Rents have continued to rise steadily across Britain after George Osborne's tax rises for buy-to-let landlords, new figures have revealed.

However, concerns that landlords would increase rents substantially in a bid to recoup their losses have so far been 'unfounded', according to insurer HomeLet. It said rents on new tenancies signed on rental property outside London during the three months to April were on average 5.1 per cent higher than a year ago, up from 4.9 per cent in March. 

It means the average rent across the country - excluding London - now stands at £764 a month, HomeLet said.

 

 

+1

Rents have continued to rise steadily across Britain after George Osborne's tax rises for buy-to-let landlords

It follows a 3 percentage point increase in stamp duty on buy-to-let properties, and a reduction in the tax relief that landlords can claim.

However, the reduction in the tax relief that landlords can claim is being introduced over the next four years and so the full effect has yet to hit landlords' profits. 

The study also found that the North West of England was the only region where rents were lower than a year earlier, falling by 1 per cent to £659 a month on average.

Northern Ireland and Yorkshire and the Humber were the only areas where average rents were lower month-on-month, with falls of 0.7 per cent and 0.2 per cent respectively.

In Northern Ireland, the average rent is £608, while in Yorkshire and the Humber it is £627.

Rents in Scotland are rising faster than anywhere else in the UK, with an 11.4 per cent annual increase taking the average monthly figure to £704. In Wales, rents saw a 4.3 per cent annual increase, taking them to £597 on average.

In London, rents on new tenancies signed over the three months to the end of April were up 7.7 per cent on a year earlier, taking the average rent in the capital to £1,543.

It marks the third month in a row that London has recorded this rate of increase, according to the figures published by HomeLet.

It follows an online campaign that highlighted some of the worst renting experiences amid the higher cost of renting, particularly in London.

Hundreds of disgruntled renters shared their horror stories on Twitter, using the hastag #ventyourrent.