Private Sector Rent Statistics, Scotland, 2010 to 2022

5. Main Findings for 3 Bedroom Properties

In the year to end September 2022, average 3 bedroom rents increased above the average 12 month UK CPI inflation rate of 7.6% in 11 out of 18 areas, ranging from an increase of 7.8% in Fife up to 26.5% in Argyll and Bute. One area (Greater Glasgow) saw an increase at the rate of inflation of 7.6%. A further four areas saw increases in average rents but below CPI, and two areas saw little change (within +/-0.5%) in average rents compared with the previous year, including the Ayrshires and Dumfries and Galloway.

Average rents for 3 bedroom properties at the Scotland level increased by an estimated 7.4% between 2021 and 2022, to reach £906 in 2022, which compares to an average increase in UK CPI of 7.6% across the year to September 2022.

Figures on longer term changes to rents for 3 bedroom properties over the period from 2010 to 2022 should be considered in the context of the cumulative increase in UK CPI of 33.7% from the year to end September 2010 to the year to end September 2022.

Over the 12 year period from 2010 to 2022, seven areas have seen rent increases for 3 bedroom properties above the level of CPI inflation, ranging from an increase of 39.8% in Dundee and Angus up to 52.3% in Forth Valley.

These cumulative increases equate to a range of annualised growth rates between 2.8% in Dundee and Angus to 3.6% in Forth Valley, when calculated on a compound annual increase basis between 2010 and 2022.

For the remaining ten areas of Scotland, cumulative increases have been below CPI inflation, and have ranged from 8.9% in the Ayrshires up to 32.4% in Perth and Kinross.

These regional trends combine to show an estimated 34.5% cumulative increase for 3 bedroom properties between 2010 and 2022 (equating to an annualised growth rate of 2.5%), to £906 in 2022. See Table 3 and Chart 6 below.

Note: See the Supporting Documents Excel Workbook Table 7 for a more detailed breakdown of quartile and average rents for each year. Also note that the Scotland figures have been calculated using a weighted stock approach, with further information on this available in Section 8 and Annex C.