Edinburgh renters amongst the most dissatisfied in the UK

It is a challenging time for renters, with rental prices rocketing and demand far outweighing supply –  a recent study revealed that for every 100 rental ads in Scotland, 197 people are looking for a room to rent. 

And while renters face greater financial hurdles, they are also dealing with more problems with landlords. According to the UK Housing Ombudsman, landlords were issued a record number of complaint handling failure orders between July and September 2022, a 105% increase on the previous quarter.

With this in mind, Online Mortgage Advisor wanted to discover where in the UK and the wider world tenants are most and least satisfied with their landlords. They found that renters in both Glasgow and Edinburgh are some of the most dissatisfied in the UK, despite the implementation of rental controls in Scotland.

How did we do it?

We analysed 276,000 rent-related geotagged tweets across the UK, US, and Europe, as well as other OECD nations, using an academic tool called SentiStrength. 

SentiStrength is an AI tool which detects positive and negative sentiment levels in short pieces of text and assigns them a score from 5 (extremely positive) to -5 (extremely negative). 

SEE THE FULL STUDY HERE:

https://www.onlinemortgageadvisor.co.uk/content/rental-grievances/#home

Key findings

  • Belfast is the UK city with the highest proportion of dissatisfied renters with 43.5% of tweets analysed recorded as negative, followed by Glasgow (41.7%) and Bradford (38.7%).
  • Edinburgh came in at number 7 with 36.1%, meaning two Scottish cities appear in the top 10.
  • The UK ranked 9th overall in the list of OECD countries with 34.8% tweets deemed as negative out of those surveyed, with Sweden, Denmark and Ireland occupying the top three spots.
  • The most commonly mentioned words in negative tweets about rent were: “people”“money” and “time”. 

Renters in Glasgow and Edinburgh amongst the most dissatisfied in the UK

Using the academic tool SentiStrength, Online Mortgage Advisor analysed 276,000 geotagged tweets related to renting to find out which cities had the least satisfied renters.

  • Belfast, is the city with the most dissatisfied renters in the country with 43.5% of all rent-related tweets being recorded as negative. 
  • Glasgow, ranks 2nd with 41.7% of tweets made by renters in the area being recorded as negative.
  • Edinburgh came in at number 7 with 36.1%. 

This means that two Scottish cities appear in the top 10 of our analysis, despite Scotland implementing a rent freeze at 0% from September 2022 until March 2023. The Scottish government then increased this to a cap of 3% in most instances from April 2023. Find the ranking below:

UK cities which are least satisfied with their rental experiences
RankCityNegative tweets (%)
1Belfast43.5%
2Glasgow41.7%
3Bradford38.7%
4Bristol38.3%
5Brighton & Hove37.4%
6Sheffield36.5%
7Edinburgh36.1%
8Nottingham35.9%
8Plymouth35.9%
10Birmingham35.2%

The most common rental grievances

We found it was ‘people’ that tenants take issue with most frequently, with 60 mentions for every 1,000 tweets. Issues range from landlords turning up unannounced to fellow tenants failing to pay their share of the rent and never taking the bins out. The second and third most commonly listed complaints referred to ‘money’ and ‘time’. 

Here are a few of the issues people have voiced on twitter:

See the full study here:

https://www.onlinemortgageadvisor.co.uk/content/rental-grievances/#home

Rent in Scotland is increasing at £41 per month

Rental growth to highs not seen since the Global Financial Crisis

  • 6% strong annual rental growth in Scotland.
  • The proportion of gross earnings used for rent falls to 17.3% for dual renters in Edinburgh.
  • Rental demand is strongest in London, Scotland and Wales with demand levels more than 65% above the five-year average. London’s market is also one of the most constrained when it comes to stock levels, with homes available to rent at just over half the 5-year average, creating the conditions for the sharp rises in rents.
  • Average UK annual rental growth has reached a 14 year high (+11%), with rents increasing to £995 in Q1 2021, an extra £88 a month compared to the start of the pandemic 
  • On average, UK tenants are staying in their rental properties for an extra five months compared to five years ago, with the average tenancy length up to 75 weeks, from 51 weeks at the start of 2017. 

The highest rental growth since the Global Financial Crisis, coupled with the cost of living crisis, is putting increased pressure on renters – according to Zoopla, the UK’s leading property destination, in its quarterly Rental Market Report. 

