Economic Sustainability Facts & Figures Update - Wokingham ...

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Economic Sustainability Facts & Figures Update - Wokingham ...
Economic Sustainability Facts & Figures Update
October 2019 – March 2020

    Key Changes
             The COVID-19 Pandemic has led to lockdown in the UK with significant impacts on the
              economy. A third of the UK’s workforce is likely to be unemployed or furloughed in the
              immediate future.
             The UK economy fell by 2% in the first quarter of 2020. This is rapid shrinkage not seen since
              the financial crisis and reflects just one week of lockdown. GDP is set to fall by between 10%
              and 35% in Q2.
             The UK formally left the EU on 31st January 2020 and has entered an 11 month transition
              period, during which trade deals will be negotiated. This will end on December 31st 2020 and
              is currently not going to be extended. Economic uncertainty is set to return on the run up to
              this date.
             The UK saw volatile GDP growth over the course of 2019, largely due to uncertainty over
              Brexit.

The Impact of the COVID-19 Outbreak on the UK Economy
The timeline of policy measures responding to COVID-19
        Budget 11th March contained £12 billion package to tackle the coronavirus.
        Further support measures worth £20 billion were announced on 17th March and government
         announced guaranteed £330 billion of bank lending to businesses.
        Coronavirus job retention scheme was introduced on 20th March1. Government is to pay
         grants to companies to cover 80% of employees’ salary (up to £2,500 per month) for 3
         months2. This scheme has now been extended to October with companies asked to share the
         costs from August.
        20th March the UK Government announced all pubs, bars, restaurants, gyms, theatres and
         cinemas were to close.
        23rd March it was announced that the UK was going into lockdown, enforcing social distancing,
         self-isolation and previous restrictions were tightened on businesses to include all non-
         essential shops3.
        Help for the self-employed was announced 26th March in the form of a grant covering up to
         80% of average monthly profits over previous three years, up to £2,500 a month. The scheme
         is open to those trading profits up to £50,000.
        10th May Boris Johnson announced a change in message from ‘Stay at Home’ to ‘Stay Alert’
         and called for those who cannot work from home, namely in the construction and
         manufacturing industries, to return to work whilst maintaining social distancing from 13th May
         2020. This is the first stages of reopening the economy.

1 https://www.gov.uk/guidance/claim-for-wage-costs-through-the-coronavirus-job-retention-scheme
2 https://www.britishchambers.org.uk/news/2020/04/bcc-responds-to-extension-of-furlough-scheme
3 https://www.businessinsider.com/uk-pubs-restaurants-gyms-told-to-shut-down-to-fight-coronavirus-pandemic-2020-

3?r=US&IR=T

                                                                                                                   1
Economic Sustainability Facts & Figures Update - Wokingham ...
   Berkshire Growth Hub has launched free coronavirus advice services to further support local
         businesses, the Coronavirus Information & Resource Portal and free one-to-one advice
         sessions.4

CODIV-19 Economic Statistics
Traditional ways of economic reporting, such as quarterly data used in this report, do not yet reflect
the current CODIV-19 situations significant impact on the economy. Below are some estimated
statistics from more timely data sources.
     The economy fell by 2% in Q1 2020, reflecting just one week of lock down at the end of March.
         The graph below shows that this is the fastest pace of economic shrinkage since the financial
         crisis which is highlighted on the graph below5.
     The economic shock currently looks to be double what was seen during the 2008 global
         financial crisis6.
     GDP is predicted to fall by between 10% and 35% this quarter (April-June)6.
     Government borrowing is likely to be up by between 10% and 35% of GDP this year. This is
         likely to reach 100% of GDP by the end of forecasted scenarios and lockdown measures7.
     Likely that a third of the workforce will be unemployed or furloughed for the immediate future
         and will have huge impact on the labour market (EY). 8 million are predicted to be on the
         furlough scheme at some point7.
     More than 1.5 million new claims have been made to Universal Credit since 1 March 2020
         (DWP).
     A survey by BCC revealed 71% of survey respondents have furloughed staff, up from 66% in a
         week, as cash flow remains a significant concern for many businesses with 6 in 10 having less
         than three months’ cash in reserve8.

