8. Measuring the information
Sources
The Index of Non-public Housing Rental Costs (IPHRP) is created utilizing administrative knowledge. Which means that the index makes use of information which can be already collected for different functions to estimate rental costs. The sources of personal rental costs are the Valuation Workplace Company (VOA), Scottish Authorities, Welsh Authorities and Northern Eire Housing Govt (NIHE). Information for Northern Eire additionally embody knowledge offered by Propertynews.com.
The sources of the yearly up to date Index of Private Housing Rental Prices, UK: annual weights analysis dataset are the Division for Levelling Up, Housing and Communities (DLUHC), Scottish Authorities, Welsh Authorities, NIHE and VOA.
The IPHRP’s indices are up to date on a month-to-month foundation with the brand new month-to-month estimate. Information are listed with January 2015 as a base 12 months. Information are offered for:
- England from January 2005
- Wales from January 2009
- Scotland from January 2011
- UK from January 2015
Revision coverage
Northern Eire rental knowledge aren’t obtainable for the newest two months. To provide provisional estimates of the IPHRP and annual share change for the newest two months, Northern Eire’s index has been carried ahead. As an example, rental value inflation has been assumed to be 0% for the newest two months. Every subsequent month, up to date Northern Eire knowledge are used to revise estimates for the UK. This implies that there’s a two-month revision interval for the UK collection and UK (excluding London) collection within the IPHRP.
Information assortment
In England and Wales, knowledge for achieved rents are collected for each new tenancies and present tenancies. When 12 months have handed following a property’s final replace, hire officers obtain a notification, which helps hire officer goals to revisit earlier properties.
In Northern Eire, rents knowledge are for marketed new lets.
In Scotland, rents knowledge are predominantly for marketed new lets. Information assortment procedures don’t contain actively looking for to re-collect knowledge for beforehand collected properties.
Within the IPHRP, assumptions on common intervals between hire value will increase are used to measure value inflation for the inventory of rents. IPHRP methodology assumes that rental value stays fixed for as much as 14 months if up to date rental knowledge for that property aren’t obtainable, and replaces information greater than 14 months outdated.
Since Scotland knowledge are predominantly new lets knowledge, solely a small proportion of Scotland knowledge collected are based mostly on present lets knowledge. Which means that alternative knowledge will probably be predominantly based mostly on newly marketed rents, which aren’t topic to the value cap. Due to this fact, value modifications for present tenancies are largely estimated for Scotland.
Price of Residing (Tenant Safety) Scotland Act
The Cost of Living (Tenant Protection) Scotland Act capped in-tenancy rental value will increase at 0% (and as much as 3% in sure circumstances) till 31 March 2023. On 1 April 2023, this rental price increase cap was increased to 3% (and as much as 6% in sure circumstances), as reported on the Scottish Authorities web site. On 20 September 2023, Scottish Government confirmed that this rental value cap would stay in place for as much as six months from October 2023. This rental value cap solely applies to in-tenancy hire will increase, with no restriction on hire will increase for brand new lets.
High quality
Extra data on strengths, limitations, applicable makes use of, and the way the information have been created is offered in our Index of Private Housing Rental Prices Quality and Methodology Information (QMI).
Future developments
Following the Digital Economy Act 2017, the Workplace for Nationwide Statistics (ONS) gained entry to Valuation Workplace Company (VOA) personal rental microdata. We goal to redevelop the IPHRP and personal rental market abstract statistics (PRMS) to provide mix-adjusted common rental costs which can be comparable over time. We additionally plan to refine geography to decrease geographic ranges, to higher meet person wants.
An outline of the methodology that we intend to make use of is offered in our Redevelopment of private rental prices statistics, intended methodology. We’ll now must spend extra time guaranteeing the manufacturing system is developed on a strategic platform and is sustainable. This has resulted in our preliminary timetable being old-fashioned. Extra data and a timetable for these developments (up to date 6 July 2023) can be found in our Private rental prices development plan: updated February 2022. When you have any queries or suggestions on these developments, please e-mail us at hpi@ons.gov.uk.