Higher rents and cost of living magnify  pressures faced by renters

Average UK annual rental growth has reached a 14 year high (+11%), with rents increasing to £995 in Q1 2021. This represents an increase of £88 a month compared to the start of the pandemic and follows a strong bounce back from 

last year, when average UK rents were down by more than 1%, despite wage growth peaking at 8.8% last summer. 

For renters, this has led to a significant increase in the proportion of gross income spent on rent, particularly in London where it has risen to a significant 52% for a single earner (a level not seen since March 2020).

This falls to 26% for sharers and means that a new let agreed for an average rental property in London will cost more than £20,000 in rent over the next 12 months – putting significant pressure on renters already dealing with the backdrop of the cost of living crisis.

In the UK as a whole, the average rent now accounts for over a third of gross income (37%) for a single earner. Around a third of renters live alone, according to the English Housing Survey. 

There’s also been a strong bounce back in rental growth in London from falls of 10% seen last year. Average annual rental growth in the capital rose to 15% at the end of Q1 – driven by demand for flats from students, office workers and international demand. 

Demand for rental property continues to outpace supply across the country, pushing up rents, although the rate of rental growth will slow through the second half of the year  

Stock constraints leading to longer tenancies

With renters facing increased pressure on their disposable income – there’s been a marked increase in tenants deciding to stay in their rental property for longer. 

On average, UK tenants are staying in their rental properties for an extra 5 months compared to five years ago, with the average tenancy length up to 75 weeks, from 51 weeks at the start of 2017. 

Interestingly, this trend has extended beyond lockdowns when the ability to move was hampered and indicates that landlords with tenants in situ may not be raising rents at the same rate as rental growth.

Rental demand is strongest in Scotland, Wales and London, with demand levels more than 65% above the five-year average. London’s market is also one of the most constrained when it comes to stock levels, with homes available to rent at just over half the 5-year average, creating the conditions for the sharp rises in rents. 

Rental markets remain highly localised

The rental market remains highly localised, with the most affordable rental markets for dual earners located in more rural areas including Great Yarmouth in the East of England, South Somerset in the South West and North East Lincolnshire in Yorkshire & the Humber. In these markets, average rents account for up to 15% of joint gross income.

In London, Bromley is the most affordable rental market, where average rents account for 19% of joint gross income. In the North West, Copeland, a local authority on the edge of the Lake District, encompassing the towns of Whitehaven and Cleator Moor is the most affordable rental market. 

Gráinne Gilmore, Head of Research at Zoopla comments: “UK rental growth is being driven by high rental demand and limited supply, trends that are more pronounced in city centres.  The surge of post-pandemic pent-up rental demand will normalise through Q2 and Q3 however, which means rental growth levels will start to ease. 

“Affordability considerations will also start to put a limit on further rental growth although this may occur at different times depending on location. Rents are likely to continue rising for longer in areas which have the most constrained stock levels – currently London, Scotland and the South West.” 

Gareth Atkins, Managing Director, Lettings at Foxtons comments:  “The tenancy renewal numbers we have seen so far in 2022 are unprecedented. Steadily increasing demand, severely limited stock and a swift rise in rental prices are all compelling reasons to renew – and renters are responding.

“Through Foxtons renewals department, we have seen a 29% rise in renewals year-on-year vs 2021. Renters are also choosing longer tenancies to avoid a market in flux; our deal length for renewals has gone up 9% in 2022, reaching an average tenancy of 15.7 months.” 

https://www.foxtons.co.uk/

Only one month left to give renters more rights over pet ownership

Cats Protection is urging the Scottish Government to lead the way in the UK by ensuring responsible renters can keep a cat.

The charity says that the widespread use of blanket ‘no pets’ policies is unfair and outdated, and that an overhaul of how pets are viewed in the rented sector is urgently needed.

With just a few weeks left on a public consultation on the issue, Cats Protection is urging animal lovers to send a message that tenants must be allowed the chance to own a pet.

Cats Protection’s Advocacy & Government Relations Officer for Scotland Alice Palombo said: “The pandemic has really highlighted just how important pets are in our lives – whether it’s providing companionship to people living alone, comfort for those with ongoing health conditions or simply a fun and much-loved part of family life.

“Yet as the law stands, it can be impossible for people who rent their home to own a cat. It cannot be right that pet ownership is largely reserved for those people who own their own home.”

