Date lodged: 28 October 2016
To ask the Scottish Government what mechanism is in place to ensure that mid-market rent landlords respond to Office for National Statistics data showing a fall in private rental prices in the 12 months to September 2016.
Answered by: Angela Constance 7 November 2016
The Scottish Government wishes to ensure that mid-market rent levels remain affordable to households on low to modest incomes. Landlords which have received Scottish Government support in recent years – whether in the form of grant funding, loan finance or financial guarantees – are not permitted to set rents above the mid-point of local private sector rent levels, which are generally based on Broad Rental Market Area data collected and published by the Scottish Government. These landlords will therefore be obliged to take account of any recent fluctuations in private rental prices when setting rents for the next year.