Date Published 13 February 2026
Rents fell across most UK regions in January, signalling a clear post-Christmas slowdown. However, when set against earnings, the cost of accessing rented housing remains persistently high — a reminder to landlords that underlying affordability pressures continue to shape tenant behaviour.
Propertymark's latest Rent Price and Salary Tracker shows month-on-month declines across much of the country, reflecting a seasonal cooling in demand. The sharpest drops were recorded in the North East (−10.0%), followed by the South West (−8.1%). Yorkshire and Humberside saw a fall of 7.4%, and Wales 6.1%. For landlords, this points to increased tenant price sensitivity at the start of the year, with many adjusting expectations in response to quieter market conditions.
Supply constraints remain the defining factor
According to ARLA Propertymark President Megan Eighteen, January's data demonstrates that while rents have softened month on month, structural pressures remain firmly in place.
She noted that although competition has eased in some areas, the annual salary required to secure a rental property has remained broadly stable — and in several regions has increased — underlining how affordability challenges are deeply embedded rather than cyclical. For landlords, this distinction is critical. Short-term rent adjustments do not necessarily signal weakening long-term fundamentals. Instead, they reflect seasonal demand patterns layered over a market still constrained by limited stock.
Affordability remains stretched
Tenant affordability has shown little meaningful improvement year on year. Salary requirements linked to securing an average rental home have shifted only marginally. London remains a notable outlier. Rents rose 3.7% compared with December, pushing the average monthly cost to £2,204. However, the representative annual income needed to secure a property eased slightly to £66,120 — suggesting modest recalibration rather than outright relief.
Regional divergence continues
Across the rest of the UK, performance varied:
• South East: average rents of £1,491, with typical salary requirements of £44,730
• South West: £1,363 average rent, with £40,890 required income
• East of England: £1,324 average rent
• North East: £894 average rent, with £26,820 income benchmark
• Northern Ireland: £913 average rent
This regional divide highlights differing levels of resilience and opportunity. While affordability ceilings may limit rental growth in higher-cost markets, comparatively lower-priced regions may continue to attract sustained tenant demand.
January's figures suggest a market adjusting seasonally rather than structurally weakening. Demand remains present, but tenants are increasingly price-conscious. With supply still constrained, downward pressure on rents may prove temporary. Landlords who remain competitive on pricing while maintaining property standards are likely to benefit from sustained occupancy and stable returns as the market moves into the traditionally stronger spring period.
