Demand for London rental properties has plummeted across all areas of the capital, with central neighbourhoods suffering the sharpest drop as fewer people are moving to the city for work.
The capital is the only major UK town or city facing a decline in demand, reflecting the shift to working from home that has seen proximity to central London fall down the list of renters’ priorities.
The West End recorded the biggest drop in demand of 43 per cent, followed by neighbourhoods in the east of the city centre, when tenant demand has fallen 39 per cent.
West London suffered a drop in demand of 26 per cent – the third largest decline – according to research by rental platform Spareroom.
Demand was stronger in south east and east London – which are popular with young professionals. However, figures still declined 15 per cent and 19 per cent respectively.
The slump in demand comes as the latest figures showed London rents fell eight per cent last year.
Matt Hutchinson, director at Spareroom, said:“We know that London is losing its appeal among young renters, with Covid changing the way we feel about home and how we live.
“The first national lockdown made people think twice about living in cities, especially London, and it’s clear to see this hasn’t changed. The result is a boom in demand outside London.”
|London region||Year-on-year drop in demand|
|South east||15 per cent|
|East||19 per cent|
|North||21 per cent|
|South west||21 per cent|
|North west||22 per cent|
|West||26 per cent|
|East central||39 per cent|
|West central||43 per cent|
The areas of London that have suffered the biggest drops in rental demand