The speed of lease rises within the non-public rented sector (PRS) slowed to a median of 5.1% in Scotland in April, which is the bottom month-to-month determine since November 2022 and is 2.3% decrease than the UK common, new information exhibits.
Solely Dumfries and Galloway on 10%, Fife on 8%, and the Scottish Borders on 7.9% have a bigger annual worth improve than the UK, in accordance with the figures offered by DJ Alexander.
The places with the bottom annual will increase are Higher Glasgow on 3.3%, Perth and Kinross on 3.6%, and Highland rising by 4.7%.
Between January 2016 and December 2021 common rents in Scotland remained pretty static under 3% however started rising steadily to peak at 11.7% in August 2023. Since then, the speed of annual rents has been falling steadily and has been under the UK common since June 2024.
David Alexander, the chief government officer of DJ Alexander Scotland, commented: “These figures present that the PRS in Scotland has traditionally had regular annual will increase. The rise in common rents has solely actually occurred within the final 5 years resulting from a lot of components however a scarcity of provide is clearly a significant aspect on this.”
“That the common lease rise is decrease – and has been under the remainder of the UK for nearly a 12 months – signifies the equity of property traders and landlords in setting an affordable lease for his or her tenants.”
He continued: “Clearly sustaining a powerful provide of properties is essential to stabilising costs within the PRS and something which threatens to subvert this is not going to be welcomed by landlords or tenants.”
“The PRS in Scotland continues to be a dynamic, vibrant and thriving sector because the variety of individuals in search of a house continues to be larger than the availability. What this could create is a market that exhibits regular annual rises with out the unpredictability of huge will increase one 12 months adopted by dips the subsequent. Regular will increase are all the time preferable to a rollercoaster experience of worth rises and falls.”
Alexander added: “Everyone desires a workable, honest, and thriving non-public rented sector. Guaranteeing the sector is supported and inspired is one of the best ways to keep up cheap rents now and sooner or later. It’s incumbent on everybody concerned within the sector that we’ve a system which is maintained for the long run, which permits landlords to make a revenue and tenants to pay a good lease for the market we’re in, and which is sustainable within the medium- to long-term.”
Common lease rises throughout Scotland to April 2025
Location April 2024 April 2025 Distinction
Dumfries/Galloway £478 £526 10.0%
Fife £757 £817 8.0%
Borders £647 £699 7.9%
UK £1,243 1,335 7.4%
South Lanarkshire £809 £868 7.2%
Edinburgh/Lothians £1,333 £1,416 6.2%
North Lanarkshire £763 £810 6.1%
Ayrshire £590 £623 5.8%
Argyll and Bute £785 £830 5.7%
Dundee/Angus £798 £842 5.6%
Aberdeen/Shire £804 £842 5.6%
Scotland £951 £999 5.1%
Highland £667 £698 4.7%
Perth and Kinross £731 £757 3.6%
Higher Glasgow £1,185 £1,224 3.3%
