Average rents in the UK fell in the first quarter of 2019 by 0.2% to an average of £796 a month but where up by 2.7% year on year, the latest national index shows.
But in London, asking rents are soaring up by 8.2% year on year to a record £2,093 per month and in the first quarter they increased by 2.9%
The 8.2% annual growth is the highest in London since 2012 and the data also shows that the reason is that demand is outstripping supply with the number of available rental properties in the capital down by 33% compared with two years ago. Supply in the rest of the UK fell by 13%.
The North East was the only region to have seen a drop in rents over the past 12 months, down by 0.3%, while outside of London the biggest rise was in Scotland, up 6.7%. The highest rents outside of London are in the South East at £1,054 per month.
The ban on tenant fees comes into force in England on 01 June this year and tenancy deposits will be capped at five weeks. Based on the changes, the cheapest deposits outside of London will be in the North East, at £630 per property on average.
The most expensive will be in London at £2,415 per property. In London the cheapest deposit will be in Rainham at £1,216 with the most expensive in Kensington at £4,065.