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Private Sector Tenancies - Extension to Cost of Living ACT 2022

Private Sector Tenancies - Extension to Cost of Living ACT 2022

The Cost of Living (Tenant Protection) (Scotland) Act 2022 (Amendment of Expiry Date) Regulations 2023 were approved by the Scottish Parliament on 20 September 2023, extending the temporary and emergency measures imposed by the Cost of Living (Tenant Protection) (Scotland) Act 2022 to 31 March 2024.

The measures introduced by the 2022 Act were initially to expire on 31 March 2023. However, they were subsequently extended to 30 September 2023, and in June the Scottish Government made clear its intention to further extend the measures to 31 March 2024 as has now happened albeit with moderate revisals.

The Cost of Living (Tenant Protection) (Scotland) Act 2022 came into force on 28 October 2022 to protect tenants during and in response to the cost of living crisis with inflation reaching its highest rate in 41 years. The Act, in its extended form, includes generally a cap on increasing rent to 3% within any 12 month period for all private sector tenancies.

Most significantly, the Act also prevents the enforcement of eviction orders for a period of six months after the eviction order is granted by the First-tier Tribunal for Scotland Housing and Property Chamber or a Court, subject to certain exceptions such as where financial hardship can be established or where substantial rent arrears have accrued as defined.

Where Landlords wish to pursue an eviction application careful consideration should be given as to whether any of the exceptions to the temporary six months suspension rule apply. Obtaining informed advice will be important in navigating the current legislative framework. Indeed, in certain situations it may be possible to rely on those exceptions notwithstanding that no reference was made to them in a prior Notice of removal served on a tenant.

Landlords should also keep in mind the more lengthy process for removing tenants from their properties, and the impact of the cap on their ability to increase rent.

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Gillian Buchanan
Gillian Buchanan

Gillian Buchanan

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