    Quarter-on-quarter percentage change in the UK economy over time

                                                                                           Source: ONS via BBC (2020)

4 https://www.berkshirebusinesshub.co.uk/uncategorised/berkshire-growth-hub-launches-free-coronavirus-advice-services-
support-local-businesses
5 https://www.bbc.co.uk/news/business-52641807
6 EY ITEM Club Spring 2020 Forecast
7 Resolution Foundation
8 https://www.britishchambers.org.uk/news/2020/04/bcc-coronavirus-business-impact-tracker-more-than-70-per-cent-of-

firms-surveyed-have-furloughed-staff-as-scheme-goes-live

                                                                                                                        2
   Centre for Cities research suggests Reading is sixth least likely to suffer job losses and
         furloughing due to COVID-19, a significant statistic due to the blurred geographies of business
         activity in the Reading/Wokingham Borough area.

Brexit Monitoring
Brexit Timeline of Events

        Boris Johnson won the general election on the 12th December 2019 by a significant majority,
         securing much of the labour heartland seats. This election result secured the UK’s position in
         regards to leaving the European Union at the start of 2020.
        The UK formally left the EU as planned on the 31st January 2020. This will now be followed by
         an 11 month transition period which will come to an end on the 31st December 2020 when
         the UK will leave the single market and the customs union9.
        During this period discussion will continue between the UK and the EU to negotiate a free
         trade deal and the UK will continue its usual trade relationship with the EU.
        While the certainty of the majority election result was expected to stabilise the economy
         through business and consumer confidence, the continued uncertainty produced through the
         transition period and upcoming negotiations are predicted to cause uncertainty later on in the
         year, as the prospect of a no deal trade scenario becomes a reality again.

Brexit Statistics
        Confidence for small businesses hit an 8 year low in the run up to the Christmas Elections with
         worries over rising labour costs and uncertainty around global trade. The proportion of small
         businesses reporting a fall in profits in the fourth quarter reached a five-year high of 42% while
         the number enjoying an increase hit a five-year low of just 27%.10
        Directly after the decisive election result, consumer confidence was high with a three-point
         increase in the consumer confidence index compared to November, although it remains in the
         negative territory.11
        Although the economy received a boost post-election, there are fears that the confidence will
         not translate to meaningful boost in growth, with uncertainty set to return as the transition
         period comes to an end.12
        Downing Street has said the UK will not extend the Brexit transition period due to COVID-19.
         Although all in-person talks have been cancelled, negotiations with the EU are ongoing.13

National Economy
As mentioned above, the UK economy has contracted by 2% in Q1 2020 with more shrinkage forecast
for Q2. GDP growth was particularly volatile throughout 2019, as shown on the graph overleaf. This is
likely to be reflecting changes in the timing of activity related to the UK’s original planned exit dates
from the EU.
      The UK economy saw no growth in the final quarter of 2019 with GDP remaining flat October
         to December. When compared with the same quarter a year ago, UK GDP increased by 1.1%
         in Quarter 4 201914.

9 https://www.bbc.co.uk/news/uk-politics-32810887
10 https://www.telegraph.co.uk/business/2019/12/30/small-business-confidence-plunges-eight-year-low/
11 https://www.marketingweek.com/consumer-confidence-december-2019/
12 EY ITEM Club Winter 2020 Forecast
13 https://www.bbc.co.uk/news/uk-politics-52313042
14https://www.ons.gov.uk/economy/grossdomesticproductgdp/bulletins/quarterlynationalaccounts/octobertodecember201

9#headline-gdp

                                                                                                               3
    The services sector provided a positive contribution to growth in the output approach to GDP
         in Quarter 4 2019, however, this was offset by a negative contribution from the production
         sector.
        Government consumption and trade added to growth in the expenditure approach to GDP in
         Quarter 4 2019, while private consumption and gross capital formation subtracted from
         growth.
        UK GDP increased by 1.4% between 2018 and 2019, unrevised from the first quarterly
         estimate.

        Services output increased by 0.2% in Quarter 4 (Oct to Dec) 2019. Production output fell by
         0.7% in Quarter 4 2019, driven by declines in manufacturing, and mining and quarrying.
         Meanwhile, construction output decreased by 0.1% in the fourth quarter.
        Currently, due to COVID-19 output in the heavily impacted services sector is likely to have
         fallen by 70% to 90%.
        For the period December 2019 to February 2020, prior to the implementation of the
         coronavirus (COVID-19) social distancing measures, the UK employment rate was estimated
         at a record high of 76.6%, 0.4 percentage points higher than a year earlier and 0.2 percentage
         points up on the previous quarter15.
        The UK unemployment rate was estimated at 4.0%, largely unchanged compared with a year
         earlier and 0.1 percentage point higher than the previous quarter.

