The politician who is the architect of an emergency private sector rent freeze set to come into force this week has attacked landlords for “hard to justify” rent increases.
The Tenants’ Rights minister in the Scottish Government – the Green Party’s Patrick Harvie – says: “The cost-of-living crisis is an emergency situation demanding an emergency response. Even as energy, food bills and other day-to-day basics become more expensive, today’s legislation freezing rents and protecting tenants from eviction will give tenants stability in their homes and confidence about their housing costs.
“People who rent their homes are more likely to live in poverty or be on low incomes than homeowners. As such they are particularly exposed to rising prices, and it is imperative that we bring in support for them urgently.
“We know that many landlords have been doing what they can to protect their tenants, but some tenants are being hit with large rent increases that are hard to justify. This legislation aims to protect all tenants from substantial increases, balancing the protections that are urgently needed for tenants with safeguards for those landlords who may also be impacted by the cost crisis.”
If approved by Scottish members of parliament this week, the Cost of Living (Tenant Protection) (Scotland) Bill will give ministers temporary power to cap rents for private and social tenancies, with this cap set at 0% – effectively freezing rents – from tomorrow until at least March 31 2023, and possibly for a year even beyond that.
Enforcement of eviction actions resulting from the cost crisis will be prevented over the same period except in a number of specified circumstances.
Damages for unlawful evictions will be increased to a maximum of 36 months’ worth of rent. These measures will also apply to students in college or university halls of residence or other types of purpose-built accommodation.
The legislation includes what the Scottish Government calls “safeguards” for private sector landlords, allowing them to apply to increase rent to partially cover a limited number of specific costs including increased mortgage interest payments on the property they are letting, an increase in landlords’ insurance or increases in service charges paid as part of a tenancy, subject to an overall limit.
And a government statement goes on to say: “Safeguards for both social and private sector landlords, as well as providers of college and university halls and other purpose-built student accommodation, are included in the Bill’s provisions on evictions.”