Labour Plans To Cap Rents If It Wins General Election
Posted on 01/10/2019 by Sulgrave Estates
John McDonnell has pledged to cap rents in his speech to the Labour Party Conference in Brighton.
In the speech he says a future Labour Government will “cap rents and build a million new genuinely affordable homes, so young people in particular aren’t pouring away thousands of pounds from their wages to rip-off landlords”.
However the Residential Landlords Association (RLA) has long warned that moves to control rents have been proved to have a detrimental effect on renters and rented housing.
The speech did not include any further detail on how this would be implemented, although earlier this month the Shadow Chancellor announced a Labour plan which would force landlords to sell homes to tenants for less than market rates.
McDonnell said that, should Labour win the next election, the party would bring in new ‘Right to Buy’ legislation – a move the RLA said could kill of the private rented sector.