Call for change to rent markets ‘free-for-all’
HOUSING experts have warned Glasgow’s tenants are being pushed into financial hardship and misery due to private landlords “squeezing” as much money as they can from vulnerable renters.
Glasgow has seen one of the highest private rent increases in Scotland with a rise of almost one third between 2010 and 2018 – almost double the rate of inflation.
Govan Law Centre (GLC) has now said the reality behind the figures is of people being forced into poverty and losing their homes.
In one case a disabled widow with three children saw her rent suddenly rise from £1050 a month to £1500.
The family was unable to afford this and were forced to declare themselves homeless.
GLC’s principal solicitor Mike Dailly said: “Our casework provides cogent evidence of unlawful rent hikes across the city by private landlords.
“One of our clients is a disabled single parent whose landlord increased her rent by 43 per cent during one month to £1500 per month.
“The housing benefit ‘local housing allowance’ was only £800 per month.
“Other clients already struggling to make up housing benefit shortfalls have been trying to cope with rent increases of around £100 per month.
“Tenants can apply for discretionary housing payments to help, but these are generally temporary.
“In practice, many tenants are meeting rent hikes by using their social security money for food and heating costs.
“There is clearly a need for greater public awareness that rent hikes require formal written notice and must comply with certain legal procedures to be valid.”
GLC also said some landlords are not following legal protections in place for rent increases.
They said they see tenants paying for repairs their landlords are obliged by law to carry out.
GLC’s PRS co-ordinator, Wendy Malloy, said: “We can evidence that rent increases being implemented during lets are having a serious impact on household financial sustainability, and increasing the risk of homelessness.
“A lot of the time these increases are being done without proper legal notice being served and with tenants simply accepting they have to pay.
“We are seeing many households struggle with arrears and we are providing legal advice and representation in these circumstances.
“We believe this highlights the need to get the message out to people that there is a formal process in place for increasing rents and mechanisms to appeal should the tenant disagree with the proposed increase.
“Always seek free advice from your local law centre or advice agency.”
Mr Dailly added: “There is always a right to appeal, although the law on market rents tends to favour private landlords.
“Govan Law Centre believes the private rented sector remains largely unregulated and in practice is too often a free-for-all for landlords out to squeeze as much money as they can from a tenant with limited options.
“For low income tenants there is no consumer choice or genuine market competition in this sector.
“We believe there is a case for national regulation – there is no national regulation at present, unlike for the social rented sector.
“There is a need for a ‘living rent’ in this dysfunctional market, and strengthening the rights of private sector tenants in Scotland.
“The present system is unsustainable and is costing the taxpayer in terms of the social, human, and medical problems it creates.”