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Economy
Apr 16, 2026

UK Private Rental Prices Stall for First Time Since 2017 as Landlords Slash Rates

AI Summary
Average private rents outside London held steady at £1,370 in Q1 2026 – the first flat reading since 2017 – as landlords cut prices, supply rose modestly and looming tenancy law changes loom over the market.

Average private rents across Great Britain have halted their near‑decade‑long climb, with the typical advertised rent outside London remaining at £1,370 per month during the first quarter of 2026, according to Rightmove data.

That flat reading marks the first time since 2017 that rents have not risen in the opening three months of a year compared with the end of the previous year, signalling a potential easing of the chronic affordability squeeze that has plagued tenants.

Rightmove warned that many renters are now hitting the “ceiling” of what they can afford, a trend compounded by broader cost‑of‑living pressures. Estate agent Jeremy Leaf noted that the Iran war that began on 28 February has heightened tenants’ financial anxieties.

Conversely, the conflict has spurred a modest influx of migrants from the Middle East, bolstering demand in the “prime” rental segment, according to Chestertons.

Rightmove’s property expert Colleen Babcock cautioned that the war’s immediate impact is an increase in borrowing costs for landlords, which could later translate into higher rents.

In response to the softening market, landlords are “positioning rents correctly for the current market.” About 26 % of rental listings have been reduced in price while advertised – the highest proportion recorded since Rightmove began tracking this metric in 2012.

After years of demand outstripping supply, the market now shows signs of balance: the number of homes available for rent is 3 % higher than a year ago, and supply is at its strongest level for this time of year since 2021.

London’s average advertised rent rose modestly by 0.7 % to £2,736 per month, still below the record peak reached in the summer of 2025.

The sector is also bracing for regulatory change. The Renters’ Rights Act, effective 1 May 2026, will abolish Section 21 of the Housing Act, ending “no‑fault” evictions. Charities have warned of a potential surge in last‑minute evictions ahead of the deadline, but Rightmove reported no noticeable increase in newly listed rentals before the law takes effect.

Analysts view the pause in rent growth as a temporary relief for tenants, yet warn that higher financing costs for landlords and the upcoming tenancy reforms could reignite upward pressure later in the year.