Rental price growth has slowed significantly, according to the latest figures from Zoopla’s Rental Price Index, with the average rents for new lets agreed 2.8% higher in April 2025 than the same time a year ago.
That’s less than half of the average rental growth in April 2024, which stood at 6.4%, and the lowest growth in nearly four years.
The average monthly rent now stands at £1,287 per calendar month, up £35 over the last year.
A cool down in the rental market has been on the cards for some time now, with unsustainable price rises squeezing tenants to the edge of their affordability.
Data shows that rents have increased five times faster than house prices over the past three years.
Average UK rents for new tenancies are 21% higher since 2022, compared to just 4% for house prices, Zoopla said.
The average monthly rent has increased by £219 over this time, broadly the same as the increase in average mortgage repayments. Average annual UK rents have increased by £2,650 over the last three years, from £12,800 to £15,450.