The first report on the Cost of Living (Tenant) Protection (Scotland) Act 2022, a requirement under the legislation covering the period 29 October 2022 to 31 December 2022, provided Scottish Ministers with the satisfaction to keep the moratorium on evictions and cap on rents.
Ahead of the statement, Propertymark sent a briefing to MSPs outlining evidence received from member agents, and it was heartening to hear some politicians highlight the impact that letting agents have seen as a direct consequence of the Act and landlords wishing to sell. However, Harvie admitted that he is already developing long-term proposals for rent control that will be designed to continue after the Cost-of-Living Act has expired.
The impact of the cost of living regulations
Propertymark has been working with the Scottish Government to help understand the impact the Cost of Living (Tenant Protection) (Scotland) Act 2022 has had on the private rented sector (PRS) and provided evidence and feedback on the first three months of the emergency measures.
Judicial Review
Propertymark met with industry partners on 11 January 2023 and is preparing formal proceedings as part of a Judicial Review.
Once again, the Scottish Government has failed to acknowledge what is happening in the PRS and the damage that legislation capping rents is causing. Unlike providers of social rented accommodation, there has been no task and finish group for the PRS to formally raise concerns.
Energy efficiency
Alarmingly, Harvie has also failed to acknowledge the impact of planned future legislation for the private rented sector that also includes energy efficiency targets that many landlords will struggle to afford.
Buy-to-let
Propertymark also wrote to the Deputy First Minister expressing our dismay at the budget decision to raise taxes when purchasing buy-to-let property as there is clearly a lack of basic understanding of the economics of supply and demand.
It seems nonsensical that on the one hand, the Scottish Government is increasing costs for investing in the private rented sector and on the other hand accusing landlords of increasing rents.