Regional Economy
        The South East economy is valued at over £240 billion GVA. The South-East is forecast to
         deliver the highest economic growth among the 12 UK regions in 2019 after an already strong
         performance in 2018.
        Within the South East, Berkshire’s high performing economy is worth over £35 billion per
         annum, making a net contribution to UK plc; a disproportionately large contribution of
         economic value to the regional economy. 16

15https://www.ons.gov.uk/employmentandlabourmarket/peopleinwork/employmentandemployeetypes/bulletins/employm

entintheuk/latest
16 https://www.berkshirebusinesshub.co.uk/about/why-berkshire-is-best-for-business

                                                                                                           4
       The South East region is set for a period of continued growth over the next decade (Figure 3)
             due to the regions key assets including high levels of manufacturing output, higher levels of
             professional, technical and service growth. The region is also second to London in terms of the
             highest education levels in the UK.17
            In terms of reliance to the COVID-19 impact on the economy, Reading is resilient according to
             Centre for Cities, due to the cities low share of exporting industries as a percentage of its
             labour market.18

Local Economy

     1. Employment

         (1) Employment Summary
              Wokingham had an unemployment rate of 2.1% and an employment rate of 81.1% (Dec 2019).
              Wokingham’s ‘All Claimant Count’ has grown marginally but remains the lowest compared to
               surrounding local authorities.
              Full-time working residents of Wokingham take home a greater gross weekly pay than the
               regional or national average but with a prominent gender pay gap.

Employment statistics did not see drastic changes since last reported in June 2019. Latest figures from
December 2019 saw that Wokingham Borough had a low unemployment rate of 2.1% compared with
the rest of the South East (3.0%) and nationwide (3.9%). Employment rates were 81.1% in Wokingham,
79.5% across the South East region and 75.9% nationwide19.

Employment by occupation has not changed hugely over 2019. The highest proportion of the
boroughs workforce is still employed in managerial, senior official, professional, associate professional
and technical roles, accounting for 63.8%. An average of 47.5% of Great Britain’s workforce are
employed in this sector. 8.3% of Wokingham Borough’s residents working as plant and machine
operatives or in Elementary Occupations (including door-to-door sales, cleaning, caretakers, delivery
staff and refuse collectors). This is significantly less than the regional (13.4%) and national averages
(16.5%).

Earnings for Wokingham Borough’s highly qualified population are high compared to the regional and
national averages. The gross weekly pay for full-time workers in Wokingham Borough (2019) was
£732.3. For the South East earnings were £636.0 and £587.0 in Great Britain, a comparison can be
seen in the graph overleaf. The gender pay gap of full-time workers remains particularly prominent in
the Wokingham Borough, compared to the regional and national averages, with men earning a gross
weekly average of £250 more than women last year.

17 https://www.pwc.co.uk/who-we-are/regional-sites/south-east/press-releases/south-east-forecast-as-uks-top-growth-
region-for-2019--pwc-econo.html
18 https://www.centreforcities.org/blog/what-does-the-covid-19-crisis-mean-for-the-economies-of-british-cities-and-large-

towns/#_ftnref1
19 https://www.nomisweb.co.uk/reports/lmp/la/1946157290/report.aspx?

                                                                                                                            5
Full Time Weekly Earnings of Residents (£)
 800

 700

 600

 500

 400

 300

 200

 100

   0
    2006            2008        2010             2012           2014             2016        2018           2020

                                    Wokingham           South East           Great Britain

                                                                                              Source: Nomisweb (2020)

The claimant count in Wokingham Borough is 1.1% (1,135 people) as of March 2020. This data is likely
not to be reflecting the suspected increase in claimants that is predicted to have occurred at the end
of March. Comparison to surrounding local authority as well as the region and country can be seen in
the graph below.

                            Claimants as a Percentage of Residents

    Great Britain

           Slough

         Reading

       South East

 Bracknell Forest

       West Berks

           RBWM

    Wokingham

                0.00%       0.50%        1.00%          1.50%        2.00%          2.50%    3.00%         3.50%

                                                                                              Source: Nomisweb (2020)

The 50+ claimant count for Wokingham Borough has maintained at 0.9%. The South East currently
stands at 1.8%, and for Great Britain this is 2.5%. The graph overleaf shows the Wokingham Borough
50+ claimants since December 2017, compared with those in the South East and Great Britain.

