Rent rise hits West

Average rents on traditional pubs in the South West of England have now overtaken rents in the South East, according to the annual survey by property...

Average rents on traditional pubs in the South West of England have now overtaken rents in the South East, according to the annual survey by property agents Fleurets. Licensees looking to buy a traditional pub in the South West - including the West Country and South Wales - can now expect to pay an annual rent of £44,985 compared to their neighbours in the South East who pay £44,702.

Meanwhile on the High Street average rents were £129,625 in the South West compared to £123,000 in the South East.

Graham Bunn, divisional director at Fleurets, said both areas were broadly similar but there were a number of features which attracted higher rents in the South West.

"There are some very solid locations in that area of the country, such as Bristol and Bath," he said. "The figures for traditional pubs are a particular surprise, but there is a strong tourist industry in many parts [of the South West] where businesses do very well."

The survey, which is in its 21st year, also reveals that rents on high street pubs in London's West End have risen by a whopping 53 per cent over the past 12 months. However, the survey notes that evidence for this figure has been "sparse" over the past two years and are to be treated with caution.

The figures show that rents on high street pubs in the West End have increased from £180,997 to £277,200.

Meanwhile, average rents for traditional pubs in the West End reveal a far more steadier rise of four per cent, from £88,485 to £92,333.

Fleurets also noted it has recorded only one new letting in the West End in the past five years. It suggest this could be down to "a position of over provision" or "Westminster Council's position on new licences".

However, rents on the high street in the City of London, which covers all EC postcodes, have dropped significantly from £147,829 to £115,139.

In outer London rents on traditional pubs have dropped slightly from £67,950 last year to £66,460.

Rents in the Midlands and the North remained relatively stable, with only rents on traditional pubs showing any fall.

Locations

London is divided into three regions:

  • The City (all EC postcodes)
  • The West End (W1, W2, SW1, SW3, WC1, and WC2)
  • Outer London (all other areas within the M25)

South East: includes East Anglia, the Home Counties, Bedfordshire, Berkshire, Northants, Sussex and Hampshire

South West: includes the West Country and South Wales

The North: covers both East and West of the Penines and North Wales