The cost of renting in London’s most prestigious political postcode - Even Liz Truss saved £7,000 during her time as PM
The latest research by London lettings and estate agent, Benham and Reeves, has revealed just how much it costs to rent in the most prestigious postcode in UK politics, Westminster’s SW1 postcode - home to No.10 Downing Street, with even Liz Truss saving almost £7,000 in rent during her stint as PM, despite it lasting just 44 days.
The research shows that when it comes to the Westminster property market, the SW1 postcode commands an average sold price of £1.116m in the current market. Not only is this the sixth most expensive in the entire borough, but it’s a 16% house price premium compared to the wider Westminster average house price.
However, with Westminster’s political elite never really sure just how long they will last in the spotlight, renting is very much the in thing, allowing them to sidestep the high cost of purchasing in the event they only last 44 days.
Renting in the SW1 postcode currently costs an average of £4,647 per month, 97% higher than the wider borough average for Westminster, making it the third most expensive Westminster postcode from a rental standpoint.
Of course, the most affordable way to traverse the Westminster rental market is to secure the keys to No.10, a move that can see you save a considerable sum. In fact, despite lasting just 44 days, Liz Truss still managed to save a huge £6,722 during her tenure as PM.
While Boris has stated he won’t stand in the Tory leadership contest he may want to reconsider. During the 1,139 days he spent at No.10 the average cost of renting in the SW1 postcode may have fallen from an average of £5,945 per month to £4,647, however, he still saved a huge £195,825 in rent while in the position of PM.
Theresa May’s time at No.10 came to an end as rental values in the SW1 postcode peaked at £5,945 per month, saving her £202,458 in rent during her 1,105 days as PM.
However, it’s David Cameron that enjoyed the largest rental cost saving during his time in Downing Street. Not only was he a tenant of the SW1 postcode for the longest period of the four at 2,254 days, the cost of renting also climbed 25% during his time there between 2010 and 2016.
As a result, he saved an estimated £369,095 in rent by taking the position of PM.
Director of Benham and Reeves, Marc von Grundherr, commented:
“London’s rental market is no different to the sales market in the respect that a topline average only gives you a rough guide to the cost of renting and this cost can vary quite dramatically from one postcode to the next.
When it comes to Westminster, the cost of residing within the boroughs is predictably steep regardless of where you look and whether you choose to buy or rent.
The SW1 postcode is a particularly sought after one for some, however, their motivations are very much driven by advancing their careers for a limited period of time, rather than laying down long-term foundations as a homeowner.
At the same time, their time spent in the area comes without a high property price tag or monthly rental requirement and so it’s probably the best way to tackle the issue of affordability when living in London, albeit it can be a particularly cut through route to take.”
