Page 22 - March 2024

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What happens next?

Nicky Lloyd, Head of ESPC Lettings, shares what comes after the end
of The Tenancy Protection Act.

t’s certainly an interesting time to be a The biggest news for most is that the 3% rent
landlord or a tenant in Scotland, as the cap will also lift, and landlords will be able
Iprivate rental sector faces a marked to propose a rent increase of any amount. on the Leith Links
change in circumstances, once The Cost of However, there are other rules which come
Living (Tenant Protection) Scotland Act 2022 into play if a tenant decides to challenge the
comes to an end on 31 March this year, ceasing increase and refers it to the rent office for
the controversial 3% rent cap and eviction adjudication. In this instance, an annual rent Could this B-listed Georgian garden flat be your ideal city pad?
moratorium that’s been in place since late 2022. increase of 6% will be permitted, providing
that this figure doesn’t increase the property’s
It’s now been confirmed by the Scottish rental rate above open market value. If the
Government that from 1 April 2024, there will be open market value of a property is deemed to
new legislation in place surrounding private lets. be higher than 6% above its current rent, then
Firstly, the eviction moratorium will lift, meaning 0.33% can be added for each percentage point
that landlords will resume power to remove above 6%, to a maximum cap of 12% above
tenants from properties if so required, following current rent.
correct procedure.
The ‘open market rent’ will be determined
by local rent officers, using the rental rates of
similar properties let recently and historically,
alongside market data. If tenants are unhappy
with the outcome from the rent officer, they
can escalate their appeal to a First Tier Tribunal.
Landlords will not be permitted to raise rents
more frequently than once every 12 months,
and they must give 12 weeks’ notice of any
increase to tenants. Despite rent increases now
being permitted from 1 April and this being
knowledge in the public domain, landlords will
not be able to issue notice of rental increases
prior to 31 March 2024.

This system will be reviewed by the Scottish
Government in early 2025, so there may be
more changes on the horizon next year.

ESPC Lettings is an Edinburgh letting agent. We can help with marketing your rental property and finding the right tenants.
Contact the team on 0131 253 2847 or landlord@espc.com.
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