Revealed: The most and least affordable towns and cities for renters in Yorkshire

The insight comes from tenant and landlord services provider Canopy who have released their inaugural rental affordability index.

Overall, Harrogate came out as the least affordable major town or city for renters in the Yorkshire region.

An average of 38.5% of net (take-home) income is going on rent here, and the average monthly rental share is £770 per month.

Renters in Barnsley also spend a high 37.2% of their take-home salary on rent, or £579 per tenant per month.

Meanwhile renters in Hull spend the least in Yorkshire –32.6% of their net income is going on rent typically. The average monthly rent is also the lowest at £536.

Hull, Sheffield and Wakefield all featured in the top ten list of the most affordable UK cities for renters.

Harrogate

Rent To Income Ratio (Net): 38.50%

Average Net Income: £24,002

Average Monthly Rent: £770

Barnsley

37.26%

£18,655

£579

York

35.65%

£23,674

£703

Bradford

35.10%

£19,346

£566

Halifax

35.00%

£19,758

£576

Leeds

34.25%

£22,845

£652

Huddersfield

34.16%

£20,224

£576

Wakefield

34.08%

£21,799

£619

Sheffield

33.86%

£21,882

£617

Hull

32.65%

£19,765

£538

Using almost 50,000 data points, the Rental Affordability Index paints a comprehensive picture on the correlation between income and rental costs across the UK.

It shows that the majority of UK tenants have rental costs that are at the very limit of what experts believe is ‘affordable’.

The Canopy experts advise that spending around 30% of gross (pre-tax) income on rent is typically considered affordable, while 40% is at the outer limits of what many can make work.

On average, across the UK 38% of take-home salary is being spent on rent.

However, over a quarter (27.3%) are now spending at least half of their take-home (net) salary on rent.

In Harrogate, a third (33.3%) of tenants are spending over half of their salary on their rent. In Hull, this is much lower at 18%.

UK cities with the lowest rent to income ratio – net / take-home

Location

Rent To Income Ratio (Net)

Average Net Income

Average Monthly Rent

1

Belfast

29.12%

£25,111

£609

2

Dundee

30.52%

£21,011

£534

3

Aberdeen

31.70%

£20,099

£531

4

Hull

32.65%

£19,765

£538

5

Inverness

32.83%

£22,016

£602

6

Newcastle upon Tyne

33.30%

£20,198

£560

7

Glasgow

33.65%

£22,417

£629

8

Sheffield

33.86%

£21,882

£617

9

Derby

33.88%

£21,652

£611

10

Wakefield

34.08%

£21,799

£619

Overall, Belfast is the most affordable major city for renters in the UK, with the average tenant spending just under a third of their take-home salary in rental payments (29.1%).

Despite a reputation of being unaffordable, a high average income means that London (39.9%) has a rental cost ratio that is only just above the UK average (38%)

UK cities with the highest rent to income ratio – net / take-home

Location

Rent To Income Ratio (Net)

Average Net Income

Average Monthly Rent

1

Bournemouth

46.70%

£19,929

£776

2

Brighton

46.51%

£20,628

£799

3

Oxford

44.92%

£24,656

£923

4

Stirling

43.55%

£16,676

£605

5

Bath

41.45%

£26,285

£908

6

Portsmouth

40.64%

£21,479

£728

7

Southampton

39.99%

£20,618

£687

8

Milton Keynes

39.91%

£26,134

£869

9

London

39.86%

£36,368

£1,208

10

Swansea

39.86%

£18,520

£615

Chris Hutchinson, CEO at Canopy, commented: “It is sobering to see that more than a quarter of UK tenants are spending the vast majority of their take-home salary on rental payments, and it neatly encapsulates the tricky situation that many tenants with aspirations of home ownership are in.

According to our latest data, renters are spending 38% of their take-home income on rent vs 18% for homeowners paying mortgages. That highlights the financial pressure on renters, meaning less money is able to be saved to achieve their goals.

Despite the price stability that further regulation would have on the market, there would likely be additional disincentives for landlords, leading to more leaving the market, and therefore reducing rental housing supply, or those remaining being less inclined to adequately maintain their properties. Where we could see positive change is towards longer tenancies for those who desire them, fostering greater security for families and communities.”