Key takeaways
- Nationwide common asking lease reaches new file: £1,385 per calendar month (+1.5% this quarter, +3.1% since Oct 2024)
- Larger London common asking lease: £2,736 pcm (+0.9% this quarter, +1.6% since Oct 2024)
- Variety of rental properties out there: +9% since Oct 2024, however nonetheless -23% versus 2019
- Variety of new rental listings: +1% vs Oct 2024
- Tenant demand: -14% vs Oct 2024
- Renters’ Rights Act given Royal Assent on 27 October, which means the proposed adjustments to rental market laws turn out to be legislation
The common asking lease reached a brand new excessive in October 2025 with London at £2,736 pcm and the nationwide common at £1,385 pcm. Rental costs are nonetheless hitting file highs, however the tempo of development has began to settle, suggesting the market’s discovering a steadier rhythm.
This rental market replace comes in opposition to the backdrop of the largest adjustments to rental market laws in a long time, the Renters’ Rights Act. Learn extra about what the adjustments may imply in the event you’re renting a house right here, or in the event you’re a landlord navigating the adjustments.
The rental market at a look
Whereas rents in rose by 0.9% in London in Q3 2025, and nationwide marketed lease climbed 1.5% throughout the identical interval, the full annual will increase for the yr ended October 2025 had been 1.6% in London and three.1% nationally.
It’s really the smallest bounce in rents we’ve seen since 2020, each throughout the nation and in London. By way of worth development, issues are cooling after a number of years of actually sharp rises.
Inventory ranges are bettering slowly: out there properties are up 9% yr‑on‑yr. Nevertheless, the full variety of out there leases continues to be nicely under pre-pandemic ranges, down 23% on 2019.
Nationwide common asking lease (excluding London)
| Quarter | Avg. asking lease per 30 days | Quarterly change | Annual change |
|---|---|---|---|
| Q3 2025 | £1,385 | +1.5% | +3.1% |
| Q2 2025 | £1,365 | +1.2% | +3.9% |
London common asking lease
| Quarter | Avg. asking lease per 30 days | Quarterly change | Annual change |
|---|---|---|---|
| Q3 2025 | £2,736 | +0.9% | +1.6% |
| Q2 2025 | £2,712 | +0.5% | +1.9% |
Supply: Rightmove Rental Value Tracker, Q3 2025
Regional rental developments
Supply: Rightmove Rental Value Tracker, Q3 2025
What’s occurred to demand from tenants?
Affordability stays a problem for tenants. The price of renting nonetheless consumes 44% of the typical wage – up from 40% 5 years in the past. For renters saving to purchase, the price of a 20% deposit on a typical first residence has additionally risen by simply over £5,000 in the identical interval – from £40,326 in 2020 to £45,374 in October 2025.
Apparently, demand for leases has dropped 14% throughout the 12 months ended October 2025, with this contributing to the 9% annual enhance in whole out there rental properties, regardless of only a 1% enhance in new listings.
Daniel Fisher, Head of Lettings at John D Wooden & Co says: “Tenant demand has eased as wider financial and political uncertainty makes individuals extra cautious about transferring, with many companies scaling again relocations and a few renters leaving London altogether. This has led to extra re-let properties coming to market, at the same time as the general variety of landlords declines. The result’s a slower, extra cautious market that’s more likely to stay uneven over the subsequent yr or so – although this additionally presents alternatives for well-capitalised landlords to broaden as others exit, and for tenants to profit from a wider alternative of properties.”
Quarterly adjustments in common rents:
Supply: Rightmove Rental Value Tracker, Q3 2025
Which places have seen the largest change in common asking lease?
| Space | Area | Common asking lease per calendar month Q3 2024 | Common asking lease per calendar month Q3 2025 | Annual change |
|---|---|---|---|---|
| Fulwood, Preston, Lancashire | North West | £970 | £1,284 | +32% |
| Keighley, West Yorkshire | Yorkshire and The Humber | £815 | £1,038 | +27% |
| Frome, Somerset | South West | £1,305 | £1,660 | +27% |
| Newquay, Cornwall | South West | £1,115 | £1,372 | +23% |
| Gainsborough, Lincolnshire | East Midlands | £651 | £795 | +22% |
| Paisley, Renfrewshire | Scotland | £844 | £1,004 | +19% |
| Billericay, Essex | East of England | £1,837 | £2,173 | +18% |
| Prenton, Wirral, Merseyside | North West | £956 | £1,130 | +18% |
| Aigburth, Liverpool, Merseyside | North West | £1,053 | £1,241 | +18% |
| Burgess Hill, West Sussex | South East | £1,624 | £1,904 | +17% |
Supply: Rightmove Rental Value Tracker, Q3 2025
What influence may the Renters’ Rights Invoice have?
As of 27 October 2025, the Renters’ Rights Invoice obtained Royal Assent, formally turning into legislation. It’s anticipated that this can have a significant influence the rental market over the approaching months as tenants and landlords modify to the adjustments.
Colleen says: “The laws is meant to offer tenants extra safety and adaptability of their rental residence. By way of tenant behaviour, we’re already seeing a development of some tenants staying put for longer, and this laws may enhance that additional. In our information, pets are the primary factor renters seek for when in search of a rental residence, so the transfer to offer tenants the precise to request a pet ought to have a huge impact.”
Learn our full quarterly rental report right here.
