The average UK room rent has hit a new high of £769 per month in the third quarter of 2026 as year-on-year rental supply fell -4.7%.

Rental index data from SpareRoom reveals that of the largest top 20 cities by flatshare supply, Belfast (+6.8%) and Exeter (+4.5%) have seen the biggest year-on-year rent rises, while Swansea (-3.6%) and Manchester (-2.1%) have seen the biggest falls.

The flatshare site believes the Renters’ Rights Act has driven away landlords in England as director Matt Hutchinson says some feel the investment opportunity is no longer worth the effort of compliance. He adds: “Councils across the country are cracking down on HMOs when the need for affordable rooms has rarely been more urgent. Rents are rising, not just because supply is down, but also because a knock-on effect of banning bidding wars is that asking rents are being set higher.

Priority

“Affordable housing is supposed to be a political priority, yet the outlook for meaningful improvement is bleak as the government hasn’t yet acknowledged these problems in the rental market.”

The average monthly room rent in inner London is now into four figures (£1,002), up 2.3% on the previous quarter, and up 1.1% year-on-year. It is now just shy of the record high of £1,003 set in Q4 2023 while rent in outer London – now an average £800 per month – is holding steady (-0.2%), SpareRoom reports.

Room rental supply fell 7.3% in inner London, adds Hutchinson. “With average rents now into four figures, to affordably rent an average room in a London flat share, people will need a gross salary of at least £40K. That excludes many, including some essential and service workers, and young people starting their careers. Choked supply increases rents, so tumbling rental stock in the capital should concern everyone, as should the absence of any plan to improve the situation.”

‍