The UK rental market is showing signs of stabilising after a chaotic few years, as rent hikes slow across the country. According to SpareRoom’s Q4 2024 Rental Index, London is the only UK region where rents fell, with rents declining for the fourth consecutive quarter. In Q4 2024, the average room rent in London decreased by 2%, from £1,015 in Q4 2023 to £993, marking the most significant drop in London rents since Q1 2021. The most expensive London postcode to rent in is SW3 at £1,488 (-9% y-o-y) followed by SW1 at £1,244 (with an annual decrease of 13%).
Average UK room rents rose by just 1% year-on-year from £738 to £774 - the smallest increase seen in 2024 – offering some relief to renters who faced higher increases throughout 2024.
Outside of the capital, the most expensive towns/cities to rent a room in include Twickenham (£928), Kingston-upon-Thames (£920), and Epsom (£855). Interestingly Edinburgh no longer sits in this list, however during festival season it was ranking as the most expensive place to rent in the UK outside London. At the other end of the spectrum, Bootle remains the cheapest town to rent a room, with an average rent of £447, closely followed by Barnsley (£465) and Bradford (£473).