Scottish tenancy reform concerns

The National Landlords Association (NLA) has expressed concerns over the Scottish Government’s consultation on tenancy reform. This is the first in-depth look at tenancy legislation for 25 years.

The NLA is concerned that if implemented as proposed, there is a significant risk of undermining the private rented sector (PRS), and of exacerbating the housing crisis Scotland is currently facing.

As the proposals will affect all landlords, letting agents and tenants in Scotland the NLA has urged all involved to submit their views to the Scottish Government.

NLA Chief Executive,Richard Lambert, said “the consultation raises some interesting ideas for reform, but the Scottish Government seems to be considering worrying changes that would only undermine the PRS at a time when its role in housing provision has never been more important.

“We’re gravely concerned about the plan to remove the flexibility a landlord has to end a tenancy after the initial agreement has expired, as this will only unnerve investors who deserve some level of security in getting their property back in the worst case scenario.

“It would also appear that the Scottish Government has opted for perception over evidence in replacing statutory periodic tenancies, where a tenancy rolls indefinitely on after the fixed term had ended, with the more rigid requirement to renew automatically for the initial length of the tenancy. NLA research consistently finds that, regardless of the initial term, around two-thirds of all tenancies last more than two years, and just under half more than four years. Most of those longer tenancies will run on a statutory periodic basis.

“Above all, the changes look to be paving the way for rent controls, which time and time again have been proven ineffective. When will politicians learn that imposing artificial market caps will only raise prices and deter future investment?

“We urge all landlords to contribute to the consultation immediately and have their say on the future of private housing in Scotland.”

CLICK HERE to view the consultation document along with details on how to respond.

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