The number of claims for unpaid rent has surged by half in the year ending December, as tenants struggle to keep up with payments, according to recent figures from Reposit.
The amount of money claimed also saw a sharp increase, moving from an average of £1,344 in October to £2,108 in November, and then slightly reducing to £1,954 in December.
Ben Grech, the CEO of Reposit, commented, “The rising number of rent arrears reflects the financial difficulties tenants are facing. This in turn affects landlords who are dealing with legislative changes and increasing mortgage rates.”
Grech also pointed out that this rise adds burden to letting agents due to the extra administrative work, conflicts, and delays that come with higher arrears.
This uptick in missed rent payments coincides with similar financial stresses in the economy, such as more people unable to pay mortgages and credit card bills during this time.
Rightmove’s data suggests that the ability of tenants to afford their rent has reached a precarious level, as evidenced by the fact that almost a quarter of rental listings have seen a drop in their advertised rental prices.
