Aneisha Beveridge, research director at Hamptons and Connells Group, said: “Rental growth slowed noticeably through much of 2025 as the market began to rebalance.
“However, tenants renewing contracts are still likely to face increases, with many landlords aiming to close the gap between existing rents and market levels after the exceptionally strong growth seen between 2022 and 2024 when double-digit increases were more common than not.
“This moderation reflects weaker demand at both ends of the spectrum.
“Falling mortgage rates have enabled more renters to step onto the housing ladder, while stretched affordability has kept others living with family for longer.
“Together, these factors have eased the intense competition for homes that characterised the past few years, reducing pressure on rents.”
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