Rentals – Changes Cost of Living Regulations

Rentals – Changes Cost of Living Regulations

The extension to the Cost of Living regulations set by the Scottish Government is due to end on 31st Mach 2024. Once the rent cap has expired the Scottish Government expects that many rent increases proposed by landlords will proceed as normal. To avoid tenants being hit with large rent increases, Ministers will still be able to temporarily change the way increases referred by a tenant are adjudicated, to smooth the transition out of the rent cap. This would last a maximum of one year and be subject to regular review to ensure it remains appropriate. Any decision will be based on the lowest of the following:

• open market rent
the new rent proposed by the landlord, and
• a maximum ‘reasonable’ increase for that tenancy which will be defined by a new taper calculation

Please call Jay, our Letting Agent on 01577 862405 for further information on any changes to current and future legislation which will affect the rental market.