LONDON: The home rental crisis in England’s capital showed early signs of easing after a surge in available properties led to the joint-smallest increase in advertised rents across Britain.
The online property portal Rightmove said rents in London rose 4% from a year ago in May. The average remained at eye-watering level of £2,652 (US$3,355) a month.
It matched the slowest year-on-year growth among the UK regions with only Wales seeing a similarly small rise.
It also was slower than the pace of wage increases, a sign that a brutal cost-of-living squeeze is easing.
Rightmove also reported a let-up in the severe shortage of properties available to rent that sent costs for tenants spiralling in recent years.
Rent, especially in the capital, has become a major concern, with high prices and a lack of places to live becoming a prime constraint for those seeking to work in London.
Rightmove said a 15% drop in tenants looking to move to London and a 16% rise in available properties helped to re-balance the market with the capital seeing the biggest improvement over the last year.
Rightmove’s figures show tentative signs that a painful squeeze on London tenants is loosening, with wages now climbing faster than rental costs. — Bloomberg
