THE emergency rent freeze legislation will be extended as it remains "necessary and proportionate" for private tenants, a minister has confirmed.
Tenants’ rights minister Patrick Harvie delivered a statement in Holyrood on Thursday confirming he will recommend that MSPs approve an extension to the freeze on private rent rises.
The current rent cap expires on March 31 but Scottish ministers can seek parliamentary approval to extend the legislation for two six-month periods if necessary.
However ban on social rent increases will be lifted from April after the Scottish Government reached an agreement with landlords – including councils and housing associations – to keep rises below inflationary levels of 11.1%.
Council tenants will see their rents rise by an average of less than £5 per week, while housing associations confirmed talks are ongoing to increase rents by an average of 6.1%.
No social landlord is consulting on a rate above inflation, Harvie told MSPs.
A moratorium banning evictions will also be recommended for extension, except in a number of specified circumstances.
It is unclear whether ministers will recommend the cap remains at 0%.
Harvie said: “Clearly, there are still economic challenges facing private renters and there is not the opportunity to agree a collective voluntary approach in the private rented sector given the very different nature of the sectors.
“I would anticipate that it will remain necessary and proportionate to extend the rent cap provisions beyond March 31 in the private rented sector, while recognising the Act gives power to vary what the cap actually is.”
On social rent, he said: “In light of the voluntary agreements that have been reached across the social sector, I can confirm that we will now bring forward legislation to expire the social rented sector cap provisions from March 2023.”
He told MSPs that the government are required to provide evidence that the rent freeze is still needed, with Harvie adding that constituents are repeatedly in touch with MSPs detailing their struggles with the cost of living crisis.
Harvie added: "This unprecedented economic position has not yet changed fundamentally, and I know that many households on low and modest incomes continue to struggle. People are facing increased costs across the board and the biggest impact is felt by those are the lowest incomes."
Scottish Conservative housing spokesman Miles Briggs condemned the decision to extend the freeze – which is subject to parliamentary approval.
He said: “It is clear that the SNP/Green/Labour emergency rent legislation is rapidly becoming an unmitigated disaster.
“Scottish Conservatives warned MSPs about the impact on the destabilisation of both the social and private housing sectors, but ministers pressed ahead anyway.
“Social rented sectors, I very much welcome, has already been removed from this. But the damage has already been done.”
Labour housing spokesman Mark Griffin urged the Scottish Government to ensure “promised” rent controls are in place by the end of the temporary legislation to “seamlessly dovetail” the sudden increase by landlords.