                                                                                                                   6
Claimant Count of 50+ Residents (%)
      3
                                                                                                                                               2.6
                                                                                                                                                                                                                                                                       2.5
     2.5                                                                                                                                                                   2.3                                  2.3
                                                           2.2
                                        2.1                                                                                 2.1
                                                                                                            2
      2     1.9
                                                                                                                                                                                                                                                                      1.8
                                                                                                                                              1.7
                                                                                                                                                                          1.6                                  1.6
     1.5                                                                                                                   1.4
                                       1.3                1.3                                           1.3
           1.2

      1                                                                                                                                       0.9                                                              0.9                                                    0.9
                                                                                                                           0.8                                            0.8
                                                                                                        0.7
                                       0.6                0.6
           0.5
     0.5

      0
                                        Mar-18

                                                           May-18

                                                                                                                  Nov-18

                                                                                                                                                        Mar-19

                                                                                                                                                                           May-19

                                                                                                                                                                                                                                  Nov-19

                                                                                                                                                                                                                                                                       Mar-20
                                                                                                                                                                                                                         Oct-19
                                                                    Jun-18
                                                                             Jul-18

                                                                                                         Oct-18

                                                                                                                                                                                             Jul-19
                                                                                                                                                                                    Jun-19
            Dec-17
                     Jan-18
                              Feb-18

                                                 Apr-18

                                                                                               Sep-18

                                                                                                                            Dec-18
                                                                                                                                     Jan-19
                                                                                                                                               Feb-19

                                                                                                                                                                 Apr-19

                                                                                                                                                                                                                Sep-19

                                                                                                                                                                                                                                           Dec-19
                                                                                                                                                                                                                                                    Jan-20
                                                                                                                                                                                                                                                             Feb-20
                                                                                      Aug-18

                                                                                                                                                                                                      Aug-19
                                                                                      Wokingham                              South East                          Great Britain

                                                                                                                                                                                                                                  Source: Nomisweb (2020)
NEET figures in Wokingham are low compared with both the South East and England. As of February
2019 (latest figures) only 1.1% of young people between the ages of 16-17 being NEET, well below
regional and national averages20. Wokingham has the lowest average NEET figures in the region, joint
with West Berkshire and Windsor and Maidenhead. The annual NEET briefing, concluded that the
NEET rate across the UK remained stable for the overall 16-24 and 18-24 age groups but increased
slightly for 16/17 year olds in 201921.

     Table 1: The NEET Residents of Wokingham Borough and surrounding areas (2019)
                       Area 16-17                                                                                             NEET (including                                           Known                                     16-17 year olds
                             cohort                                                                                           unknown)                                                  NEET (%)                                  not known (%)
                    England 1,119,100                                                                                         61,830                                                    2.6%                                      2.9%
                 South East 177,690                                                                                           9,830                                                     2.4%                                      3.2%
            Bracknell Forest 2,180                                                                                            210                                                       2.5%                                      7.0%
                    Reading 2,960                                                                                             220                                                       4.2%                                      3.3%
                     Slough 3,720                                                                                             150                                                       3.1%                                      0.8%
             West Berkshire 3,240                                                                                             50                                                        1.1%                                      0.6%
      Windsor & Maidenhead 2,900                                                                                              170                                                       1.1%                                      4.8%
                Wokingham 3,400                                                                                               150                                                       1.1%                                      3.4%
                                                                                                                                                                                                                          Source: nomis.web.uk (2019)

Qualification Levels of residents in Wokingham Borough are high compared to other areas, which can
be seen on the graph overleaf. Only 4.4% of the population do not hold any qualifications, compared
to the national average of 7.7%. 53.6% of residents have a NVQ Level 4 or above as of December
201919.

20   https://www.gov.uk/government/publications/neet-and-participation-local-authority-figures
21https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/869804/NEET_statisti

cs_annual_brief_2019_statistical_commentary.pdf

                                                                                                                                                                                                                                                                                7
Comparison of Qualification Levels as % of Residents
     100

     90

     80

     70

     60

     50

     40

     30

     20

     10

       0
           No Qualifications      Other          NVQ1 and above NVQ2 and above NVQ3 and above NVQ4 and above
                               Qualifications

               RBWM    Wokingham       Reading     West Berks   South East   Bracknell   Slough     Great Britain

                                                                                                  Source: Nomisweb (2020)

       2. Business

           (2) Business Summary
               Business confidence across the UK has seen its largest quarterly fall on record going into Q1 of
                2020 after a rise in confidence at the end of 2019 following the general election.
               This boost to confidence was not felt to a high degree in the Thames Valley where businesses saw
                the second largest deterioration of confidence on record (report published January 2020).

