Here's why parts of London's prime rental market have been boosted by Brexit vote

Data released today suggests that there are sections of the prime rental market in central London that have benefited from Brexit.

Wednesday 3 August 2016 3:02pm
Helen Cahill

I report on retail and property for City A.M. I have covered the investigation into BHS and London's housing crisis.

Kensington and Chelsea has performed well despite Brexit uncertainty (Source: Getty)

According to data from London estate agents Portico, rent prices for two-bed properties in Kensington and Chelsea have gone up by 0.4 per cent from May to July. The average rental price for a two-bed in the west London borough is now £3,989.

Read more: Sales of prime central London properties are now lower than they were in 2008

Rental prices in Westminster have performed particularly well, increasing by 1.7 per cent.

Robert Nichols, managing director at Portico, said: "Caution in the sales market has pushed demand into the prime rental market, and as such we have seen rental prices rise over the past few months.

"We expect the market to remain stable throughout the summer months, but whether rental prices will continue to rise will depend on the economic consequences of Brexit."

Read more: Mapped: First-time buyer house prices in every London borough

Other boroughs where rents have grown from May to July include Camden, where rents have increased by 3.3 per cent, Tower Hamlets, with rents increasing by 1.2 per cent and Newham, where rents have increased by 2.6 per cent.

Nichols said: "Outside prime central London, the rental market has remained stable, with tenants still keen to snap up properties in hotspot areas created by infrastructure projects like Crossrail and Crossrail 2, such as Tower Hamlets, Newham, Haringey, Hillingdon and Waltham Forest."

http://www.cityam.com/246789/heres-why-parts-londons-prime-rental-market-have-been