The property industry has welcomed the Welsh government’s publication of its “Fair Rents & Adequate Housing”, aimed at helping to improve the supply and condition of rental properties over the coming years.
In its white paper, the Welsh Government has accepted several of the proposals intended to reform the sector to better meet the needs of landlords and tenants.
Significantly, the paper rejects calls for the introduction of rent controls, which landlords and agents rejected, as this inevitably would have further reduced the supply of rented accommodation.
The paper also seeks views on a recommendation – a proposal that a higher rate Land Transaction Tax rebate be introduced for landlords purchasing properties to let via Leasing Scheme Wales. This could incentivise investment, increasing supply for those in most acute housing need.
Ben Beadle, chief executive at the NRLA, said: “It is pleasing to see that the Welsh Government has listened to concerns raised by NRLA on behalf of landlords and agents in Wales.
“Ultimately, we want to see a thriving market which provides the best quality accommodation for tenants desperately in need of homes.
“Introducing rent controls would be a disastrous move, as it would only reduce choice and drive up costs. I am delighted that the government has opted to support supply rather than throw up more barriers to housing provision.
“We look forward to working with the Welsh Government further to help shape their proposals in a way that works for all groups across the private rented sector.”
Propertymark has also welcomed the direction of the white paper on securing a path towards adequate housing, including fair rents and affordability.
Tim Thomas, policy and campaigns officer at Propertymark, said: “We have extensively engaged with the Welsh Government and are pleased they have listened to our concerns by not implementing rent controls in Wales.
“We also welcome the acknowledgement that localised data sources must improve to make better evidence-based policy decisions for the Private Rented Sector across Wales. This will ensure policy makers have a better understanding of market rents and affordability challenges.
“Fundamentally, we believe that affordability will be achieved by positively stimulating the supply of property via a pro-growth taxation policy. Integral to the aims of housing adequacy is a professional, well-regulated, and responsive sector, and we will continue to engage with the Welsh Government by demonstrating the professional standards of property agents amongst our membership.”
You can read the white paper in its entirety by clicking here.