1. What is RPI Rent Increase?

The Retail Price Index (RPI) is a measure of inflation used to calculate annual rent increases in many lease agreements. This calculator helps determine how much your rent will increase based on the current RPI percentage.

2. How Does the Calculator Work?

The calculator uses the simple formula:

Where:

• RPI — Retail Price Index percentage (e.g., 3.5%)
• Current Rent — Your current monthly rent amount

Explanation: The RPI percentage is divided by 100 to convert it to a decimal, then multiplied by the current rent to calculate the increase amount.

3. Importance of RPI Rent Calculations

Details: Many commercial and some residential leases include RPI-linked rent review clauses. Understanding these calculations helps tenants budget for increases and landlords set appropriate rates.

4. Using the Calculator

Tips: Enter the current RPI percentage (without % sign) and your current monthly rent amount. Both values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What's the difference between RPI and CPI?
A: RPI (Retail Price Index) and CPI (Consumer Price Index) are both measures of inflation, but RPI typically includes housing costs and tends to be higher than CPI.

Q2: How often are RPI rent increases applied?
A: Typically annually, but check your lease agreement as frequency can vary (common intervals are 1, 3, or 5 years).

Q3: Is there usually a cap on RPI increases?
A: Some leases include caps (e.g., "RPI + 2% but no more than 5% total"), while others are uncapped. Always review your lease terms.

Q4: Can RPI be negative?
A: Yes, during deflation RPI can be negative, which would theoretically result in a rent decrease, though many leases specify minimum 0% increase.

Q5: Where can I find current RPI values?
A: Official RPI figures are published monthly by national statistics offices (e.g., ONS in the UK, BLS in the US).