The Acceleration of Rental Inflation (2022–2025)

Peak Inflation: The annual inflation rate for private rents in London reached a zenith of 11.0% in the 12 months leading up to January 2025 . This followed a sharp increase from an already high rate of 9.0% in December 2024 .

Sustained High Growth: Throughout this peak, London consistently registered the highest rental inflation among all English regions  . For instance, in December 2024, London's 11.5% inflation rate was more than double that of the lowest region, Yorkshire and The Humber (5.4%) .

This period of intense growth saw average monthly rents in the capital climb to unprecedented levels. By February 2025, the average rent stood at £2,235, solidifying its position as the most expensive rental market in the UK by a substantial margin .