1. What is RPI Rent Increase?

The Retail Price Index (RPI) is a measure of inflation used to calculate annual rent increases in the UK. Many tenancy agreements specify rent increases based on RPI as per government guidelines.

2. How Does the Calculator Work?

The calculator uses the standard RPI rent increase formula:

Where:

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

Explanation: The calculation shows both the rent increase amount and the new monthly rent after the increase.

3. UK Government Guidelines

Details: The UK government recognizes RPI as a standard method for calculating rent increases, though some tenancy agreements may cap the maximum increase regardless of RPI.

4. Using the Calculator

Tips: Enter the current RPI percentage (available from the Office for National Statistics) and your current monthly rent. The calculator will show the increase amount and new rent.

5. Frequently Asked Questions (FAQ)

Q1: How often can rent be increased using RPI?
A: Typically annually, but check your tenancy agreement as terms may vary.

Q2: Is there a maximum rent increase allowed?
A: Some agreements cap increases (e.g., RPI + 2% or absolute maximums). Check your contract.

Q3: Where can I find the current RPI rate?
A: The Office for National Statistics publishes monthly RPI figures on their website.

Q4: Can landlords use different inflation measures?
A: Some may use CPI (Consumer Price Index) which is typically lower than RPI. The method should be specified in your agreement.

Q5: What if I disagree with the rent increase?
A: Tenants can challenge increases they believe are unreasonable through the First-tier Tribunal (Property Chamber) in England.