They are adamant rent control is not the solution
Residential letting agents have warned Scottish officials that direct rent controls may lead to a further shortage of properties for rent.
In a recent consultation with Patrick Harvie, Scotland’s minister for tenants’ rights, ARLA Propertymark members said that the best way for the government to influence rent affordability is to get more homes into the private rented sector.
Harvie met letting agents to discuss the prospect of rent controls. It was the last of three roundtables that will inform Propertymark’s response to the consultation on the Scottish Government’s proposed “A New Deal for Tenants” strategy. Labour’s housing spokesman Mark Griffin was also at the roundtable.
The letting agents reiterated their position that direct rent controls and other interventions proposed by the draft strategy could have the unintended consequence of pushing more landlords out of the sector, adding to the shortage of properties.
In a previous statement, Propertymark – a leading professional body for letting agents in the UK – insisted that rent controls are not the answer for rising rent levels, adding that any short-term benefit for tenants would be drastically outweighed by their long-term consequences on the private rented sector.
Read more: Rent control spells disaster for sector, agents forewarn.
“Rent controls will backfire, drive down standards, and reduce the number of properties available for rent. Ultimately, this will mean even less choice and increased costs for tenants in the long term,” Timothy Douglas, Propertymark head of policy and campaigns, said.
“If our elected representatives are serious about supporting renters, then more must be done to increase supply and build housing across all tenures, as well as supporting those agents and landlords who provide much needed homes for their residents.”
Daryl McIntosh, Propertymark’s policy manager for the devolved nations, said it was important that residential letting agents were given the platform to speak directly to government officials on the issue and for them to hear how they believe affordability in the PRS can be addressed.
“By attending our roundtable, Minister Harvie and the rest of the government recognise the vital role Propertymark agents and the landlords they represent have in providing homes for the people of Scotland. They must now give their professional views serious consideration as this strategy continues to develop,” McIntosh said.
Harvie also welcomed the opportunity to hear directly from the agents, saying that their inputs would help them form their proposals.
Read more: Scottish gov't publishes rent control and eviction restriction plans.
“We’re working to deliver ‘A New Deal for Tenants’ centred on more affordable rents and greater rights for all tenants,” he explained. “We’ve committed to introducing rent controls in the current Parliamentary session, and while there are range of views on how best to do this, there is widespread consensus on the importance of ensuring we have the evidence and data to develop a robust system that meets the needs of Scotland.”
The New Deal for Tenants consultation is open until April 15.
