Rising rents continue to grip the UK's rental market, pushing affordability to breaking point. According to data from SpareRoom, the average room rent has hit £761 per month nationwide, a 0.5% increase on last year and part of a broader trend that has seen national rents rise by nearly 7% over three years.
Regional variations are stark: the South West leads the way with a 1.6% annual increase, while East Anglia has experienced the largest three-year surge, with rents rising by 9.9%. In contrast, Greater London is the only region to have seen a year-on-year decrease in room rents – down 0.2% – although inner London still boasts the highest average rent at £979 per month, up just 0.3% on last year.
Cities are also experiencing varied fortunes: Norwich has seen the biggest annual increase, with room rents rising by 5.1%, while Lincoln is the only city to have seen a decrease – of 4%. London, Edinburgh, and Oxford remain among the priciest cities for renters, but other places like Swansea and Sheffield offer more affordable options, albeit with rising costs: Sheffield's £533 per month rent matches a record high set in Q3 2025.
SpareRoom director Matt Hutchinson warned that regulatory measures alone are insufficient to address the housing crisis. He said, “Rising rents across the country have to be addressed. The Renters’ Rights Act will improve standards, but it’s only half the job. The next step is to tackle affordability.” Without action to protect and expand rental supply, he fears tenants will continue to face higher rents, reduced choice, and increased pressure in an already strained market.
In London, areas like Crystal Palace and Forest Hill have seen substantial year-on-year rent hikes of 11.1%. Once considered more affordable alternatives, these areas are now highly sought after due to their green spaces, transport links, and character – pushing up rental costs as flatsharers seek a balance between quality of life and affordability.