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ARTICLE · 09 OCTOBER 2026

RPI: Time To Say Goodbye?

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The UK's Retail Prices Index is undergoing a fundamental methodology change in February 2030 that will align it with CPIH, potentially reducing annual increases in rent reviews and other commercial obligations. This reform affects countless commercial leases and real estate agreements that reference RPI for indexation, creating both risks and opportunities for landlords and tenants who act now.

United KingdomReal Estate and Construction
Matthew Battensby
Matthew Battensby

The Retail Prices Index (RPI) is the oldest measure of consumer prices in the UK. From February 2030, the methodology used to calculate the RPI will be fundamentally reformed, bringing into the RPI calculation the methods and data sources of the Consumer Prices Index including owner occupiers' housing costs (CPIH). 

Whilst the RPI has long since lost its status as a national statistic, it remains in common use in commercial contracts, including in the real estate sector. Many commercial leases and related agreements reference RPI as the basis for indexation of future sums. Rent review provisions, service charge escalation clauses, and other periodic payment mechanisms commonly incorporate RPI-linked uplift formulae.

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