The Mayor of London, Sadiq Khan, has announced that he will develop a new blueprint for stabilising or controlling private rents in the Capital, as “part of his ongoing work to help London’s 2.4 million renters”.
John Goodall, CEO and co-founder of Landbay, who believes rent controls will lead to a shortage of high quality rental accommodation in the capital, said, “Rent controls are likely to lead to a reduced investment into the rental sector and thus a further shortage of high quality rental accommodation. That will not lead to a positive outcome for London’s renters as they will find it harder to find decent properties.
“The Mayor should be looking to find ways to encourage investment rather than political grandstanding that will end up harming those that he claims that he is trying to help.”
Rent controls are a thing of the past in the UK, but further measures to reverse this trend will be laid out in Khan’s ‘London Model’, which is set to be published in spring 2019 – so any time now.