New figures, compiled by the House of Commons Library for Labour’s Shadow London Minister, Sadiq Khan, show that renters in London are now paying nearly half of their gross income on rent. The statistics show that the average private rent in Enfield now consumes 46% of the average wage.
Rent costs more than half of income of 13 of London’s 32 Boroughs and the figures show rents are taking up 49% of the average income in London. And to make matters worse, these figures are before tax is taken into account. In reality Londoners are paying significantly more than half of their take home pay on rent.
The next Labour government will ban letting agents’ fees for tenants, saving people on average £350 in costs. Labour will also legislate against excessive rent increases and make three year tenancies the standard in the private rented sector – giving people the certainty they need.
Joan Ryan, Labour Parliamentary Candidate for Enfield North, said: “These figures confirm the extent of the housing crisis in Enfield and across London. With people now paying half their income on rent, many we’ll soon be forced to leave our area – leaving only the rich able to live here. It would be a scandal if teachers, nurses and other professionals were forced out of the constituency.
‘Now more than ever, we need action to give renters longer, more secure tenancies and put a cap on soaring rents.”
Sadiq Khan, Labour’s Shadow London Minister, said: “The housing crisis is the biggest problem facing my generation of London politicians and these figures show just how badly Londoners are suffering. It is simply not sustainable for people to pay more than half of their income on rent alone. We must help generation rent by making renting more affordable and secure. We will make 3 year tenancies the standard, cap rent rises over that period and ban letting agents from charging fees to tenants. Helping renters is Labour’s top priority in London.”
Alex Hilton, Director of Generation Rent, said: “With rents so high, it’s becoming impossible for native Londoners and newcomers alike to make a life for themselves in the capital. London will start seeing a brain drain and that will cripple businesses with rising wage pressures, damaging the city and the UK economy as a whole. London’s renters need action from politicians – and fast.”
