In England, only higher-income Londoners can rent a property.
Most renters face an ‘uphill struggle’ as housing costs in some areas of England rise again.
According to official figures on costs across England, only 25% of the highest-income people in London were able to rent a property in the city privately at an affordable price last year.
Data from the Office for National Statistics revealed that incomes in the capital settled at a level equivalent to more than 30% of their income for three-quarters of households.
The ONS said it was considered an area with affordable private rent if tenants spent no more than 30% of their income on it.
Rents in some parts of the country fell when the pandemic struck, but agents have reported that costs have started to rise again in recent months.
“Londoners who earn less money will suffer the consequences of this.”
Tenants were not offered the same payment breaks as mortgage borrowers during the first months of the crisis, but they were given eviction protection.
The ban on homeowners repossessing their properties has ended. There have been warnings that families receiving the £ 20 universal credit increase until it was suspended on Wednesday could find it challenging to keep their homes.
The ONS data, which looked at median pre-tax renters earnings and median incomes across the country between 2012 and 20, underscores how much of some household income goes to housing.
Across England as a whole, figures show that a median-income household could expect to spend 23% of its income on median private rent. For the bottom 25% of earners, renting the same property would cost 38% of their income.
In London, it would take 38% of the average household income to reach the median rent, while in the most affordable region, East Midlands, the figure was 22%.
For most regions, the ONS said that private rentals had become a bit more affordable since 2013. Still, in eastern England, affordability declined, and households spend on rent increased from 23% to 26%.
HICH LTD has revolutionized the property survey market since day one! Our property survey service is listed as one of the best in the whole of the UK! Please look at our Trustpilot page and see why everyone chooses us as their property survey provider.
Our vast experience in the local property survey market has made us the number one choice for surveyors. We offer a top-level service at affordable prices, the cost of our surveys is based on the number of rooms in your property, not their value, so our prices are always better than the competition.
At HICH LTD, we are pleased to do our bit to make the world a better place; that’s why we continually partner with NGOs and other institutions to join forces in environmental, social and charitable causes. If you want to know more about our efforts or want to know how you can help, contact us at email@example.com.
Are you looking for a roof, structural, or bespoke survey? Request it here!
Follow us on our social networks to keep updated with the most relevant property market news, tips for being a responsible homeowner, and much more!