London renters get some relief as prices fall

 
Helen Cahill
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Rents have been falling in London for five months in a row (Source: Getty)

Rents have been growing across the country this year - but in London, the average monthly payment has fallen, with the biggest falls taking place in the centre of the capital.

London rents went into negative territory in May this year, and have fallen by 0.31 per cent from January to November. During the same period last year, rents increased by 2.46 per cent, according to data from Landbay.

Read more: London house prices fall and are growing at slowest annual rate since 2012

This means average monthly payments have fallen from £1,894 in April to £1,883 in November.

However, across the UK, excluding London, rents rose 1.91 per cent.

HomeLet has said that London rents were just 1.6 per cent higher than a year ago in November, and that annual rental growth in London has slowed for five months in a row.

London rents have fallen most significantly in the centre of London. In Kensington and Chelsea, Westminster, and Camden, rents have fallen by 2.29 per cent, 2.18 per cent and 1.79 per cent respectively.

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John Goodall, chief executive and co-founder of Landbay, said: "When you look at the raft of regulatory, political and economic challenges coming to bear on the buy to let sector in 2016, it’s clear to see why rental growth has slowed this year, but the nation has not been equally affected.

"London has been something of a millstone for the rest of the UK, and tenants will no doubt be relieved that rental pressure has eased since the referendum, but the fall in rents is unlikely to last, and we expect the tide will turn in 2017."

Rents have been rising in parts of London however. In Bexley, rents were up 2.89 per cent in November, and in Barking and Dagenham, they were up 2.76 per cent.

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