The excessive rent of London extends to the suburbs of the capital

London’s most attractive neighborhoods are out of reach of all but the richest tenants, and the consequences are wrinkle elsewhere. In a Bloomberg analysis based on data from the flat part of the site-pareroma, it found that the rising rent is now starting to spread to the next level, with residents being forced from the luxury neighborhoods for places such as Brockley and Bethnal Green. This shift threatens to eradicate the remains of the affordability of housing in the British capital. Spearroom director Matt Hutchinson said: “When people are under pressure, rent tends to quickly fall into more expensive areas and rise faster in cheaper areas, but what also happens is that tenants are printed from their preferred neighborhoods and in areas that are relatively more affordable.” High prices put pressure on tenants, but these neighborhoods quickly lose their ability to remain affordable for tenants, as the cost of renting a room in London’s middle price areas at the fastest rate, with monthly rent of between 876 and 966 pounds. These areas recorded an average increase of 1.3% over the year to the third quarter, which exceeded the most expensive areas, and contradicted the decline recorded in the cheaper areas of the capital. These findings shed new light on the pressure that tenants are facing the UK, as they are forced to compete for a falling offer of dwelling units. The crisis seems to be more serious in London, where the average room rental is about 1,000 pounds ($ 1.328) per month, according to the “Spirroom” website. It adds extra burdens to the already high cost of living and saving for a deposit on a home more difficult. For example, the Clapham neighborhood in South London was once an important destination for young tenants, but is now out of reach for many, with the average room rent of more than £ 1000 a month. Regarding those looking for a similar neighborhood at a lower cost, they go to East Dulwich, four miles away, where the rent is about 183 pounds less, which means a saving of about 2200 pounds annually, according to data from the “Spearroom” website. Also read: Gulf investments in UK commercial real estate are expected to amount to $ 4 billion annually. The move to the mid -level neighborhoods has led to a significant rise in prices, as the cost of a room in Blackheath, a luxury neighborhood in southeastern London, 959 pounds per month, an annual increase in an annual basis, equivalent to approximately 950 extra pounds of rent during the course of 12 months. The neighboring broccoli neighborhood saw a similar pattern, as rents jumped by about 8% to reach 911 pounds per month. Rental points fall into luxury neighborhoods, on the other hand, more expensive areas, popular among university students and young professionals such as Camden in the city center, where the cost of renting a room amounts to more than £ 1,200 per month, has seen slight declines in the same period, according to the data of the “Spirroom” website. With the cost of renting the cheapest rooms in London over 700 pounds a month, many people have abandoned the idea of ​​renting in the capital. The “Spearroom” website said that demand has increased significantly in the suburbs of the city and nearby areas such as St. Albans and Brentwood. Rising rents push residents to leave official data from the private rental market, showing that a rental household spent about 42% of its revenue on rent during 2024, which is much higher than the average in England of about 36%. The percentage has also increased to 50% in four areas of London, namely Westminster, Wandsworth and Camden, in addition to Hammersmith and Fulham, while reaching nearly 75% in Kensington and Chelsea, which contains the most expensive real estate in Britain. Landlords have accused the government of exacerbating the rental crisis as a result of expensive regulations, at a time when the fear grows that Treasury Secretary Rachel Reeves will impose a national tax on rental income in her budget is expected to be announced on November 26 in an attempt to address the shortage of public finances. This trend urged a lot to leave the market and sell their properties. See also: Billionaires prefer to rent rather than buy London real estate due to interest. Hutchinson said: “Rentals remain stubborn, and tenants can rarely meet affordability standards, which means that rental costs are no more than 30% of the monthly income, due to the chronic shortage of offer in the London rental market.” He added, “The hardworking people on whom the capital depends on maintaining his activity have no choice but to leave.”