UK private rents rose 3.5 percent in the year to April 2026 while annual house price growth dropped to zero in March, according to the latest Office for National Statistics bulletin, leaving landlords with a market where rental income is still edging up but capital growth has stalled.
The ONS said the average monthly private rent across the UK reached £1,381 in April, up £46 from a year earlier. In England, average rents hit £1,438, while Wales reached £834 and Scotland £1,019. At the same time, the average UK house price was unchanged year on year at £268,000 in March after the annual growth rate slowed from 1.7 percent in February.
Rents keep rising as sales momentum fades
For landlords, the split between rent growth and flat house prices matters. The latest figures show rental inflation remains firm even after the sharp post-pandemic spikes eased, while the sales market has lost momentum following the stamp duty-driven distortion seen a year earlier.
Nathan Emerson, chief executive of Propertymark, said rents were still moving upwards because supply remained constrained in many local markets. He said agents continued to report strong competition for good-quality rental homes, especially family housing and homes near transport links and employment centres.
That supply argument is backed by other recent industry data. Landlord Knowledge’s earlier report on the latest RICS survey found tenant demand was still rising while landlord instructions remained under pressure, pointing to the same shortage that is keeping rents firm.
The ONS said rent inflation was highest in the North East at 6.5 percent and lowest in London at 2.0 percent. Scotland’s annual rent rise slowed to 2.0 percent, the lowest for more than four years, while Wales recorded the fastest growth among the home nations at 4.9 percent.
Landlord costs are still feeding through
Louisa Sedgwick, managing director of mortgages at Paragon Bank, said rent inflation had moved back into line with wage growth after the severe upward pressure seen in the post-Covid market. But she also warned that landlords were still dealing with rising operating costs, tax pressure and wider inflation risks.
That is the part of the ONS release landlords will watch closely. Flat house prices may soften expectations of near-term capital gains, but steady rent growth still supports income. The problem is that higher tax bills, compliance costs and borrowing costs continue to eat into margins, particularly for smaller landlords without much room to absorb extra spending.
This follows Landlord Knowledge’s April report on regional rent trends, which showed Scotland and London had already started to diverge from other parts of the market. The latest ONS figures suggest that pattern is becoming clearer, with London staying weak on annual rent growth while some regional markets continue to push ahead.
The house price side of the bulletin also adds context for buy-to-let investors considering purchases. The ONS said prices in England fell 0.6 percent year on year to £290,000, while Wales rose 2.9 percent and Scotland rose 1.6 percent. London recorded the weakest annual performance of any English region, with prices down 2.1 percent.
For landlords looking to buy, refinance or rebalance portfolios, that could create a more selective market rather than a clearly rising one. Regional yields, local rent strength and financing costs are likely to matter more than headline national house price growth over the coming months. The primary data is set out in the ONS private rent and house prices bulletin for May 2026.
What this means for landlords
- If you’re reviewing rents: the data still points to upward pressure in many regions, but local supply and affordability matter more than broad UK averages.
- Watch for: weaker house price growth in England and London, which may improve buying opportunities but limit short-term capital upside.
- Bottom line: rental income is still rising, but landlords will need tighter cost control because flat prices do not leave much margin for mistakes.
Editor’s view
The headline here is not that rents are surging again. It is that rents are still rising even after the worst of the inflation spike, because the supply problem has not been fixed. For landlords, that keeps income onside, but it also means every tax and compliance change lands in a market that is already tight and fragile.
Author: Editorial Team – UK landlord & buy-to-let news, policy, and finance
Published: 20 May 2026
Sources: Office for National Statistics, Propertymark, Paragon Bank
Related reading: RICS: weak sales market keeps pressure on rentals
