Minister for Housing, Paul McLennan, MSP, has outlined proposals to introduce a rent cap linked to the Consumer Price Index as part of the Housing (Scotland) Bill. Propertymark has campaigned robustly against the introduction of rent controls since the Scottish Government first enacted them as part of emergency measures under the Cost of Living Act, including launching a legal challenge against that legislation. We are continuing our engagement with policy makers to assert that alternative policy must be developed to improve affordability in the private rented sector (PRS).

The Senedd’s Local Government and Housing Committee has published its long-anticipated report on the Private Rented Sector (PRS), with 13 recommendations set to shape the future of housing in Wales. We provided written and oral evidence as part of the inquiry and welcome the adoption of several of our long-term policy calls but warn proposals could negatively impact landlords and the supply of rental properties.

Includes recommendations on how those dependent on welfare support can have better access to the Private Rented Sector (PRS), and how letting agents and landlords can be supported to improve access to the PRS for other vulnerable groups.

An in-depth examination of nearly 200 studies has evaluated the consequences of rent controls and underlined the negative impacts, echoing Propertymark's evidence to the UK and devolved Governments. The focus of policymakers must be on other actions to make the private rented sector (PRS) more affordable, ensuring an adequate housing supply that meets increasing demand, and tackling existing inequalities of income and wealth.

The Housing (Scotland) Bill was introduced on 26 March 2024 and Section 1 raises a key contention – a commitment to introduce rent controls decided by local authorities. As the Bill is proceeding unaltered, the Scottish Government has ignored sector feedback which outlines the new legislation could do more harm than good for prospective tenants struggling to find a place to live.

The Local Government and Housing Directorate, led by Minister for Housing Paul McLennan MSP, assessed the Bill and decided that no substantial amendments would be introduced, which is disappointing.

Angela Rayner MP, Labour’s Shadow Housing Secretary, will lay out plans today, 20 June 2024, that the party claims will make renters better off if they win power in the General Election. Aiming to relieve cost-of-living pressure on private sector tenants, Rayner, and Shadow Chancellor Rachel Reeves MP, will pledge to crack down on unscrupulous landlords, ban no-fault evictions, and cap the amount of rent requested upfront.

Timothy Douglas, Head of Policy and Campaigns at Propertymark, gave evidence to the Local Government, Housing and Planning Committee in the Scottish Parliament on 18 June 2024 as part of the stage one consideration of the Housing (Scotland) Bill. Propertymark believes the Bill must be significantly amended before the Scottish Government’s policy objective to deliver safe, good quality, affordable homes for all can be achieved.

Propertymark has urged Scotland’s new First Minister, John Swinney following his appointment on 7 May as leader of the Scottish National Party, to end the housing crisis across the country.

The Summary of Responses to the Green Paper Call for Evidence on Securing a Path towards Adequate Housing Including Fair Rents and Affordability has been published, which showed an aversion to rent controls being implemented as a long-term measure, a view shared by Propertymark.

Introduced to the Scottish Parliament on 26 March 2024, the Bill sets out plans to make changes to the law, covering rent controls, tenants’ rights to keep pets and decorate their homes, and a mechanism to delay evictions under certain circumstances.

Patrick Harvie, MSP, Minister for Zero Carbon Buildings, Active Travel and Tenants' Rights, has contacted Propertymark with details of the Scottish Government's plans to introduce temporary changes to rent adjudication as part of the transition away from the Cost of Living Act. These measures will continue to limit rent increases to protect tenants.

The average rent for a two-bedroom home in Scotland has increased by over 14%, reaching an average of £841 – an extra £105 per month compared to the previous year – as landlords try to cover increasing costs and prepare for the impact of new legislation.

Propertymark continues to assert there is no advantage to introducing rent controls and urges Scottish Ministers to properly evaluate the evidence both from UK and across the world. Whilst formulating our response to the most recent engagement questionnaire we hosted a roundtable with members and Scottish Government officials where the strength of feeling from agents was clearly communicated.

Today, 2 November 2023, the Opinion of the Hon Lord Harrower was released on Propertymark’s joint Judicial Review Petition, alongside the Scottish Association of Landlords and Scottish Land & Estates, that challenged the Scottish Government’s rent control and eviction ban under the Cost of Living (Tenant Protection) (Scotland) Act 2022.

Rt Hon Michael Gove MP reiterated the tone of the UK Government’s response to the Levelling Up, Housing and Communities Committee, published Friday 20 October, with repeated references to balancing the needs of tenants and landlords in the progress of the Renters (Reform) Bill through the UK parliament.