Rent eats up nearly half of income - what to do if you're struggling

Renters across the UK are facing increased pressure as the cost of renting continues to climb. On average, tenants are now spending 44% of their earnings on rent.

Figures from Rightmove show that the typical rent outside London has reached £1,385 per month, while those living in the capital are paying £2,736. This marks the third consecutive quarter where advertised rents have hit new highs.

Despite a 5% rise in average salaries over the past year, Rightmove says rental affordability remains “very stretched”.

What’s driving the surge in rent?

Several key factors are contributing to the ongoing rise in rental costs:

• demand outstripping supply – there still aren’t enough homes available to meet demand
• post-pandemic lifestyle shifts – changes in working patterns and living preferences have reshaped housing needs
• landlord expenses – higher mortgage rates and increased maintenance costs are often passed on to tenants

Although there are 9% more rental listings compared to last year, supply is still 23% below 2019 levels, keeping demand high and prices elevated.

Support options if you’re struggling

If rent is becoming difficult to manage, there are several types of help available. We’ve outlined some of the support on offer below.

Universal Credit

It’s worth checking if you’re eligible for Universal Credit. If you’re working age, your Universal Credit payment may include a housing element to help cover rent and service charges. You can also request extra support if you're facing financial hardship.

Housing Benefit

If you’ve reached state pension age, you may be eligible for Housing Benefit via your local council. Some under-pension-age renters may also qualify, especially those in supported or temporary housing.

Discretionary housing payments (DHPs)

If you already receive help with rent through Universal Credit or housing benefit, you might be able to get a DHP. This is a short-term top-up to help cover housing costs. Apply through your local council.

Charity grants

Charities such as Turn2us can help you search for grants and other support from charities and other organisations. You'll need to answer some questions about yourself and you'll then get matched with grants you could be eligible for.

Debt advice

Organisations like Shelter and Citizens Advice can offer support if you’re falling behind on rent. They can help you understand your rights and negotiate with landlords if you need support.