Landlords warn government over rent freeze in Scotland
Legal action is being considered by private landlords north of the border after the first minister called a halt on rent rises.
Private landlords have warned they may take legal action against the Scottish government over a rent freeze.
First Minister Nicola Sturgeon announced a halt to any rent increases in private and public sector properties during her annual ‘programme for government’ speech earlier this month.
The freeze on rent rises will be in place until March next year, and there is an evictions ban for the same period.
John Blackwood, CEO of the Scottish Association of Landlords, says: “We still need to see the details and the legislation, but all options are open, and we are prepared to take appropriate legal action based on what the legislation says.
“We will do whatever is necessary to represent the interests of our members.”
There are some reports that developers have put ‘build to rent’ schemes on hold until there is more clarity about the announcements.
Robust growth
Meanwhile, new data shows house prices have risen 28% in Scotland since the Covid pandemic began.
Between March 2020 and July 2022 average property prices in Scotland rose 28.1% from £150,625 to £192,966, research from letting agent DJ Alexander revealed.
Scotland has recorded the second highest percentage gain of any UK country with only Wales higher at 31.7% over the same period. England was up 25.5% with Northern Ireland increasing by 20.1%, while average house prices in the UK as a whole increased by 25.5% from £232,684 to £292,118.
David Alexander, CEO of DJ Alexander Scotland, says: “While there are obvious signs that this period of robust growth is coming to an end, such an unprecedented increase in average property prices means that we are heading toward a calmer, more stable market.”
