Private Sector Rent Statistics, Scotland, 2010 to 2023

In the year to end September 2023, average 1 bedroom rents increased above the average 12 month UK CPI inflation rate of 9.0% in 8 out of 18 areas of Scotland, ranging from 9.1% (or £39 per month) in Renfrewshire / Inverclyde up to 22.2% (or £144 per month) in Greater Glasgow. A further ten areas saw increases but below the level of CPI inflation, ranging from 1.7% (or £9 per month) in Highland and Islands to 8.0% (or £32 per month) in the Scottish Borders.

Average rents for 1 bedroom properties at the Scotland level increased by an estimated 11.7% (or £68 per month) between 2022 and 2023, to reach £648 in 2023, which compares to an average increase in UK CPI of 9.0% across the year to September 2023.

Figures on longer term changes to rents for 1 bedroom properties over the period from 2010 to 2023 should be considered in the context of the cumulative increase in UK CPI of 45.7% from the year to end September 2010 to the year to end September 2023.

Over the 13 year period from 2010 to 2023, two areas have seen cumulative rent increases above the level of CPI inflation. Greater Glasgow has seen the highest increase in private rents for 1 bedroom properties, with average rents rising by 81.2%, and average rents in the Lothian area having risen by 70.2%.

These cumulative increases equate to annualised growth rates of 4.7% for Greater Glasgow and 4.2% for Lothian, when calculated on a compound annual increase basis between 2010 and 2023.

For the remaining areas of Scotland, cumulative changes have been below CPI inflation. Aberdeen and Shire has seen a fall of 1.9% in average rents, which is likely to reflect decreased demand for rental properties over recent years following the downturn in the oil industry.

These regional trends combine to show an estimated 46.6% cumulative increase for 1 bedroom properties between 2010 and 2023 (equating to an annualised growth rate of 3.0%), to reach £648 in 2023. See Table 1, Chart 2 and Chart 3 below.

Table 1: 1 Bedroom Properties - Average (mean) monthly rents (£): Cumulative changes 2010 to 2023, by Broad Rental Market Area

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 average figures have been calculated using a weighted stock approach, with further information on this available in the Data and Methodology Section.

Chart 2: Lothian and Greater Glasgow have seen the largest cumulative % rises in average 1 bedroom rents between 2010 and 2023, whilst Aberdeen and Shire average rents have dropped over the thirteen years.

1 bedroom properties: % change in average (mean) rents for years to end-Sept, by Broad Rental Market Area

Chart 3: In 2023, Lothian had the highest average monthly 1 bedroom rent (£885), with Dumfries and Galloway having the lowest (£424)

1 bedroom properties: average (mean) monthly rents in 2023 (year to end-Sept), by Broad Rental Market Area