Average rents across the UK are edging closer to £1,000 a month following five consecutive monthly increases, according to HomeLet.

April’s average of £996 was the highest on record and an increase of 2.9% year on year.

However, rents in London fell for the 11th month in a row and were 5.3% lower than a year ago at £1,580.

If London is excluded from the figures, average rents across the rest of the UK were 6.2% higher year on year at £853.

The South West was the region that recorded the highest annual growth with rents up 8.6% to £955, followed by the East Midlands with an 8.1% rise to £709.

All other regions apart from London saw annual growth.

HomeLet and Let Alliance chief executive Andy Halstead says: “We’re continuing to see a sustained demand for let property; against a backdrop of reduced stock, with landlords facing increased costs and growing concerns about legislative changes.  

“As we gradually ease from protective measures, the stark reality is that we’re fast approaching a summer where rental prices could accelerate at a rate never seen before. 

“Almost a quarter of adults in the UK live in the private rented sector.

“We all agree that the industry works best when balancing the needs of all parties, critically between landlords and tenants. 

“The common misconception is that increases in rents are solely driven by unscrupulous landlords trying to maximise profits. 

“That is simply not true.  

“Landlords have been hit by a sustained raft of legislative changes, which mean that their costs to let property have had to increase. 

“With the Tenant Fees Act as an example, costs are ultimately passed on to tenants through higher rents – the same group who should have benefited most from that legislation.      

“The ban on all tenant evictions [during the pandemic] and plans to abolish Section 21 may prompt some landlords to consider exiting the market when they’re able to, causing yet more strain on property supply. 

“Letting property will continue to be an excellent long-term investment, but the pandemic has amplified some of the issues that both landlords and tenants are facing.  

“The reality is that once the furlough scheme ends, millions of people could potentially be facing unemployment at the same time as tackling the most expensive rental market on record. 

“The country risks a deepening crisis if policy change aimed at restoring balance to the market is not urgently pursued.”