Rents will stay high until we rethink our policies on housing | David Alexander
In his latest column for The Scotsman, David Alexander highlights the impact of Scotland’s housing policies on rental figures and how this may deter landlords, property investors, and institutional funds to invest in the country’s private rented sector.
David explains, “Up until 2021 average rents were £141 per month higher over a nine year period which, when you strip out inflation, is equivalent to a total real terms increase of just £51. But this steady annual increase over a decade suddenly jumps in the last year to £219 more per month on average. The reason for the scale of this increase is entirely due to a combination of unprecedented demand and recent legislative changes.”
“Without a commensurate substantial increase in the supply of social housing the reality is that rents will only increase in the future if current government policies on taxation and market control persist.”