A city in Sussex has emerged as the UK hotspot for rental interest, according to fresh research.

Chichester claimed the top position in the UK Rental Index released by lender Pepper Money, which examined search activity, available rental properties, rent price growth, letting speed, and typical rental costs across 42 areas throughout the country.

Chichester logged 659 property enquiries per 10,000 residents—nearly twice Exeter’s figure of 369, which placed second on the list.

The research also showed the city performed strongly regarding rental costs, with occupants typically forking out £1,227 monthly.

The index revealed rent inflation in Chichester reached 4.3 per cent, with the standard monthly rental charge sitting 15 per cent above the nationwide average for a two-bedroom home.

Two additional spots in southeastern England secured positions within the top ten, with Oxford and Winchester placing fourth and ninth accordingly.

The results emerge ahead of impending reforms to UK tenancy legislation.

The Renters’ Rights Act, effective from May 1, will provide enhanced protection and security to the nation’s estimated 11 million tenants and is anticipated to further transform the rental market.

The legislation will eliminate Section 21 no-fault evictions and fixed-term tenancy agreements, alongside introducing broader protective measures for renters.

Sussex’s other city, Brighton, was identified last month as the second most unaffordable location in Britain for tenants, with typical occupants allocating almost two-thirds of their yearly earnings to housing costs.