The Office for National Statistics (ONS) has reported that rents jumped for the 14th consecutive month in May, by a record 5.1%, adding to concerns that the private rental market is struggling to meet a rising level of demand from people unable to buy a home. 

A rise in mortgage rates and the cost of living crisis have prevented many people from entering the property market over the last year, leading to a cut in the number of transactions and the end of a two-year, 20% price spurt.

However, Barret Kupelian, the chief economist at the consultancy PwC UK, said a fall in the consumer prices index (CPI) in June was likely to persuade the Bank of England to moderate further increases in the cost of borrowing. “The latest inflation reading, which was lower than economists’ expectations, means financial markets no longer expect the Bank of England’s base rate to peak at 6.5%,” he said. “We also expect next month’s headline inflation reading to garner another positive response from financial markets. This would mean that those intending to refinance their mortgages in the next few months could do so at possibly more favourable