The HomeLet Rental Index reports that average UK rents reached a new high in August 2026, with monthly and annual increases recorded across most regions. London remains the most expensive market, while affordability pressures continue to intensify for tenants and possession-related losses and delays remain significant for landlords.
Chestertons reports a rebound in confidence across London’s housing market, with stronger buyer enquiries, higher vendor instructions and an increase in sales agreed. In lettings, tenant enquiries and landlord instructions have also risen, while achieved rents are said to be holding firm despite slower tenant decision-making.
Glenigan’s September 2026 Construction Index shows residential construction starts fell sharply in the three months to the end of August, with private housing and social housing both down significantly year on year. The article says developers are reassessing site viability amid weak sales, higher build costs and the impending building safety levy, while non-residential activity is performing better.
The article reports that national rental growth in England has remained broadly unchanged since the implementation of the Renters’ Rights Act, but growth has accelerated in more than half of England’s regions. London and several northern regions have seen stronger increases, while some other regions have stagnated or slowed.
The article reports that tighter holiday-let and foreign ownership rules in the Balearics are pushing investors away from traditional second homes and towards branded residences. It highlights growing demand for hotel-linked tourist accommodation, with a new Majorca scheme already seeing strong pre-sales and offering guaranteed rental returns.
The Bank of England’s latest Money and Credit report shows a July decline in both mortgage borrowing and mortgage approvals, with approvals falling below recent averages. Commentators cited mortgage pricing volatility, affordability pressures and higher fixed-rate costs as key factors weighing on activity, although remortgaging approvals were broadly stable.
