Rent growth across England slowed in the first quarter of 2026 despite widespread expectations that landlords would push through sharper increases before the Renters’ Rights Act came into force on 1 May.
Inventory Base says pre-Act rent spike largely failed to appear
Analysis by Inventory Base, using Office for National Statistics rental data, found average rents in England rose by 0.77 percent in the first quarter to £1,434 a month. That was slightly below the increase seen in the same period of 2025, undercutting claims that landlords broadly rushed to front-load rent rises before the new once-a-year limit took effect.
Using official ONS private rental price data, the firm said nearly three quarters of local authorities recorded slower rental growth than a year earlier. Only London, Yorkshire and the Humber, and the South West saw faster annual growth comparisons.
The headline matters because 2026 was meant to be the quarter when landlords made their move. Instead, the data points to a more uneven market where affordability still constrains pricing power in most areas, even as regulation tightens.
Affordability is still capping what landlords can charge
For landlords, the useful reading is not that rent pressure has disappeared. It clearly has not. The more important point is that the market is already doing some of the limiting. Where tenants have reached their ceiling, landlords cannot simply bank on legislation as a reason for higher rents.
That leaves a sharper divide between regions. London’s faster growth suggests some landlords in higher-demand areas still had room to reprice before the Act. In much of the rest of England, that room looks tighter. A national rule change has not produced a national pricing response.
This follows Landlord Knowledge’s report on affordability pressures keeping renters in the sector and its analysis showing rent growth had already started to cool earlier this year. The latest figures suggest demand remains firm, but not firm enough to give every landlord full control over pricing.
There is also a longer-term warning in the Inventory Base readout. If landlords now only get one clear opportunity each year to reset rent, many will become more aggressive at the start of a tenancy. That may make initial asking rents firmer, even if in-tenancy increases stay more restrained. In other words, the pressure may shift rather than disappear.
Landlords should also be careful not to read a slow first quarter as evidence that the Act is neutral. The bigger effect may show up later through tenant selection, deal structure and re-letting strategy rather than a simple burst of rent inflation. The practical choice for investors is whether to prioritise occupancy and lower churn, or push harder on headline rent and accept slower take-up.
What this means for landlords
- If you’re re-letting this spring: price carefully at the start, because the new rules reduce your ability to correct an underpriced tenancy later.
- Watch for: regional divergence, with London and a few higher-pressure markets behaving very differently from affordability-constrained areas.
- Bottom line: the Renters’ Rights Act has not given landlords automatic cover for higher rents where tenant budgets are already stretched.
Editor’s view
The fear was a last-minute rent rush before the rules changed. The data points to something less dramatic and more awkward for landlords: demand is still there, but tenants in many areas simply do not have much more to give.
Author: Editorial Team – UK landlord & buy-to-let news, policy, and finance
Published: 06 May 2026
Sources: Inventory Base, Office for National Statistics
Related reading: Affordability squeeze keeps rental pressure on landlords
