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Private Sector Tenancy Update

Private Sector Tenancy Update

Continuation of Rent Cap and Eviction Moratorium 

On 1st June 2023, Scottish Ministers published plans to extend the Cost of Living (Tenant Protection) (Scotland) Act 2023.  The publication can be found here Plans to extend protections for tenants - gov.scot (www.gov.scot)

Additionally, Scottish Ministers published the draft regulations which, if approved by the Scottish Parliament, will give effect to these plans by extending the eviction moratorium in both the social and private rented sector to 31st March 2024. 

The Regulations can be found here. The Cost of Living (Tenant Protection) (Scotland) Act 2022 (Amendment of Expiry Date) Regulations 2023 (legislation.gov.uk)

Landlords remain entitled to serve notice and raise eviction proceedings.  The moratorium, however, will continue to delay the enforcement of eviction orders granted on particular grounds until 31st March 2024.  There remains a number of grounds that are exempt from the moratorium. 

For private residential tenancies the following grounds are exempt:

  • paragraph 1A (intent to sell property to alleviate financial hardship)
  • paragraph 2 (property to be sold by lender)
  • paragraph 4A (intent to live in property to alleviate financial hardship)
  • paragraph 8 (not an employee)
  • paragraph 10 (tenant not occupying let property)
  • paragraph 12A (substantial rent arrears)
  • paragraph 13 (criminal behaviour)
  • paragraph 14 (anti-social behaviour)
  • paragraph 15 (association with person who has relevant conviction or engaged in relevant anti-social behaviour)

And for tenancies under the assured regime, the following grounds are exempt: 

  • Ground 1A (intent to live in house to alleviate financial hardship)
  • Ground 2 (house to be sold by lender)
  • Ground 8A (substantial rent arrears)
  • Ground 15 (conviction for certain offences, acting in an anti-social manner or pursuing a course of anti-social conduct)
  • Ground 17 (employment with landlord ceases)

Rent Cap (applies to the private rented sector only)

Further, no changes are proposed to the existing rent cap in the private rented sector.  It appears the permitted rate for any existing tenancy rent increase will remain at 3%. For those Landlords experiencing increased property costs, the increase available by way of application to the rent officer will remain at a maximum of 6%. 

If you require specific advice on the impact of the Cost of Living (Tenant Protection) (Scotland) Act, please contact our team. 

Authors

Claire Mullen