It is still cheaper to buy

Commenting on the survey, Guy Aldwinckle, head of mortgage marketing at Abbey National, said: “What’s clear from this research is that homebuyers are still saving considerable sums of money in the long term when compared with renting.”

Over a period of 25 years, it is on average 24% or around £80,250 cheaper to buy than rent a home in the UK, over a period of 25 years. However, compared with Abbey National's 2002 findings, the saving to be made by buying a property rather than renting has reduced from 30 per cent to 24 per cent. This can largely be attributed to the rise in property prices.