Rents in London are rising much quicker than the salaries of its residents, according to a report Monday from GMB, a trade union in England.

Between 2011 and 2017, the average monthly rent for a two-bedroom flat in the city rose 25.9% to an average of £1,500 (US$2,009) per month, while over the same period, monthly earnings increased just 9.1%.

More: Oprah Buys $8 Million Investment Property in Washington State

In England as a whole, rents increased 18.2% in the same time frame, with the average two-bedroom flat in the country letting for £650 (US$870) per month.

Meanwhile, wages across all of England increased slightly more than in London alone, rising 9.8%, the report said.

The Thames-side borough of Greenwich saw the biggest rent increases between 2011 and 2017, as monthly values rose 50% to £1,350 (US$1,807). Wages meanwhile, rose 7.2%.  

From Penta: Matisse’s Portrait of Mary Hutchinson Estimated to Sell Above £2 Million

The next largest increases were in the east London boroughs of Newham and Barking Dagenham. The average rent for a two-bedroom flat rose 47.4% to £1,400 (US$1,874) in Newham, where wages increased 9.5%. And rents in Barking and Dagenham rose 42.4% to £1,175 (US$1,573) as wages rose 16.4%.

“These high rents are here to stay,” said Warren Kenny, GMB regional secretary, in the report. “So too are younger workers living for longer in private sector rental accommodation.”

“Earlier this year the Office for National Statistics projected London’s population growing to nearly 11 million by 2040,” Mr. Kenny said. “Higher pay, especially for younger workers, is now one essential part of the solution.”

Follow Mansion Global:

Facebook | Twitter | Instagram | LinkedIn | Messenger
Write to us: info@mansionglobal.com

Stay up to date with Mansion Global newsletters