Business specialisms in Wokingham Borough are as follows:
     Information and Communication (16.3%)
     Professional, Scientific and Technical (14%)
     Administration and Support Service Activities (12.8%)22

The number of firms operating in the borough has increased in 2019 from the year before.
Wokingham Borough is part of the strong local economy within Berkshire and is home to many large,
well established transnational corporations. The table below shows how the borough is attracting
increasing numbers of enterprises year on year. Berkshire’s businesses are forecasted for continued
growth by the Thames Valley Berkshire Local Enterprise Plan.
     The Number of Enterprises active in Wokingham Borough (2019)
 Type of Business                                Number of Enterprises in                Change since 2018
                                                         2019
 Micro (0-9)                                             8,070                                    +210
 Small (10-49)                                            620                                      +15
 Medium (50-249)                                          125                                       +5
 Large (250+)                                              50                                       +5
                                                                                                  Source: Nomisweb (2020)

22   https://www.nomisweb.co.uk/reports/lmp/la/1946157290/printable.aspx

                                                                                                                      8
Business Confidence is a key indicator as to the economic health of the UK in these unprecedented
times of government intervention during the COVID-19 pandemic as well as the uncertainty of the
Brexit transition period. Business confidence across the UK has seen its largest quarterly fall on record
from Q4 2019 to Q1 2020.23
     Nationally, business confidence saw a rise in Q4 2019 after the decisive general election. 53%
         of Chief Financial Officers said they were more optimistic about the financial prospects of their
         company.
     Q1 2020 has seen a drastic reversal in confidence as 84% of CFOs reported that they are less
         optimistic about the prospects for their company than they were three months ago.
     The Thames Valley Business Barometer report24 published in January 2020 saw the highest
         deterioration in economic confidence during 2019 despite a slight increase during second half
         of the year. Although improved, this is the second biggest deterioration of confidence levels
         ever recorded.
     In the Thames Valley, economic confidence among business leaders has dropped over the last
         six months with 54% reporting confidence had deteriorated whilst only 6% stating it had
         improved. The remaining 40% stated their confidence remained the same.

     3. Housing

       (3) Housing Summary
           Lockdown measures have stalled the housing market after a promising start to the year, the best
            since 2016. Therefore there is no current meaningful average housing prices available, an
            estimate is below based on the small numbers of houses coming to market.
           On 13th May, estate agents were advised to return to work and so the market should begin to
            cover.
           Economic forecasts do not predict a long term strain on the housing market due to lockdown
            measures.

House Prices
National house prices had the best start to a year since 2016 in 2020 according to Rightmove’s Latest
House Price Index. However this has quickly moved on to new sales being almost impossible. The
lockdown measures have meant the housing market has halted. However estate agents have now
been given government advice to return to work on 13th May 2020 whilst maintaining social distancing
measures25.
     Pre-lock down sales agreed prior to 23rd March were up 11% on the same period last year.
     Existing sellers stay on the market, with total available stock for sale down just 2.6% since
        lockdown.
     The average asking price of the lessening number of properties coming to market in our
        reporting period from 8th March to 11th April saw a monthly price fall of 0.2% to £311,950,
        with the annual rate of increase from last April being 2.1%. Monthly and annual changes to
        national average asking prices can be seen in the graph and table below, respectively. Please
        note that there are not enough properties coming to the market to provide meaningful new
        seller asking prices in April 2020 due to COVID-19.

23 https://www.insidermedia.com/news/national/record-fall-in-uk-business-confidence-deloitte
24 https://www.bdo.co.uk/getmedia/58494a7d-deb9-4764-8c4f-8a7925b9bdef/Thames-Valley-Business-Barometer-January-
2020.aspx
25 https://www.rightmove.co.uk/news/house-price-index/

                                                                                                              9
Monthly Percentage Change in National Average Asking Prices April 2019 – April 2020

                                                                               Source: Rightmove (2020)

          Visits to the Rightmove webpage fell by around 40% at the time of the lockdown
           announcement but has now started to recover slowly across the last week of April.
          Savills UK Housing Market Update anticipates transactions in 2020 to fall to 20%-40% of the
           five year average and recover to 60%-80% of this by January 2021.
          The Savills Housing Market Update Report expects to see price falls of -5% to -10% in the short
           term after house prices rose by 0.9% nationwide on average, reflecting pre-lockdown
           confidence. This forecast depends on short sharp economic downturn and may change as the
           economic outlook is constantly shifting.

