UK rental affordability crisis spirals, LandlordBuyer finds

New analysis by LandlordBuyer has highlighted growing pressure across the UK private rental market, with tenants now spending a record share of their income on housing as affordability continues to deteriorate.

Drawing on the latest official figures, the findings show that rental costs have continued to rise faster than earnings, leaving many households under increasing financial strain. The research points to a deepening affordability crisis that is reshaping the rental landscape and creating significant challenges for both tenants and landlords.

• The average monthly private rent in the UK is now £1,360, according to the latest figures.
• Rents have increased by 5.0% over the past 12 months.
• Tenants now spend an average of 36.3% of their income on rent.
• This is up from 34.2% the previous year.
• Housing experts typically consider spending above 30% of income on rent to be unaffordable.
• Many renters in high-demand areas are spending significantly more than the national average.

According to the most recent data, the average monthly private rent across the UK has reached £1,360, representing a 5% increase over the past 12 months. At the same time, the proportion of income spent on rent has climbed to levels that housing experts consider unaffordable.

LandlordBuyer’s analysis suggests that the ongoing imbalance between supply and demand, rising landlord costs, and sustained interest rate pressures are continuing to drive rental growth. As a result, many renters are allocating a growing share of their income to housing, leaving less for essentials, savings, and long-term financial security.

The company says these trends are also having a knock-on effect on landlords, with increasing numbers facing regulatory and financial pressures, prompting some to exit the sector. This reduction in supply is further intensifying competition for available properties and pushing rents higher.

LandlordBuyer believes the situation reflects a structural shift in the housing market, with affordability becoming a central concern for policymakers, investors, and housing providers.

Jason Harris-Cohen, managing director of LandlordBuyer, said: “The data clearly shows that rental affordability in the UK has reached a critical point. Tenants are now spending a record share of their income just to keep a roof over their heads, and this trend is not sustainable.

“Rising costs, ongoing regulatory change, and increasing financial pressure are pushing many landlords to reconsider their long-term position. As supply tightens, the result is higher rents and reduced choice for tenants.

“We need a balanced approach that supports responsible landlords while improving access to affordable housing. Without meaningful action, the gap between wages and housing costs will continue to widen, and more households will face real financial hardship.”

LandlordBuyer says that greater stability in the private rental sector, alongside increased housing supply, will be essential to improving affordability in the years ahead. The company continues to work with landlords across the UK, providing solutions for those looking to sell tenanted properties quickly and without disrupting tenants.