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The National (Scotland)
The National (Scotland)
National
Abbi Garton-Crosbie

Rental service is ‘designed with landlords in mind’

Rental prices are skyrocketing across Scotland, in some cases hiking by 20%

ALMOST 80% of tenants who challenged their landlord for raising rental costs have been forced to pay more after using adjudication services, the Sunday National can reveal.

Between 2018 and 2022, Rent Service Scotland (RSS) handled 169 cases where private residents have tried to fight a hike in their monthly housing costs. Only 34 tenants (20.1%) were successful in their challenge and managed to keep the price the same.

Meanwhile, the other 134 cases (79.2%) taken to rent officers saw either a partial or full increase in their monthly rent. A total of 59 tenants (34.9%) saw their monthly costs raised to the full amount requested by landlords, while 75 (44.3%) saw a partial increase.

In one case, rental officers raised the amount to more than had been requested by the landlord after comparing it with similar properties in the local area.

Overall, rent prices shot up by an average of 9% when taken to RSS for adjudication, but in some cases, tenants saw hikes of more than 20%, and, in one case, 120%.

Housing campaigners say these figures show the system “isn’t designed for tenants” but instead protects landlords’ properties and investments.

It comes as the Scottish Government is preparing to introduce a rent freeze, followed by rent controls, as part of their bid to tackle the cost of living crisis.

The amount rental prices were raised varies by location, and adjudicators base estimates on the current housing market, which has seen consistent increases in rental costs in recent years. The majority of cases brought against landlords were in Edinburgh (57), Glasgow (49) and Dundee (10).

A spokesperson for Living Rent said that the figures were not surprising, adding that the experience of their membership is that the service “isn’t designed for tenants”.

He added: “It’s designed with landlords in mind and to react to the market, but we know that the market has never been beneficial to tenants. Market rents have increased by 15% over the last year in Edinburgh and Glasgow – they’ve gone up over 60% in the last decade – and our wages have not gone up anywhere near that.

“It’s a system that is designed to protect landlords’ properties and interests rather than recognise what is actually affordable.”

The figures revealed one instance in Aberdeen where a tenant’s rent was raised from £250 to £550 per month for a one-bedroom flat. In another, four tenants in the same block in Warriston Gate in Carntyne, Glasgow, attempted to fight a £25 per month hike to their rent but ultimately failed as the officers found in favour of the landlord.

In Ashgrove Road, Dalmarnock, in the east end of the city, three tenants in a block challenged a £30 per month hike, and all three lost.

In Kelso in the Scottish Borders, one landlord attempted to raise the rent from £1800 to £3000 in February this year. Rent officers compromised at £2200 per month, or £4800 extra a year.

The reasons for this are unclear, but Living Rent suggested the incoming rent freeze is having an impact, particularly recently.

Their spokesperson added: “I think increasingly landlords are wanting to convert their homes into Airbnbs, or hike up rents because they know there’s a lack of supply.

“They can afford to charge extortionate rents and that someone will be willing to pay for it. It’s leaving some tenants without a home and being forced out of their communities in what we’re calling silent evictions, where they’re evicting tenants in all but name.

“It’s been increasingly bad over the last year. I think there was a case recently of a woman whose rent was increased by 30% – that’s £200.

“It’s completely unaffordable for anyone to find £200 at the best of times, but during the cost of living crisis, it’s bonkers.”

A Scottish Government spokesperson said: “Under the current legislation, rent officers are required to make decisions based on the open market rent of the property while taking into account rents of comparable property in the area.

“They must also assess the age, character, locality and state of repair of the house and the amount and condition of any furniture provided.”

The spokesperson added that they are “committed to reforms” in the rental sector including rent controls, and vowed “progress on this in the coming year”.

They added: “The Scottish Government is also working on emergency measures for tenants to reflect the rapidly worsening cost of living crisis.

“If approved by the Scottish Parliament, they will increase protection for tenants from eviction and rent rises.

“As the First Minister has said, the Scottish Government’s intention is to time the legislation to ensure, subject to the Scottish Parliament’s agreement, that rents will have been frozen from 6 September.”

The Sunday National asked the Scottish Government for further details on the rent freeze and the role of rent officers but we were told this will be published as part of emergency legislation “in the coming weeks”.

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