Research from Cats Protection’s Cats and Their Stats Scotland report, published in 2021, shows just how important cats are to people who are able to own them – with 94% of owners in Scotland saying their cat is part of the family and 91% saying their cats bring them joy.

“This consultation is a big step in the right direction and we’re urging the Scottish Government to continue this momentum. Scotland is a nation of animal lovers and it’s only right that everyone should have the chance to own a cat if they wish.”

Joan Todd, 59, an IT support technician from Peebles, was lucky enough to be able to find a private landlady who was happy for her to own a cat. But despite being settled in a long-term let, Joan says she still lives with the worry that she may one day have to give up her much-loved pet cat Hoffen (Hoffy).

She said: “I got Hoffy a couple of months after the first lockdown, and the difference he made to my life has been incredible. Working from home meant I saw very few people, and having him around gave me companionship every day. My landlady is great, and it’s a long-term let, but of course, it does play on my mind that if ever the property is sold I could be faced with a problem finding somewhere that accepts cats.

“My experience has been that it’s very, very hard to find a cat-friendly property – most simply say ‘no pets’. It’s a worry that’s always in the back of my mind, as it would be so heartbreaking to have to rehome Hoffy.

“It just doesn’t seem fair that people who can’t afford to own their own home can’t have a pet, I can’t see how that is right. There definitely needs to be something in place to protect renters like me so we can feel settled and secure in our homes.”

You can support cat owning tenants by using Cats Protection’s simple online form before the consultation closes on April 14 – it takes only a couple of minutes to complete.

Find out more by visiting: www.cats.org.uk/scottish-renters

Over 80% of tenants satisfied with renting, according to new research

Most people renting their home in the private rented sector are happy with their property and landlord, according to new research from independent think-tank the Social Market Foundation.

The Social Market Foundation found that – contrary to some narratives suggest renting is an inherently unhappy experience – a majority of people who rent from a private landlord are content with what they get for their money.

In an SMF survey of renters, 81% said they are happy with their current property, and 85% said they are satisfied with their landlord.

The greatest source of dissatisfaction among tenants is with “being a renter”, though only a minority of renters (34%) said they are dissatisfied with this status. The SMF said that this suggests that where people are unhappy in the private rented sector it is not about their living circumstances, but about the fact of having to rent rather than own a home.

The SMF findings are contained in a report on the future of the private rented sector which is published today. The report was sponsored by Paragon Bank. The SMF retained editorial independence.

The SMF said despite renters’ current views of renting, major trends in housing over the coming years mean that several policy changes are needed to ensure the rented sector continues to work well for tenants.

Only half of renters expect to leave the private rented sector in the next 15 years, suggesting that significant numbers will remain renters for long periods. Among them, the SMF finds that 13% would be satisfied with long-term renting.

That will see the average age of tenants rising: by 2035, more than half of private renting households are likely to include someone aged 45 or older, the SMF forecast. Couples and families will also make up a rising proportion of renters.

The private rented sector has been under political scrutiny, with the UK Government’s Levelling Up White Paper promising “a secure path to ownership” and a crackdown on “non-decent rented homes”.

Labour, meanwhile, has promised to be the “party of tenants” and raised concern about quality, affordability, and security in private rentals.

The SMF’s research challenges some of the narratives around this policy agenda, and in particular, the assumption that private renting is unsatisfactory and exploitative for the typical renter.

At the same time, it acknowledges that a minority of renters have particularly negative experiences and so endorses measures expected to be in the rental reform white paper (due in spring), such as abolition of ‘no-fault’ evictions and introduction of a Decent Homes standard for rental properties.

The SMF’s key recommendation is to enable renters to build wealth while remaining in the private rental sector, addressing their number one concern: the financial opportunity cost of renting, which have prevented savings, for a deposit or later life needs.

Several innovative schemes could be implemented, including ‘deposit builder ISAs’ that offer a financial return on deposits, or ‘rentership’ models that offer tenants stakes in their building.

Other SMF recommendations to the UK Government:

  • Increase the stability of tenancy agreements – A large majority of renters support a fixed minimum contract length: 69% would be in favour of setting this at 24 months.
  • Giving renters more control over their homes – making it easier to keep pets or make reasonable alterations, such as to décor or energy efficiency.
  • Increase the accountability of landlords – Through a ‘Good Home, Good Landlord’ kitemark scheme, developed in consultation with renters to recognise landlords that offer good, and not just decent, accommodation.
  • Improve the standards of private rented properties – Offer tax incentives for landlords to invest in improvements that align with Good Home Good Landlord kitemark standards, including green investments.

