Without introducing measures that tackle tenant demand and landlord costs, property standards will reduce, landlords will leave the sector and rents will rise, according to Propertymark, which adds that this has been evidenced when rent controls have been implemented across Europe and is currently what is being seen in Scotland.

Propertymark has reiterated an opposition to rent controls in response to the Green Paper consultation issued by the Welsh Government, adding that it supports the concept of making adequate housing a human right in Wales, but believes rent controls should have been separated from the debate.

Historically, the term ‘fair rent’ has been used in the context of regulated tenancies which allowed the landlord or tenant to apply to have a fair rent registered, which would usually be set below the market rent. This mechanism was a form of rent control, with subsequent increases limited.

Propertymark is now urging the Welsh Government to be cautious about introducing a broad definition that effectively acts as a way of introducing rent controls. This would fail to properly consider whether rent controls are needed in Wales in the first place and the variations in circumstances in different areas of the country.