Local
House prices in the borough have remaining steady over the last 12 months. Latest data from the HM
Land Registry shows that average price of all properties in Wokingham borough was £413,115 in
February 202026. This is a 1.8% (+£7,390) annual change from April 2019 when average house prices
were £405,725. The average house prices in Wokingham Borough remain significantly higher than the
national average at £209,399 in February 2020. The table below shows the average asking prices for
different property types since July 2016 in Wokingham Borough.
     National Average Asking Prices July 2019 – April 2020
 Month                              Average Asking price                    Annual Change
 July 2019                          £308,692                                -0.2%
 August 2019                        £305,500                                +1.2%
 September 2019                     £304,770                                +0.2%
 October 2019                       £306,712                                -0.2%
 November 2019                      £302,808                                0.3%
 December 2019                      £300,025                                0.8%
 January 2020                       £306,810                                2.7%
 February 2020                      £209,399                                2.9%
 March 2020                         £312,625                                3.5%
 April 2020                         £311,950                                2.1%
                                                                                      Source: Rightmove (2020)

26https://landregistry.data.gov.uk/app/ukhpi/browse?from=2019-04-
01&location=http%3A%2F%2Flandregistry.data.gov.uk%2Fid%2Fregion%2Fwokingham&to=2020-04-01

                                                                                                           10
Average Asking Prices in Wokingham Borough July 2016 – January 2020
Month       Average price  Average price   Average price    Average price            Average price
             All property    Detached     Semi-detached    Terraced houses             Flats and
                 types        houses          houses                                 maisonettes
Jul 2016          £421,143      £627,274         £399,208         £315,401                 £231,786
Jan 2017          £418,666      £626,513         £394,637         £311,217                 £232,237
Jul 2017          £416,838      £621,954         £393,886         £309,259                 £232,577
Jan 2018          £421,910      £630,923         £399,809         £312,388                 £233,520
Jul 2018          £413,433      £620,235         £390,261         £306,780                 £228,105
Jan 2019          £399,842      £601,993         £378,401         £295,430                 £218,993
Feb 2019          £404,665      £608,508         £383,204         £298,804                 £222,113
Mar 2019          £402,724      £605,585         £381,608         £297,806                 £220,283
Apr 2019          £408,101      £612,392         £387,050         £302,971                 £222,866
May 2019          £403,165      £604,657         £382,822         £300,130                 £219,319
Jun 2019          £408,287      £612,329         £387,864         £303,952                 £221,941
Jul 2019          £413,723      £621,270         £393,115         £307,755                 £224,437
Aug 2019          £416,612      £627,204         £396,207         £310,106                 £224,375
Jan 2020          £406,721      £611,883         £388,786         £302,505                 £217,765
                                                                              Source: Land Registry (2020)

Average rents across the UK rose by 1.8% in March 2020 according to the latest HomeLet Rental Index
when compared to the same month in 2019.
    The average monthly rent (excluding London) was £793 in March 2020, up 1.4% from last
       year.27
    The average current asking rent in Wokingham is £1,210 per calendar month.28 The table
       below gives a breakdown of asking rents for privately rented homes (as of April 2020)
       together with the applicable Local Housing Allowance (LHA) and the shortfall between these
       figures.
 Average Asking Rents in Wokingham Borough (April 2020)
 Property Type          LHA (pcm)           Average Asking Rent (pcm)      Potential Shortfall (pcm)
 1 Bed Flat             £784.11             £809                           £24.89

 2 Bed Flat                    £936.98            £1,089                   £152.02

 2 Bed House                   £936.98            £1,121                   £184.02

 3 Bed House                   £1,134.26          £1,456                   £321.74

 4 Bed House                   £1,528.76          £1,710                   £181.24

 5 Bed House                   £1,528.76          £2,994                   £1,465.24

                                                                            Source: Zoopla.co.uk (2020)

27   https://homelet.co.uk/homelet-rental-index
28   https://www.zoopla.co.uk/market/wokingham/

                                                                                                      11
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