This Sussex area experienced highest rental price growth in the UK last year

Sussex, specifically Brighton and Hove in East Sussex, experienced the most significant surge in rental prices nationwide last year, according to data provided by Lomond. The data revealed a striking 15% increase in average monthly rent in Brighton throughout 2025, with rental costs climbing from £2,255 to £2,602 by the end of the year. This steep rise marked it as the highest percentage increase in rental rates recorded across the UK during the same period.

Lomond affectionately refers to Brighton as “London-by-the-Sea,” drawing attention to its unique charm that appeals to commuters based in London who opt not to reside in the bustling capital. The influx of high volumes of commuters to Brighton’s rental properties remains a prevalent trend, with the rise of hybrid working arrangements solidifying its popularity among this demographic.

Described as a coastal city boasting a vibrant atmosphere akin to urban centers, Brighton’s allure continues to capture the interest of tenants, particularly those commuting to London. The presence of hybrid working has spurred a heightened demand for properties that offer the perfect blend of urban amenities and seaside living, driving the city’s rental market growth.

Beyond Brighton, the broader south-eastern region saw an average rent increase of 10.5% in 2025, reaching £1,774 per month. Other coastal cities like Southampton, Portsmouth, and Worthing also experienced a similar surge in rental demand surpassing available supply, leading to price hikes for well-maintained two and three-bedroom properties.

Notably, despite a 14% increase in rental property supply and an 8% rise in demand within the region compared to the previous year, there remains a seven percent increase in lets agreed year-on-year. The ongoing disparity between supply and demand has translated into a continuous upward trajectory in rental prices, even as more properties enter the market.

Nationally, average rental costs exhibited a 4.9% increase last year, with the monthly average sitting at £1,602. In London, the upsurge was slightly lower, with average rents rising by 1.5% to £2,395 per month. This data underscores the significant impact of regional trends on rental housing markets across the UK, accentuating the dynamic nature of the sector in response to evolving work patterns and lifestyle preferences.