Rents Rise in Yorkshire and Humber
2:22pm 30th January 2013
Rents in Yorkshire & Humber are rising by an average of £174 a year, leaving many in a ‘rent trap’ with little or nothing left to save for a home of their own, says Shelter today.
‘The Rent Trap’, a new report from the housing charity, analyses Government figures to find that average private rents in Yorkshire & Humber rose by 2.7 % from 2011 to 2012, equivalent to an increase of £174 in a year on a typical rented home, say Shelter. In the same period, the average wage in Yorkshire & Humber rose by 1.9%, they add.
Across England, average private rents rose by 2.8% from 2011 to 2012, say Shelter equivalent to an increase of £297 in a year on a typical rented home. In the same period, the average wage in England did not rise at all.
They add that rents in Leeds rose at the fastest rate in Yorkshire & Humber, equivalent to an increase of £581 in a year.
The report finds that high rents leave many renters with so little left over that they struggle to save for a deposit on a home of their own say Shelter. A survey of 4,300 renters in England commissioned by Shelter found that in Yorkshire & Humber, more than half (54%) say that after paying for rent and essential bills, they have just £100 or less left over each month for everything else.
As a result, they say, three in four renters (74%) in Yorkshire & Humber say that they are only able to put aside £50 or less each month in savings, leaving them with little hope of saving for a deposit. Shelter say that worryingly, nearly two thirds of renters (60%) in Yorkshire & Humber say that they are not able to save any money at all.
Census data released last month revealed a seismic shift towards renting over the last ten years, showing that the proportion of homes rented privately has rocketed by 69% since 2001 say Shelter. They add that in the same period, the proportion of homes owned with a mortgage dropped by 15%, as more and more people are priced out of homeownership.
Abi Reilly, a teacher, lives with her husband and four-year-old son in a rented home. She said: “Owning our own home feels like an impossibility. The rent we pay out each month means we don’t have the disposable income to save enough for a deposit of any kind.
“With rent so high, it seems impossible for people like us to save enough to get anywhere near what we need for a deposit. My husband and I work incredibly hard but it feels like we will never have the stable family home we want so much.”
Campbell Robb, chief executive of Shelter, said: “This report reveals the huge scale of the rent trap holding back young people and families in Yorkshire & Humber. Rising rents are leaving people with little or nothing to save at the end of each month, giving them little chance of ever saving enough to climb on to the property ladder.
“The renters we speak to have never been less hopeful. A relentless stream of rent rises means that most feel they will never move on from a life paying ‘dead money’ to landlords, in a home that they can’t make their own. And for some, rising rents have more immediate consequences – not enough money to spend on food, fuel or other essentials.
“Unless something changes, the chances of the next generation getting a home to call their own look increasingly bleak. The government needs to show young people and families exactly how it plans to dismantle the rent trap for good.”
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