Rent caps could have 'unintended consequences' and lead to landlords leaving the market, CIH Cymru says

Welsh Parliament

Welsh arm of housing body says if rent caps were to be introduced, they should be linked to local income instead of property prices

The Chartered Institute of Housing Cymru has argued that rent caps should be linked to local income to ensure more households can afford the rent levels set.

In response to the Welsh government’s consultation on housing adequacy and fair rents, CIH Cymru said that housing affordability should be linked to income, based on the gross weekly pay for an employee on minimum wage, working full-time, i.e. the 25th quartile of earnings.

CIH Cymru’s response to the consultation said “it does not seem equitable to base rent caps on property prices, as rent caps are designed to improve the affordability of rent”.

Login or Register for free to continue reading Housing Today

To continue enjoying housingtoday.co.uk, REGISTER FOR FREE

Already registered? Login here

Stay at the forefront of thought leadership with news and analysis from award-winning journalists. Sign up below to receive:

  • Breaking industry news as it happens
  • Gain access to Housing Today’s Specialist CPD modules
  • Expert News and analysis

It takes less than one minute….

Join the Housing Today community - REGISTER TODAY

… or subscribe for full access - Subscribe now