Average UK rents increased for the fifth consecutive quarter during Q4 2021 according to The Deposit Protection Service (The DPS), as pressure on the supply of rental properties during the pandemic continues.

UK rents rose for the fifth consecutive quarter in Q4 2021, according to the Deposit Protection Service.

Continued pressure on rental property supply was named as the cause of the rise, with average rents reaching an average of £834 in the final three months of last year, an increase of £16 (1.96%) on the previous quarter and a £42 or 5.30% increase on Q3 2020.

The organisation’s quarterly Rent Index also revealed that South West rents, which traditionally lag behind the national average, drew level for the first time, rising by £19 (2.33%) during Q4 2021, and by £54 (6.92%) from £780, the largest regional percentage increase during the past 12 months.

Average rents have increased across all property types since Q3 2021, with rents on detached properties increasing the most; on average by £26 (2.33%) to £1,143, and also rising £88 or 8.34% from Q3 2020, the report reveals.

The organisation also said that Q4 2021 rents also rose across most of England – with London, the South West, and Yorkshire seeing the largest value rises – contributing to an annual UK average rent increase of just over 4% for 2021.

DPS managing director Matt Trevett says: “During Q4 2021 rents increased in the vast majority of UK regions and across all property types, with demand for detached properties driving the greatest increase in rental value for these properties.

“Our figures also show that renters were less likely to move during the past 12 months, suggesting lower availability of stock and therefore perhaps more limited options for moving. “We’re also seeing definitive signs of recovery in London, particularly the return of the popularity of flats in some areas, suggesting that some tenants are coming back to the capital.”