The monthly lettings index by estate agents Countrywide showed that average rent in the UK for newly let properties rose by 1.7 per cent to £876pcm in the year to February, while arrears fell in all regions.
Greater London saw the largest increase in rent, up 8.4 per cent to £1,251 per month while the south east saw the greatest decrease, down 8.1 per cent. Countrywide said this was due to a fall in demand for rental properties in the region, as more tenants move out of the private rented sector and bought their own home.
Two- and three-bedroom homes recorded the largest rise in rent, increasing 4.5 per cent and three per cent respectively year-on-year.
Average UK rents, including renewed tenancies, rose 2.2 per cent year-on-year.