Rental demand in London fell by 11% in August 2025 compared with July as average rents dropped 5% to £576 per week according to Foxtons.

Compared to August 2024, registrations were down 13%, leaving year-to-date figures 7% lower than in 2024. Central London continues to perform similarly to last year, while South and West London are seeing the steepest year-on-year declines.

Gareth Atkins, Managing Director of Lettings at Foxtons, said: “As expected, August saw a seasonal dip in applicant demand but the market remains resilient with strong stock levels and demand to match. The increase in new listings is giving tenants more choice, while landlords continue to benefit from solid year-to-date growth. As we move into autumn, maintaining high-quality properties that are competitively priced will be key in a market where tenants are increasingly prioritising quality.”

Supply however remained strong with nearly 40,000 new listings were recorded in August. Market competitiveness, measured by new renters per new instruction, increased 10.6% month on month in August, as fewer applicants and new listings entered the market compared to July’s seasonal high.