Impact of inflation on rents in Belgium: 2022-2026 review
The 2022-2023 inflation shock disrupted the Belgian rental market. Review of the indexation mechanism, regional freezes and consequences for landlords and tenants.
363days ago
!What changes
- 1The health index rose by 18% between 2021 and 2024, driving equivalent rent increases
- 2Brussels froze indexation for EPC E-G rated properties between November 2022 and October 2023
- 3Wallonia limited indexation to 100% of the health index (no retroactive catch-up) for EPC E-G
- 4Flanders imposed no indexation restrictions linked to inflation or EPC
- 5In 2026, average indexation is +2.1%, well down from the +9.6% peak in 2022
The rent indexation mechanism
Rent indexation in Belgium is based on the health index, a derivative of the consumer price index from which alcohol, tobacco and fuel are excluded. The formula is simple:
New rent = Base rent x (New health index / Starting health index)
Indexation is a landlord’s right, not an obligation. It only applies on the lease anniversary date and must be requested in writing. Indexation can never exceed the evolution of the health index — there is no “catch-up” possible beyond 3 months.
Consult our indexation guide to calculate your indexation.
Since 2022-2023, indexation is conditional on the EPC in certain regions. Without a valid EPC or with a poor score, indexation may be blocked or limited.
The 2022-2023 inflation shock
The 2022 energy crisis triggered unprecedented inflation in Belgium:
| Year | Health index (base 2013) | Annual change |
|---|---|---|
| 2020 | 109.21 | +0.7% |
| 2021 | 111.40 | +2.0% |
| 2022 | 122.10 | +9.6% |
| 2023 | 127.10 | +4.1% |
| 2024 | 131.20 | +3.2% |
| 2025 | 134.50 | +2.5% |
| 2026 | 138.30 | +2.8% |
A tenant with a lease signed in 2020 saw their rent indexed by 18% in 4 years (cumulative 2021-2024). For an initial rent of EUR 800, this represents an increase of EUR 144/month or EUR 1,728/year.
Regional reactions: 3 different approaches
Faced with the shock, each region reacted differently:
| Measure | Brussels | Wallonia | Flanders |
|---|---|---|---|
| Indexation freeze | Yes (EPC E-G, Nov 2022-Oct 2023) | No | No |
| Indexation limitation | EPC E: 50% of the index | EPC E-G: 100% no catch-up | None |
| Landlord compensation | No | No | N/A |
| Duration of measure | 12 months | Permanent (in force) | N/A |
Flanders remained the most liberal region, imposing no restrictions linked to inflation or EPC. The energy standards by region detail the current rules.
Brussels landlords of EPC E-G rated properties lost a full year of indexation (2022-2023). This loss is permanent and represents an average of EUR 600 to 900 per property.
Impact on tenants
Inflation affected tenants unevenly:
- Sitting tenants (older leases): gradual increase via indexation, but cushioned by freeze/limitation in some regions
- New tenants: faced with market rents already adjusted (+14% between 2020 and 2024)
- Vulnerable households: the rent-to-income ratio exceeded 40% for 18% of Brussels households
Housing grants were increased in 2025 to partially offset the impact.
Impact on landlords
For landlords, inflation had contradictory effects:
Positive:
- Increase in rental income (+18% cumulative 2021-2024 for those who indexed)
- Devaluation of mortgage debt (in real terms)
Negative:
- Increase in charges (energy, maintenance, materials: +15 to 25%)
- Indexation freeze/limitation in Brussels (net loss)
- Increase in property tax in some municipalities
The net balance is generally positive for landlords who were able to index, especially in Flanders. It is negative for those who own EPC E-G rated properties in Brussels.
Situation in 2026: back to normal?
Inflation is normalising at 2.8% in 2026, bringing indexation back to usual levels (+2 to 3%). But the aftermath of the shock remains:
- Rents have risen to a new level: no return to 2020 levels
- The EPC-indexation link is established: in Brussels and Wallonia, the EPC now conditions indexation
- The Brussels rent grid caps new lease rents (ceiling at +20% of the reference rent)
- Charges remain high: gas and electricity have not returned to pre-2022 levels
For landlords, the lesson is clear: a good EPC protects rental income (right to indexation, higher rent, better attractiveness). Consult our 2026 property investment guide and our rental management tool to optimise your management.
Frequently asked questions
-
Indexation is a landlord's right, applicable each year on the lease anniversary date. The calculation is based on the health index: new rent = base rent x (new index / starting index). The landlord must request it -- indexation is not automatic.
-
No. In Brussels, the 12-month freeze (2022-2023) for EPC E-G rated properties was not followed by any compensation. The landlord permanently lost that year of indexation. In Wallonia, no freeze but a limitation without catch-up.
-
Yes, but only within a 3-month window after the anniversary date. Beyond that, the right to indexation for that year is lost. It is never possible to catch up on several years of unclaimed indexation.
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