Rents fall as city jobs are cut

RENTAL rates are falling in central London. A surplus of new property and job cuts in the financial sector have contributed to a drop in asking prices of up to 11.7 per cent or £221 a month in the City.

Research by Findaproperty.com found Canary Wharf and Kensington and Chelsea were close behind in recording significant falls.

Andrew Smith of Findaproperty said: "Areas that used to be populated by City workers either renting by themselves or occupying a corporate let have felt the pinch the most."

But in more affordable areas, asking prices have gone up by up to seven per cent as demand has increased, due mainly to more tenants being willing to move further out in search of cheaper rents.

The average monthly rental price in London is now £1,669.