‘Good landlords have nothing to fear’ from Scotland’s rent freeze law

‘Good landlords have nothing to fear’ from Scotland’s rent freeze law

8:03 AM, 5th October 2022, About 2 months ago 8

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While landlords in Scotland are worried about the rent freeze and ban on evictions until next March, one leading politician says that ‘good landlords have nothing to fear’.

That’s the belief of Scottish Green co-leader Patrick Harvie, the Scottish Government’s tenants’ rights minister.

He was speaking about the proposals on BBC Good Morning Scotland when he said: “It’s very clear that people in the rented sector have a higher level of poverty and are more exposed to the cost crisis than the rest of the population.”

Fast track the Bill through Parliament

The Scottish Government is now planning to fast track the Cost of Living (Protection of Tenants) (Scotland) Bill through Parliament – and the Scottish Association of Landlords has said they might take legal action over it.

The new law would see a rent cap being set at 0% – which would effectively outlaw rent rises.

The proposals will cover from 9 September, when the rent freeze announcement was made, until 31 March.

However, the proposed law also has the possibility of extending the rent freeze and the ban on evictions for two more periods of six months.

‘Casting landlords as villains’

On the BBC radio show, Mr Harvie was asked whether he was casting landlords as villains.

The presenter highlighted that lots of landlords had been in touch with the programme to say they were thinking about selling their properties because their bills were also increasing.

Mr Harvie said: “Some people are facing 20, 30 and 40% increases and that is wildly unacceptable, so we’ve put in this measure for the first six months.

“We have made no decision yet what will happen after the end of March next year because we will have to judge that in the circumstances as they develop.

“We can have the extension for two further six-month periods, if necessary, but we will have to continue to demonstrate it’s a necessary measure and proportionate to the economic circumstances.”

He added: “Of course, many landlords are good, responsible landlords who provide a good service and a good quality accommodation at a fair price.”

‘Good, responsible landlords have nothing to fear from this legislation’

When asked by the presenter about the rights of good landlords in Scotland, Mr Harvie said: “Good, responsible landlords have nothing to fear from this legislation.

“There’s a package of safeguards in there if they do face unforeseen costs and there’s some flexibility built in.

“There are also grounds for eviction if they face particular hardship and have to move into the property or sell the property to alleviate their own hardship or avoid homelessness themselves.”



Comments

Beaver

10:57 AM, 5th October 2022, About 2 months ago

Based on these actions I would be very reluctant indeed to invest in buy-to-let in Scotland. And I doubt that my mortgage lender would let me borrow to do it.

Does anyone know if there is the same shortage of homes to rent or buy in Scotland as there is in England?

Bruce Brown

11:22 AM, 5th October 2022, About 2 months ago

Reply to the comment left by Beaver at 05/10/2022 - 10:57
There is an extreme shortage in Scotland now. Over 500 students applied to rent a one bedroom flat in glasgow last week,and the students at st andrews university are on strike because there is no rental accomodation available.Can't think why this is the case? Harvie is an extreme left-wing politician chasing votes,expecting the prs to finance the governments shorcomings.Yes, many people are facing hardship,but thats not the fault of landlords.Build more social housing Harvie, you are supposed to be in charge!!

Jireh Homes

12:30 PM, 5th October 2022, About 2 months ago

"Good, responsible landlords have nothing to fear from this legislation" - but not if the tenant declines to pay rent then not able to gain eviction!

Mr.A

13:51 PM, 5th October 2022, About 2 months ago

How do you know when harvie is making it up as he goes along ?
His lips are moving.
Why would a landlord have to move into his own accommodation, maybe because he has non rent paying tenants which he can't now evict and the Bank still wants the interest payments or the property back.... how is this going to improve things when landlords face bankruptcy due to these measures .
Is this a plan to make small landlords sell their pension nest eggs ,politics of envey from the Scottish numpty party and snivelling greens .
The Lunatics have taken over ..

SimonP

18:37 PM, 5th October 2022, About 2 months ago

"Some people are facing 20, 30 and 40% increases and that is wildly unacceptable".

Please define "SOME". That is politician's speak and sounds so much like the orange nutjob (aka TFG) who used to be president of the USA. He was always referring to "SOME PEOPLE or MANY PEOPLE" but never ever said who THEY were, because THEY only existed in his head.

Where does this guy get his information from as the Office of National Statistics (see ONS link below) paints an entirely different picture?

https://www.ons.gov.uk/economy/inflationandpriceindices/bulletins/indexofprivatehousingrentalprices/august2022

If others' (England) ASTs mirror my own, then there is already a built-in section governing and limiting any rent increases. Is that something beyond Scotland's capabilities?

Discriminating against landlords and freezing rent is definitely not the answer.

wyn kyaw

23:35 PM, 5th October 2022, About 2 months ago

The buy-to-let mortgage will be stress tested at 8.5%. The residential mortgage will be stress tested at 8%. Difficult to get refinance now. BOE need to increase the base rate minimum 100 base point on 2nd November. Otherwise, the £ will further depreciate against $ with more inflation. The overall outlook is not good. The recession is around the corner. Many repossessions are coming. Many discount sales are coming. Cash is no longer trash now.

LaLo

19:56 PM, 6th October 2022, About 2 months ago

This is happening on a different plant - surely?

Chris Bradley

10:25 AM, 8th October 2022, About 2 months ago

I am a good landlord, for tenants that stay on after a fixed term I negotiate a new fixed term at a new rent which is a little higher than current rent, but generally lower than inflation and lower than market rents, to provide security for tenant and myself.
Then when that tenant leaves I readvertise at market rent.
The rent is my income, so an inflation increase and no corresponding rent increase means my income reduces by the rate of inflation. How many other professions are expected to take a 9% pay cut, with no recourse to strike, for a pay rise

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