2.2% increase in average private 2-bed rents

10 Nov 2015 01:42 PM

An Official Statistics Publication for Scotland.

From 2014 to 2015, 13 areas have seen increases in rent for 2 bedroom properties. These ranged from 6.6% in Greater Glasgow and 6.4% in Lothian to 0.6% in South Lanarkshire and 0.4% in Forth Valley. Five areas saw decreases, these were Scottish Borders (-0.1%), Ayrshires (-0.1), West Dunbartonshire (-0.5%), Fife (-2.3%) and Aberdeen and Shire (-2.7%).

These regional trends combine to show a 2.2% increase in average rents over the latest year from 2014 to 2015.

Different trends were seen over the cumulative 5 year period from 2010 to 2015. Most 2 bedroom average rents changed below the rate of inflation over this time period, except for Aberdeen and Shire, Lothian and Greater Glasgow.

Statistics on private sector rent levels from 2010 to 2015 have been released yesterday by Scotland’s Chief Statistician. The following main findings are based on 2 bedroom properties because these are the most prevalent size of property in the private rented sector.

 

Over the five year period from 2010 to 2015, the Aberdeen and Shire area has seen the highest increase in private rents for 2 bedroom properties, with average monthly rents rising by 36.0% (cumulative increase over 5 years). However average rents fell by 2.7% in this area in the latest year from 2014 to 2015. Average rents in the Lothian area have risen by a cumulative 24.7% over the last 5 years whilst in Greater Glasgow have increased by 18.5%.

For the remaining areas of Scotland, cumulative increases over the last 5 years have ranged from 8.2% (Highlands and Islands) to 0.5% (Scottish Borders). Two areas of the country have seen cumulative decreases in average rents from 2010 to 2015 - Ayrshires (-0.8%) and West Dunbartonshire (-3.2%). These regional trends combine to show a 13.7% cumulative increase in average rents from 2010 to 2015 for 2 bedroom properties at the Scotland level.

For the year to end-September 2015, Aberdeen and Shire had the highest average monthly rents for 2 bedroom properties across Scotland (£874). Other areas with high rents included Lothian (£829), Greater Glasgow (£668), and East Dunbartonshire (£611). Areas with the lowest average rents for 2 bedroom properties included Scottish Borders (£444), Dumfries and Galloway (£446), and the Ayrshires (£461).

Figures on changes to rents should be considered in the context of the cumulative increase in the UK Consumer Price Index of 11.6% from Sept-10 to Sept-15 [1].

The figures released yesterday were produced in accordance with professional standards set out in the Code of Practice for Official Statistics.

[1] ONS CPI Reference Table 6, published on 13 October 2015http://www.ons.gov.uk/ons/rel/cpi/consumer-price-indices/september-2015/rft-table-1.xls

Notes To Editors

The full statistical publication is available at http://www.gov.scot/stats/bulletins/01188. This includes main findings on rent levels for 1 bedroom, 2 bedroom, 3 bedroom, 4 bedroom, and 1 bedroom shared properties. It presents information on rent levels for these different property sizes across each of the 18 broad rental market areas in Scotland. It contains information on average rents as well as rents at the higher and lower end of the market.

The aim of this statistical publication is to provide a detailed and user friendly presentation of private rental values, trends and distributions. The main users of this publication include those involved in housing policy and practice, researchers, tenants, landlords, letting agents, and other individuals with an interest in the private rented sector.

Official statistics are produced in accordance with professional standards – more information on the standards of official statistics in Scotland can be accessed at: http://www.scotland.gov.uk/Topics/Statistics/About