Landlords organise to oppose plans that could see rent cap introduced in Wales
Landlords in Wales are being urged to have their say on Welsh Government legislation which could see a rent cap introduced.
The government’s proposals are set out in its Green Paper on fair rents and adequate housing, which asks for views on a range of models for rent control, including strict price ceilings or rent freezes.
Opposition to the plans are being marshalled by the National Residential Landlords’ Association (NRLA) which has created a “toolkit” to help landlords understand the consultation on the green paper and respond “appropriately”.
The NRLA says that that rent controls are not the solution to the housing crisis in Wales and says if introduced “they will reduce the supply and quality of rental housing and discourage investment and innovation”.
Rent controls will also harm tenants, the NRLA adds, and they will also face higher competition and lower rented housing standards.
Ben Beadle, the NRLA’s chief executive, said: “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.
Janet Finch Saunders of the Welsh Conservatives has also criticised the plans, which she described as “more socialist and nationalist red tape”, adding “consultations are not going to reduce rents and deliver more affordable housing.”
The NRLA says that having more landlords respond to the consultation, which closes on 15 September, the stronger the case against rent controls will be.
Climate Change Minister Julie James said that via the Green Paper, the Welsh government wanted to “better understand the rental market in Wales, in particular what factors influence landlord behaviour in setting rents and taking on tenants and what do tenants consider is an affordable and adequate property”.
She added: “I am committed to using all the levers we have to ensure we maintain a viable private rented sector here in Wales… where landlords have confidence to invest in making improvements and tenants have greater certainty that longer term costs of moving into or staying in a rental property will be affordable.”
Figures from the Office for National Statistics released earlier this year revealed private rental prices had increased by 4.8% in the year to April 2023.
This is the highest level recorded since the ONS started gathering the information in January 2010.
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