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Rents Have Risen: But are they more affordable than 10 years ago?

Rents Have Risen: But are they more affordable than 10 years ago?
If you rent a home in 2026, the idea that renting has become “more affordable” probably feels difficult to believe.
And in pure cash terms, it is. Across most parts of the UK, rents are significantly higher today than they were a decade ago. But when discussing affordability, headline rental figures only tell part of the story.

To understand what has really happened to the rental market over the last 10 years, we need to compare rent growth against the wider rise in the cost of living.

Recent figures shared by property commentator Chris Watkin, using TwentyEA data from 2016 to 2026, highlight an important point: UK inflation over the same period sits at approximately 39.8%.

That means if rents have risen by less than inflation, they have technically become cheaper in “real terms” - even if tenants are still paying more each month.

Let’s Take A Look At The Numbers

In simple terms:

  • Rents are higher in pounds

  • But in some areas, they have not increased as quickly as inflation.

In London, for example, rents have increased by 21% on average, which is below the wider inflation figure of 39.8%.

Closer to home, rents have seen a much stronger rental growth - an average of 38.5% - sitting just below the rate of inflation*.

Here is a snapshot across parts of the UK:

Yorkshire and the Humber: +33%

East Midlands :+44%

West Midlands: +33%

Wales: +40%

East of England: +28%

North East: +25%

(*Average for Yorkshire and the Humber and East Midlands combined)

Why Renting Still Feels Expensive

Of course, statistics and lived experience are not always the same thing.

On average, rents in our region* haven’t outpaced inflation over the decade, but that doesn’t mean that individual households are feeling comfortable.

Renewal increases are often experienced as significant jumps in monthly costs, while wider household budgets continue to face pressure from rising energy bills, food prices and transport costs. At the same time, demand for quality rental homes still outweighs supply in many locations, particularly close to amenities, green space and transport links.

Ultimately, wage growth is personal. National inflation figures do not reflect every household equally, and not everyone’s income has risen at the same pace as housing and living costs over the last decade.

 

What This Means For The Rent Cap Debate

The political conversation around rent controls and rent caps continues to gather momentum.

The intention is understandable: protecting tenants from sharp increases and improving stability within the rental sector.

But the wider data suggests the picture is more nuanced than many headlines imply. If rental growth has not consistently outpaced inflation nationally, broad one-size-fits-all rent caps risk responding to the wrong issue.

There are also wider concerns around unintended consequences, including:

  • Reduced investment into rental property

  • Fewer homes available to rent

  • Landlords exiting the market

  • Less movement within the sector as tenants become reluctant to move

In reality, long-term stability is usually driven more by supply and housing quality than pricing restrictions alone.

That means:

  • Building more homes in the right locations

  • Encouraging investment into the private rental sector

  • Improving standards through enforceable regulation

  • Supporting households who are genuinely struggling

 

A More Balanced Conversation

There is no question that rents have increased over the last decade.

But the longer-term affordability picture is more complicated than many people assume, and that matters when discussing policy decisions like rent caps.

Housing policy should be shaped by evidence, local market conditions and long-term supply, not just frustration.

If you are a landlord or tenant looking for clear, local insight into the Sheffield and Chesterfield rental market, the Redbrik Lettings team is here to help. From understanding where demand is strongest to identifying areas where stock remains limited, we can provide an informed view of how the market is performing and where pricing is currently settling.

Call or email us to start the conversation:

0114 361 0140  |  lettings@redbrik.co.uk

Redbrik. Your place for property.

*Average for Yorkshire and the Humber and East Midlands combined