowed to its lowest point in over a decade, Hamptons analysis shows. 

The average rent in the South is 37% higher than the North, down from 43% in August 2023 and 55% in November 2021.

In the South of England rental growth has cooled from 8.7% to 5.0% over the last year.

Meanwhile in the North rents are still rising 9.6% year-on-year, a similar pace to last year.

Aneisha Beveridge, head of research at Hamptons, said: “I’s only been in the last year that the gap has really started to narrow beyond the point we’ve previously seen.

“This has been driven by the slowing of rental growth across Southern England caused by greater affordability pressures.

“While tenants in the South have seen weaker growth in percentage terms, in cash terms, they’ve faced big rises.

“A 10% increase in South of England rents would cost tenants an extra £1,581 a year, £428 more than for a tenant in the North.”

Adjusting for inflation, rents have risen 10% across the country since 2019, equating to an average of 2% each year.

In real terms, rents in the North of England have increased by 24%, compared to 10% across the South of England.

Much of this surge has been in the North West, where rents have risen on newly let properties by 53% since 2019.

Rents in Wales (-5%) have fallen in real terms over the 5-year period.

Meanwhile, Greater London rents only just sit in positive territory, having seen 3% real rental growth since 2019.

Via @PropertyWire