Mayor of London proposes rent control
Wed 30th January 2019, 1:45 pm
Sadiq Khan has announced plans to develop rent stabilisation or control laws to make private renting more affordable in the capital.
The mayor’s announcement comes as new polling by City Hall and YouGov revealed strong support for rent controls in the capital, with over two-thirds of Londoners surveyed in favour of the government capping the amount landlords can charge people renting properties.
Between 2005 and 2016, average private rents in London rose by 38%, and far more Londoners are also now renting, with 27% renting privately in 2017, compared to only 15% in 2000.
Sadiq has invited Karen Buck, Labour MP for Westminster North, to work with his deputy mayor for housing James Murray to develop proposals that would help make private sector rents genuinely affordable, while protecting new supply and investment.
Khan said: “The arguments for rent control are overwhelming, and Londoners overwhelmingly want it to happen. I am delighted Karen Buck MP has agreed to work with my deputy mayor for housing on proposals for new laws that would help make private rents more affordable.
Speaking to Sitematch London, Liam Bailey, global head of research at Knight Frank, expressed his doubt about consequences of rent control measures: "The lessons from every market in the world are clear. Rent controls on their own are advantageous for existing protected tenants, but weaken the position of other households by reducing future supply and weakening the incentives for landlords to invest in properties".