Province announces new cap on maximum rental increases
The provincial government is scrapping the rental increase formula and limiting the maximum annual rental increase to the cost of inflation. “Renters have told us that they are hurting and they need help today,” said Housing Minister Selina Robinson. Existing regulations allow landlords to raise rents by the cost of inflation plus two per cent, but earlier this week a task force recommended eliminating the two per cent add-on. That recommendation, plus a second recommendation tabled by the task force allowing landlords to apply for additional rent increases to cover maintenance and repair costs was also accepted by cabinet today. “We want to make sure that we’re taking every step we can to reduce costs for people,” said Premier John Horgan. Earlier this month there was an outcry when it was announced that the 2019 the maximum allowable rent increase would be set at 4.5 per cent — 2.5 per cent cost of inflation plus two per cent — which would have constituted the biggest increase since 2004..