The U.K. is perhaps now defined as ‘generation rent’ as the proportion of people aged below 35 years are renting properties rather than owning their own homes continues to rise. I general terms, those renting exceed owner occupiers for the U.K. as a whole.
A new study has examined the least affordable areas for renting in the U.K., with rental properties in London costing the most, on average.
The study by money.co.uk sourced average rent prices and incomes from U.K. government’s Office for National Statistics (ONS) to calculate rent prices as a percentage of monthly income, to reveal the least affordable areas to rent in the U.K. in general and in London specifically.
The least affordable areas to rent
| Rank | Area | Region | Average monthly rent | Average monthly income (gross) | Rent as % of income |
| 1 | Kensington and Chelsea | London | £2,199 | £3,297.17 | 67% |
| 2 | Hackney | London | £1,600 | £2,432.83 | 66% |
| 3 | Brent | London | £1,450 | £2,294.25 | 63% |
| 4 | Westminster | London | £2,000 | £3,297.00 | 61% |
| 5 | Merton | London | £1,475 | £2,474.67 | 60% |
| 5 | Haringey | London | £1,425 | £2,390.42 | 60% |
| 5 | Camden | London | £1,750 | £2,930.67 | 60% |
| 5 | Hounslow | London | £1,350 | £2,235.08 | 60% |
| 9 | Islington | London | £1,700 | £2,902.75 | 59% |
| 10 | Ealing | London | £1,400 | £2,416.33 | 58% |
The table above reveals that Kensington and Chelsea is the least affordable area to rent in the U.K. It has the highest monthly earnings in the country (£3,297.17), as well as the highest average rent (£2,716). This means that people renting here pay around two-thirds of their income on rent.
In second place is Hackney, where rent makes up 65.8 percent of the average monthly income. Hackney has undergone significant gentrification in recent years, attracting many young workers to the area. Like many other parts of the capital, it also benefited from hosting the 2012 London Olympics, with many of the venues in the borough.
Unsurprisingly, another London borough completes the top three least affordable areas for renting.Average rent prices in Brent are £1,450, which makes up 63.2% of the average monthly income. Brent has both inner-city and suburban areas and its best-known landmark is Wembley, the country’s largest sports stadium.
Westminster in London, is the area in the UK with the highest percentage of rental properties, with 42.55 percent of homes being privately rented.
The least affordable areas to rent (outside of London)
| Rank | Area | Region | Average monthly rent | Average monthly income (gross) | Rent as % of income |
| 1 | Hertsmere | East of England | £1,250 | £2,192.17 | 57% |
| 2 | Harlow | East of England | £1,123 | £2,124.08 | 53% |
| 2 | Epsom and Ewell | South East | £1,300 | £2,458.92 | 53% |
| 4 | Oxford | South East | £1,275 | £2,456.83 | 52% |
| 4 | Bath and North East Somerset | South West | £1,050 | £2,022.42 | 52% |
| 4 | Epping Forest | East of England | £1,250 | £2,393.42 | 52% |
| 7 | Brentwood | East of England | £1,150 | £2,276.42 | 51% |
| 7 | Three Rivers | East of England | £1,250 | £2,438.83 | 51% |
| 9 | Bristol | South West | £1,125 | £2,262.58 | 50% |
| 9 | Brighton and Hove | South East | £1,100 | £2,206.42 | 50% |
The second table reveals the least affordable area for renters outside of London, and it borders London. Hertsmere is located in Hertfordshire. Average rents here are £1,250 a month, 57.02 percent of earnings.
The second-least affordable area for renters outside the capital is the area surrounding the two Surrey towns of Epsom and Ewell. Unsurprisingly, like Hertsmere, the area is located right outside of London, with rent making up 52.87% of the average monthly income.
In joint second place is Harlow, another town that borders London. Harlow was founded as a ‘new town’ after World War II to help ease overcrowding in the capital. Today it’s an important part of the London commuter belt, and has undergone lots of redevelopment.
At the other end of the scale, Copeland in the North West is the most affordable place to rent, with rent costing 18 percent of a monthly salary on average (although this is an area not know for high wage rates).
