Long term rent controls would help keep homes affordable for tenants in future, under new legislation to create a fairer, better regulated rented sector.

The Housing (Scotland) Bill, introduced to Parliament last week, sets out how close working with councils will ensure rent controls are tailored to the local needs of tenants and landlords in different parts of the country.

Publication of the Bill, which will be scrutinised and voted on by MSPs, comes as temporary changes to the way rents are decided, through adjudication, come into force. From 1 April, these changes will ensure people are protected from very steep rent rises, following the end of the rent cap. Proposed rent increases after this date will still need to give three months’ notice.

Commenting, SNP MSP for Renfrewshire North and West, Natalie Don, said:

“Scotland has led the way within the UK in supporting and strengthening the rights of people who rent their homes.

“The Housing Bill sets out our next steps on the path towards a fairer, well-regulated private rented sector, which is good for both tenants and landlords and encourages investment.

“While the Parliament prepares to consider this legislation, the Scottish Government are also taking steps to support tenants with the pressures they are facing here and now. Our temporary changes to the ways that rents are decided will come into place from April 1 – to protect people who may be facing very steep increases as the temporary rent cap comes to the end of its final extension period.”

Regulations to protect tenants concerned about rent increases following the ending of the emergency rent cap have been laid in the Scottish Parliament.

From 1 April onwards, subject to parliamentary approval, the process for rent adjudication will temporarily be modified for one year.

This will enable challenges to rent increases on the basis of open market rent, as well as a maximum ‘reasonable’ increase to be defined by reference to a new ‘taper’ that supports a transition away from the cap. The government will also introduce a Housing Bill later this year, which is expected to establish a longer-term rent control system.

Any tenant who wishes to dispute a rent increase notice can apply for rent adjudication. In such cases, Rent Service Scotland or the First-tier Tribunal will set rent based on the lowest of the following three figures:

the open market rate
the rent requested by the landlord
and a comparator based on the difference between the market rate and current rent

Rent Protection for Private Tenants

The Scottish Government is committed to bringing in a long-term system of rent controls and creating new rights for tenants through the forthcoming Housing Bill.

Commenting, SNP MSP for Renfrewshire North and West, Natalie Don, said:

“The Scottish Government’s emergency legislation, which capped in-tenancy rent increases and protected tenants across Scotland, led the way in protecting people from the from the worst impacts of the cost-of-living crisis.

“As final deadline for these temporary measures approaches, the Scottish Government is continuing to put power into the hands of tenants, reducing rent increases and giving more certainty to those who are struggling.

“From the 1st February, the Scottish Government is proposing temporary changes to the way rents are decided when tenants challenge a rent increase to provide a level of protection for private tenants which remains far greater than anywhere else in the UK. It will also enable landlords to react to an increase in costs and reinvest in our private rented sector.

“This follows the significant progress made by the SNP in government, which has delivered 126,396 affordable homes since 2007 – over 40% more per head of population than in England – while making Scotland the fairest place to rent in the UK after the introduction of Private Residential Tenancies in 2017 with the very limited powers it has.

“At the same time, the Scottish Government is committed to bringing in a long-term system of rent controls and creating new rights for tenants through the forthcoming Housing Bill.

“This stands in stark contrast to Westminster’s antics, which have resulted in austerity, Brexit and a cost of living crisis – all of which have put huge strain on household budgets across Scotland.

“Under the SNP, Scotland’s values of fairness, equality and prosperity are reflected in government, and those impacted by damaging Westminster policies will always be protected and empowered.”

LONG TERM RENT CONTROLS PROPOSED

NATALIE DON MSP WELCOMES CONTINUING RENT PROTECTION FOR PRIVATE TENANTS