The MP for Poole, Neil Duncan-Jordan, argued that “by definition, market rates are already unaffordable for many renters. Only capping rent increases will give renters genuine security in their homes and stop landlords threatening vulnerable people with unaffordable rent hikes or homelessness.”
More than 30 Labour, Green and Independent MPs backed an amendment to cap rent increases in line with inflation or wage growth.
But the Government said it has been clear it is against rent controls and argued that heavy-handed restrictions push up rents at the start of a tenancy as well as encouraging unofficial subletting.
When polled, rent caps often enjoy widespread public support. But landlords have traditionally been against the measures.
Chris Norris, Policy Director for the National Residential Landlords Association, told The i Paper the group agrees with the Government in its “opposition to rent controls”.
“At a time when the demand for rental housing is massively outstripping supply, all they would do is make the situation worse. What we desperately need are pro-growth tax measures to stimulate the supply of new, decent-quality housing in the sector. Only this will address the affordability challenges so many now face,” he said.
But new polling, conducted by YouGov on behalf of the progressive Common Wealth think tank and shared exclusively with The i Paper, revealed almost half of landlords actually do back rent caps.
Almost half (44 per cent) of the 187 landlords questioned support the introduction of a cap on the amount of rent that can be charged, based on the location and quality of the property. Whilst this is not quite a majority of landlords (47 per cent still oppose it), it indicates a widening of the coalition in support of more radical rent policies.
Across the entire sample polled in October by YouGov – 4,369 adults – 75 per cent said they supported a cap.
The analysis was carried out by Senior Research Fellow at Common Wealth, Dr Sacha Hilhorst, who said it was encouraging to see some support among even landlords themselves.
“That just goes to show the huge appetite for housing reform. As the government faces the challenge of delivering change and raising living standards, while private rents continue to rise, it can’t afford to sit idle,” she said.
The polling found there was also support among the general public for higher capital gains tax on second homes (68 per cent) and buy-to-let properties (62 per cent).
Green Party MP and co-leader Carla Denyer said the results indicate the “dial is definitely moving” on this issue.
“I think there’s a growing recognition that rents are simply too high – and this isn’t just harming renters, but the economy as a whole,” she told The i Paper.
“That polling is really interesting, and I think shows that there are many landlords who want to see a bit more fairness in the private rented sector, and can see that spiralling rent costs are unfair and unsustainable.
“The dial is definitely moving on this. While it’s something that I and many Greens have long proposed, now others are joining us.”
She said there is “a lot of misinformation about how rent controls work” but pointed out they are common across Europe.
“In Spain, rent controls were a key measure used by the government to bring down inflation, and research found that in Catalonia the policy reduced rents by 4-6 per cent without affecting supply,” Denyer said.
“The UK is lagging behind – and as a result private rents, as a share of disposable income, are less affordable here than in any other European country apart from Norway and Luxembourg.”
“There’s a lot of great stuff in the Bill,” she went on “But it just doesn’t do enough to tackle the eye-watering cost of renting, which for many is the main problem they face when it comes to housing.”
Denyer is also calling for a two-year protection period from evictions where a landlord needs to move in or sell, tougher measures against illegal evictions and increased powers to allow disabled people to make the adaptations they need to rented homes.
The Renters Reform Coalition argues a flaw in the government policy is that it links rents to market rates which, the coalition says, are already unaffordable for many renters.