EXCLUSIVE: Emergency measures in Scotland ‘forcing landlords out’
The Scottish Government's move to cap rent increases and ban evictions are a threat to the PRS, warns Propertymark policy chief.
Landlords and investors are already considering pulling out of the property sector in the wake of a rent cap and eviction ban in Scotland, The Neg has learned.
Campaigners fighting the emergency measures being introduced by the Scottish Government led by First Minister Nicola Sturgeon, say there will be a severe impact.
They are currently considering legal opinion on whether a judicial review against the Cost of Living (Tenants) (Scotland) Bill 2022 is possible.
Timothy Douglas (main pic), Head of Policy and Campaigns at Propertymark, told The Neg: “No doubt about it, there will be an impact on landlords in the sector.
“We have had feedback in the Borders and rural areas about landlords pulling out, and build-to-rent investors questioning their future.”
He says the bill is expected to receive royal assent and became law by the end of October.
Whatever is necessary
First Minister Nicola Sturgeon announced a halt to any rent increases in private and public sector properties during her annual ‘programme for government’ speech last month.
The cap on rent rises will be in place until March next year, and there is an evictions ban for the same period, but they could be extended for another year.
Propertymark has been working with other stakeholders including Scottish Association of Landlords (SAL), National Residential Landlords Association (NRLA) and Scottish Land and Estates (SLE) to obtain a legal opinion on the legislation.
The coalition instructed Lord Neil Davidson of Glen Clova KC, Advocate at Axiom Advocates, to say if the legislation breaches the individual rights of landlords in Scotland, and breaks the European Convention on Human Rights.
John Blackwood, CEO of the Scottish Association of Landlords, said recently: “We will do whatever is necessary to represent the interests of our members.”