Profile incomplete
0:04 AM, 7th November 2023, About 6 months ago 37
Text Size
The SNP’s housing minister has refuted claims that the government’s rent cap policy is exacerbating Scotland’s housing crisis.
Paul McLennan denied claims the rent cap is driving up prices and reducing supply in Scotland.
Scottish ministers introduced a 3% cap on private sector tenancies in October last year to help with the cost-of-living crisis, and it is due to run until at least March 2024.
On BBC Scotland’s Sunday Show, Mr McLennan defended the government’s rent cap policy.
In a fiery exchange, the presenter said: “Your rental policy as well-intentioned as it might have been has cooked the market. People are bailing out and selling rental flats.
Mr McLenann interrupted and argued this was not the case.
He said: “No. If you actually look at the figures there are some key things. The rental costs in Edinburgh have seen a 13% increase in rental costs, very similar to Manchester, London and Cardiff.
“It is about supply and demand and this is where the concentration in Edinburgh and Glasgow has been. We need to look at how to bring more houses in these areas.”
The presenter of the programme hit back and asked the Housing Minister how the Scottish government would help people whose rents are doubling.
Mr McLeanan said: “As part of the Housing Bill we will look at longer-term rent controls.”
The presenter then questioned Mr McLennan again and asked: “Surely longer-term rent controls means landlords will just sell their flats if you make it unprofitable. The less properties to rent means the prices will go up.”
Mr McLennan disagreed and said: “It is about trying to get a balance and protect people in a cost-of-living crisis. I’ve been speaking to people in the private rented sector as it’s an important part of the housing market.
“We have got to make sure we are protecting people who are in private housing but make sure the private sector continues to thrive.”
Tory MSP Miles Briggs told The Herald newspaper: “Under the SNP-Green Government’s watch, Scotland’s housing crisis has spiralled to astronomical levels.
“In places such as Edinburgh, the situation is so bad that the council has been left with no choice but to declare a housing emergency as homelessness rates continue to soar.
He added: “The SNP’s hugely damaging rent control policy has been counter-productive. Paul McLennan’s defence of their rent cap will rightly anger individuals who are now facing huge obstacles and the prospect of becoming homeless.”
John Blackwood, chief executive of the Scottish Association of Landlords (SAL), told Property118 that rent controls in Scotland have made the housing crisis worse.
He said: “This is the Scottish government admitting that their policies have had no impact on rent levels in Scotland at all, compared with other parts of the UK. All these policies have achieved is to drive out investment in housing in Scotland, deepening and extending the housing crisis in this country.”
“With this admission of the failure of the policy to improve rents, the Scottish government must immediately change track and work with the whole housing sector to develop policies that will attract investment and improve availability of social, rented and owner-occupied homes.”
You can watch the encounter on BBC Scotland below:
Previous Article
Student accommodation crisis: rents soar as supply dwindles
TheMaluka
12:34 PM, 7th November 2023, About 6 months ago
Reply to the comment left by Dylan Morris at 07/11/2023 - 12:20
Thinking and politicians, another oxymoron.
Zen
12:49 PM, 7th November 2023, About 6 months ago
Stupid is, as stupid does.
And sticking your fingers in your ears and singing loudly, not listening to sense, doesn't help 🙉 anyone. Especially not tenants 😕
Lomondhomes
12:51 PM, 7th November 2023, About 6 months ago
Reply to the comment left by Zen at 07/11/2023 - 12:49
No, but it sums up most modern politicians
Mick Roberts
12:53 PM, 7th November 2023, About 6 months ago
Reply to the comment left by Des Taylor & Phil Turtle, Landlord Licensing & Defence at 07/11/2023 - 09:54
Ha ha Well said Phil.
Mick Roberts
12:58 PM, 7th November 2023, About 6 months ago
So the Minister says this
"We need to look at how to bring more houses in these areas.”
And then he says this
“As part of the Housing Bill we will look at longer-term rent controls.”
What does he not get that if you tell someone what they MUST charge, then they not giving u the thing in the first place.
Michael Booth
14:36 PM, 7th November 2023, About 6 months ago
Keep dreaming minister you like the rest of the snp will learn the hard way.
Fed Up Landlord
15:26 PM, 7th November 2023, About 6 months ago
It's not to help tenants. It's part of the lefty liberal marxist inspired ideological hatred of landlords.
Easy rider
15:54 PM, 7th November 2023, About 6 months ago
Shock news. Housing Minister denies his Party’s policies are the problem (despite everybody else saying that they are).
Not long left for the allegedly corrupt SNP. Best order your motor home.
Neil Robb
8:03 AM, 8th November 2023, About 6 months ago
Let's be clear the rents in Scotland are the most affordable of anywhere . Large rate increase in most areas is only on new tenancies. Most tenants have never had a rent increase during tenancy .
Now with increased taxation legislation now interest rates and trades insurance.
Landlords are having to increase rents
It may look like large increase many of my flats one bed are £300 a month when they should be £400
Two bed flat £350 should be £450 to £500.
My houses are several hundreds of pounds below market rents.
I now which I increased my rents as I feel shafted by the government.
Patrick Harvie green party is behind this controling the SNP so they can stay in power in the coalition between the two parties. Patrick Harvie got 3200 votes Lorna Slater got 1700 and Ross Greer 800. Not even 6000 votes between them all came second last or last in the area the stood in. But due to Scotland's voting system the SNP passed on there extra votes .
Now Patrick Harvie earns over £90k a year. Amazing socialist.
He had publicly stated he hates landlords and has been evicted twice but won't say why.
He justified this say those that needed most help where those in social housing yet allowed them to face rent increase of 11.6 % increase averaging out at 6% .
When this was pointed out he then said private landlords could raise rent by 3% and if in real financial hardship 6% but they must prove this.
One landlord had to provide over 45 pieces of evidence and they demanded not only his bank details savings but that of the wife and children.
When this was brought out they used COVID legislation under cost of living. Announced it one day brought in the next. They could not answer a single question for six weeks as they did not know.
Going forward my rents will now be going up annually. Many of my mortgages have doubled so 3% even 6% is not going to go anywhere near the increases I need.
Many of my rents are either under social housing or around social housing costs.
As a private landlord I have to pay for the properties . Repairs maintenance etc no grants or low financing.
Mean while most council social housing are registered as charities so do not pay tax. So they are making a lot more money.
Currently I have no intention buying just now in Scotland.
Mr.A
12:48 PM, 8th November 2023, About 6 months ago
Government are banking on Landlord’s not selling any or all of thier rental accommodation , even if a small amount sell up its going to make the housing situation untenable...
This experiment has never or will never work here or anywhere else in the world.