Average 2 bedroom private rents up by 1%
8 Nov 2016 02:31 PM
An Official Statistics Publication for Scotland.
Between 2015 and 2016, 17 out of 18 areas of Scotland saw increases in average rent levels for 2 bedroom private rental properties, ranging from 4.6% in West Dunbartonshire to 0.1% in Dumfries and Galloway. Aberdeen and Shire saw a decrease of 13.7%, the largest annual drop in average 2 bedroom rents since the data series began in 2010, and which is likely to reflect decreased demand for rental properties following the downturn in the oil industry. These regional trends combine to show a 1.0% increase in average 2 bedroom rents at a Scotland level, the lowest annual increase since 2010.
Over the longer 6 year period from 2010 to 2016, the areas of Lothian, Greater Glasgow and Aberdeen and Shire have all seen 2 bedroom average rents increase above the rate of inflation over the full length of this time period, with all other areas of Scotland seeing cumulative rent increases below the rate of inflation.
Statistics on private sector rent levels from 2010 to 2016 were 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 2016, the Lothian area has seen the highest increase in private rents for 2 bedroom properties, with average monthly rents rising by 25.1% (cumulative increase over 6 years). Average rents in the Greater Glasgow area have risen by a cumulative 23.5%, whilst rents in Aberdeen and Shire have increased by 17.4% over the full 2010 to 2016 period, despite rents in this area falling by 13.7% on an annual basis between 2015 and 2016.
For the remaining areas of Scotland, cumulative increases over the last 6 years have ranged from 11.4% (Highlands and Islands) to 1.2% (West Dunbartonshire), with a decrease of 0.2% being seen in the Ayrshires. These regional trends combine to show a 14.8% cumulative increase in average rents from 2010 to 2016 for 2 bedroom properties at the Scotland level.
For the year to end-September 2016, Lothian had the highest average monthly rents for 2 bedroom properties across Scotland (£831). Other areas with high rents included Aberdeen and Shire (£754), Greater Glasgow (£696), and East Dunbartonshire (£636). Areas with the lowest average rents for 2 bedroom properties included Dumfries and Galloway (£447),Scottish Borders (£452), and the Ayrshires (£463).
Figures on changes to rents between 2010 and 2016 should be considered in the context of the cumulative increase in the UK Consumer Price Index of 12.6% from Sept-10 to Sept-16. Between Sept-15 and Sept-16, the UK Consumer Price Index increased by 1.0%.
The figures released yesterday were produced in accordance with professional standards set out in the Code of Practice for Official Statistics.
The full statistical publication is available at http://www.gov.scot/Publications/2016/11/3295. 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
Private renting stat release