Generation Rent: A Force Of Circumstance Or Choice?
The term “generation rent” has been bandied about so widely and so often that it has become a somewhat meaningless stereotype.
Some may think they know what they mean when they describe Generation Rent. Yet the term cloaks a wide array of different situations, aspirations and attitudes towards housing tenure.
Therefore, perhaps it’s helpful to unpick what’s meant by the term a little. Is generation rent a force of circumstance, or a lifestyle choice?
Circumstance or choice?
Generation rent might, in fact, be split into two tribes. One tribe continues to chase the dream of homeownership. However, this group is forced to rent for the moment through sheer necessity. The other has consciously chosen – or resigned itself – to renting…
Force of circumstance
Membership of Generation Rent might originally have been considered a temporary necessity. This was caused by the unavailability of mortgages, a shortfall on the required deposit and a lack of suitably priced homes.
As renting is considered a temporary state of affairs, this group continues to save and hope that the housing market changes just enough for them to get that first foot on the ladder.
In London, for example, it might mean searching for that first house in previously less desirable or more remote suburbs. Buy-to-let landlords have faced increasing challenges to turn a profit on such investments. First-time buyers offer an increasingly competitive challenge in the market.
This may also be the group of Generation Rent that is casting its eyes further afield and looking to rent – on a temporary or permanent basis – outside of the capital. The latest ONS rent data shows London still has the highest average private rents in the UK. Therefore, it is easy to see why some renters look elsewhere for better value.
Renting as a choice
The last group might also suggest a crossover between the two tribes of Generation Rent. Even those who have made a conscious decision to rent, rather than buy, are also looking for cheaper rents outside of London.
This is a group of Generation Rent, which the London Evening Standard called “forever rent”.
As a member of “forever rent”, you have mobility on your side. You may choose to move at the drop of a hat and may have a wider choice of where to live. It may even be in housing that may be out of your reach if you wanted to buy it.
Generation rent isn’t just today’s millennials. ONS analysis of the private rented sector shows renters now span a broad range of age groups across the UK. Even though those aged 25 to 34 remain the single biggest group in the sector.
What’s next for generation rent?
For now, home ownership in England remains the biggest tenure, not a 30-year low. The latest English Housing Survey 2024-25 shows 65% of households are owner-occupiers, while 19% rent privately.
That said, the pressure on renters has not gone away. The same ONS rent bulletin shows average UK private rents rose by 3.3% in the 12 months to May 2026.
Among younger adults, the ambition to buy is still there. According to the English Housing Survey age cohorts release, 69% of people aged 16 to 34 still expect to buy a home eventually.
Generation rent may become the norm.
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Last Updated: June 26th, 2026
