The National Residential Landlords Association has reacted angrily to the latest UK government to flirt with adopting the Scottish example of private sector rent controls.
The Welsh Government has issued a Green Paper on what it describes as ‘fair rents and adequate housing’ and these look at the possibility of rent controls – previously dismissed by the Welsh Government but now apparently under consideration after all.
A statement from the NRLA says that for landlords active in the Welsh private rented sector, this is the time to ensure their views are taken account during the development of policy proposals which will be set out in the forthcoming White Paper from the Welsh Government.
Ben Beadle, NRLA chief executive, says: “The Green Paper highlights the key issues as housing supply and affordability of rents in Wales. Let’s be clear, rent controls would serve only to decimate the sector further and would be a disaster for tenants, when so many are already struggling to find a place to rent.
“The [housing] minister herself diagnosed the issues when she rightly rejected calls for a rent freeze before Christmas. The same reasons apply now. We all want to see more homes available to rent but adopting the tried and failed ideology of rent controls is not the way to do it. The best way is to introduce pro-growth measures to increase housing supply that will reduce costs for renters.
“Now is the time for landlords to get involved and for the Welsh Government listen carefully to the views of those providing much needed homes.”
Interested parties can see the consultation and how to reply to it here.
In the past Welsh housing minister Julie James has said: “If you have to freeze a rent and you are on a buy to let mortgage and your costs are going up as a landlord then you are not going to be able to cover your costs – why would you stay in the market?”
And: “Especially in rising inflation, where if you put your money in the bank, you might get a decent return on it – which hasn’t been the case for some years.”
And she has said: “We have to be really careful here that we balance the rights of tenants and the rights of landlords and we keep up a supply of housing so we can keep people housed.”
The NRLA has prepared a summary of the remarks and you can read an overview here.
