The Housing (Scotland) Bill marks significant reform in Scottish housing law. Part 1 of the Bill introduces extensive powers for local authorities (LAs) to assess rent conditions and obtain tenancy-related information from landlords, agents, and tenants.
Assessing rent conditions
The Bill requires LAs to periodically assess rent levels and increases within their area and the effects of these on tenants and landlords. Thereafter, LAs must submit a report to the Scottish Ministers (SM). The first report is due by 31 May 2027, with subsequent reports due every five years. These reports provide the basis for the SM determining whether areas should become Rent Control Areas – where rent increases may be restricted.
Powers to request tenancy information
To support these assessments, LAs and the SM will have powers to request detailed tenancy information from landlords. Information that can be sought includes:
- Property address, size, and type
- Tenancy or occupancy type
- Rent amount, frequency, and details of any rent increases
- Costs included in rent (e.g., utilities or services)
- Furnishing details, energy efficiency, and property condition
LAs may also request information from tenants to verify data. These powers can be exercised no more than once in a 12-month period for the same property.
If the requested information is not provided by the landlord within 28 days, the Bill allows LAs to apply to the First-tier Tribunal, which may impose a fine of up to £1,000 and order disclosure. Knowingly providing false information also attracts financial penalties under the Bill.
Preparing for the change
Landlords and letting agents should begin preparing now to ensure smooth compliance once the Bill is enacted. To do so:
- Maintain accurate records of tenancy details, rent levels, and property condition.
- Review rent charges in anticipation of changes ensuring action is taken before implementation to secure market rent where possible.
