Rent in England Exceeds Affordability Threshold
(MENAFN) New statistics released on Monday by the Office for National Statistics (ONS) reveal that average renters in England are now dedicating over one-third of their earnings to housing expenses.
Urban centers like London, Bristol, and Brighton have become progressively more out of reach for many residents due to surging rental prices.
In 2024, individuals with a median income were spending approximately 36.3% of their wages on a typical rental property, according to the ONS. This figure surpasses the 30% benchmark that the ONS defines as “affordable.”
The latest data shows a rise from 2023, when average tenants allocated 33.1% of their household income towards rent.
This growing financial burden highlights the increasing pressure renters face across the country.
The capital remains the least affordable area, with London’s private rental affordability ratio climbing to 41.6% in 2024.
This disproportionately high percentage keeps England’s national rental affordability above the 30% limit, even though the majority of regions outside of London fall below that point.
For the financial year ending in 2024, the North East was the most economical region for renters.
The typical monthly rent there was £641 ($868), representing just 19.8% of the average private renter’s household earnings.
Following closely were the East Midlands and Yorkshire and the Humber, where rental costs remained more manageable.
The escalation in rent prices over the past few years has been driven by multiple factors.
These include a mismatch between demand and available properties, shifts in living and working patterns following the pandemic, and landlords transferring higher mortgage costs—caused by rising interest rates—onto tenants.
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