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London rents rise 37% in five years

Admin

October 7, 2025
3 min read

London rents have risen by 37% in just five years, according to new research from flatshare site SpareRoom. The average London rent for a room rose £728 per month in Q3 2020, reaching £995 per month in Q3 2025.

They passed £900 per month at the end of 2022 and reached a record high of £1,015 per month at the end of 2023. While they have fallen since then, they are once again close to £1,000 per month.

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“Because of chronic undersupply in the London rental market, rents are stubbornly high and meeting affordability criteria,” Matt Hutchinson, director SpareRoom, said, “not spending more than 30% of your salary on rent is rarely possible. “When even the cheapest room in London is above £700 per month, hardworking people the capital relies on to function have little choice but to leave.”

There are some areas where rates are lower, even below £800 per month. E12 (Manor Park), E6 (East Ham), N9 (Lower Edmonton) and E4 (Chingford) are all among the cheaper areas. E12 is the postcode that has fallen the most, 11% year-on-year.

The South-East of London is also worth considering, with average rents being £951, the lowest in London. But in Q3 four SE postcodes, SE3 (Blackheath), SE24 (Herne Hill), SE4 (Brockley), and SE9 (Eltham) all saw some of the highest increases year-on-year.

North London meanwhile has shown the greatest rent increases year-on-year at over 2.1% in Q3 2025.

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