The longstanding disparity between rental prices in the North and South of England has reached its narrowest point in over a decade, according to survey out this morning
As of August 2024, the average rent in the South of England was 37% higher than in the North, equating to a difference of £357 per calendar month (pcm). This gap has contracted from 43% in August 2023 and a peak of 55% in November 2021.
The survey by Hamptons found that the North-South divide has also fallen in cash terms. Last month, the average rental home in the North cost £357 pcm more than one in the South, down from £378 pcm in August 2023.
Much like house prices, the rental North-South divide has been closing for the last five years. The narrowing reflects the cyclical nature of the housing market with house prices in the North of England rising 31%, nearly double the Southern rate. These figures have been mirrored in the rental market, with rents in the North of England quickly playing catch up.
But it’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, which has been caused by greater affordability pressures.