Aveek Bhattacharya, SMF Economist and one of the report authors, said: “Dominant cultural narratives about the private rented sector paint a misleading picture. In contrast to the horror stories that get wide circulation, the majority of renters are satisfied with their living conditions and have decent relationships with their landlords.

“It is absolutely right that the Government should seek to help the minority with poor standard accommodation and unprofessional landlords.

“At the same time, it needs to think harder about what it can offer the typical renter – who is largely happy with their circumstances today, but has doubts about whether they want to keep renting long-term.”

“Giving renters more control over their homes – allowing them to keep pets or decorate would help. So would incentivizing landlords to make improvements to properties to make them good, and not just decent. But perhaps the biggest challenge is developing policies that can persuade renters that they are not missing out financial security and stability if they don’t own their home.”

Paragon Bank Managing Director of Mortgages Richard Rowntree said: “The outdated and tired cliches around privately renting need to be challenged and I welcome the findings from SMF’s report.

“In our experience, the vast majority of landlords seek to provide a good quality home and enjoy a healthy relationship with their tenants; the significant investment in private rented property by landlords has helped drive up standards over the past 15 years and today homes in the sector are generally newer, larger and more energy efficient than ever before.

“We always seek ways to improve the experience of renting further and welcome the recommendations contained in the report. People from all walks of life now call the private rented sector home and we must strive to create a sector that meets everybody’s needs.”

Cats Protection urges Holyrood to do more to help renters

Cats Protection is urging the Scottish Government to do more to ensure people who rent their own homes can benefit from owning a pet cat.

The charity says that the widespread use of blanket ‘no pets’ policies is unfair and outdated, and that an overhaul of how pets are viewed in the rented sector is urgently needed.

Cats Protection’s Advocacy & Government Relations Officer for Scotland Alice Palombo said: “The pandemic has really highlighted just how important pets are in our lives – whether it’s providing companionship to people living alone, comfort for those with ongoing health conditions or simply a fun and much-loved part of family life.

“Yet as the law stands, it can be impossible for people who rent their home to own a cat. It cannot be right that pet ownership is largely reserved for those people who own their own home.”

Research from Cats Protection’s Cats and Their Stats Scotland report, published in 2021, shows just how important cats are to people who are able to own them – with 94% of owners in Scotland saying their cat is part of the family and 91% saying their cats bring them joy.

The Scottish Government is currently consulting on proposals to allow tenants to keep pets in rented housing, and Cats Protection is asking its supporters to back the proposals.

Alice said: “This consultation is a big step in the right direction and we’re urging the Scottish Government to continue this momentum. Scotland is a nation of animal lovers and it’s only right that everyone should have the chance to own a cat if they wish.”

Mum-of-two Stephanie Wood, of Balornock, Glasgow, is backing the charity’s campaign after she was forced to give up the family’s much-loved cat Whoopie when she struggled to find a new pet-friendly home.

The heart-breaking decision, just before the COVID-19 pandemic in early 2020, came at a particularly stressful time for Stephanie, who works as a clinical healthcare assistant in two NHS hospitals. It meant her daughters – then aged six and one – faced lockdown without their beloved cat and denied Stephanie the comforting and calming presence of a pet.

Stephanie explained: “Our landlord decided to sell the property we were renting, and I found myself in the position of having four weeks to find a new home. I was aware the lockdown was on the horizon, so it felt like a real panic to find somewhere. When I did find a suitable home, the landlord said she’d only consider a pet once we’d been there for six months.

“It seemed like an impossible situation and we had no choice but to give Whoopie up to Cats Protection. It was heart-breaking – me and the girls are still very upset about it. Whoopie was part of our family, she was fun, affectionate and a big part of our lives. She used to sleep snuggled up to my eldest daughter and she had a really calming effect on us all.

“Working for the NHS during the pandemic was incredibly difficult at times, and I often thought how lovely it would have been to come home to Whoopie, but sadly that was not possible. It just feels incredibly unfair that families like mine are denied such a simple pleasure of owning a pet cat.”

You can support cat owning tenants by using Cats Protection’s simple online form – it takes only a couple of minutes to complete.

Find out more by visiting: www.cats.org.uk/scottish-renters