One hundred years ago landlords saw the outbreak of the first world war as an opportunity to profiteer from their tenants. What followed was a defining event in Scottish politics: the women of Glasgow, led by Mary Barbour, refused to pay their rent. The Glasgow rent strike led to the introduction of rent controls, which remained in place for much of the rest of the twentieth century.
Now, after years without controls, I’m delighted that the Scottish government has pledged to legislate for rent controls in its programme for government. Yet these must be real and meaningful, and tackle the serious housing problem we face. Better housing is a fundamental part of a better society; it is hard to see how we can improve people’s health, better educate our children and have a fairer and more equal economy if we fail to offer people decent homes.
There has been a decisive shift in housing, from local authorities to wealthy landlords being the main providers. One third of the council houses given away below market cost by Thatcher are now being rented out again, this time by private landlords.
The outcome is clear: bulging buy-to-let portfolios for the rich, with profits rising year-on-year. Meanwhile, those not lucky enough to own their own homes are gouged, with rent comprising greater and greater amounts of people’s disposable income.
Social segregation
Soaring house prices have excluded many – mainly the young and low-paid – from home ownership. Letting in the private rented sector is now the norm. But all too often the property for rent is cramped, expensive and low-quality.
The result is that Scotland now faces another housing crisis, this time caused by a housing bubble, landlords cashing in and grasping letting agents. In cities like Aberdeen rents have soared, pricing all but the wealthiest out of the city and creating social segregation, while the HomeLet index suggests rents across the UK have risen by 12% in the past year. When it is cheaper than ever to borrow money, there is no excuse for this.
In a society where many people under the age of 35 find themselves priced out of buying a home, we risk creating a cohort of people permanently locked into high-cost housing. Many of those affected by the acceleration of rents have run vibrant campaigns. Living Rent has pushed this issue up the agenda, and deserves a serious response from the Scottish government.
We must ensure that the proposed rent controls are effective. That’s why I put forward a motion to the Scottish Green Party conference next month calling for the introduction of a points-based system of rent controls. This would mean that rents are set at an affordable level, based on the quality, size, location and facilities in the property for rent. I want increases to be limited so they don’t push tenants into poverty.
I also want to make sure that tenants can’t be unfairly evicted. Currently, there is a “no fault” ground for eviction, which allows landlords to remove tenants whatever their circumstances. I want all evictions to be discretionary, so landlords must give grounds for removing someone from his or her home.
I also want to see regulation of letting agents. This boom sector mediates the market, producing a situation where they are demanding rent increases that not even the landlords want. In one case I was approached by tenants whose letting agent was terminating their lease because they’d lived in the property for two years, and the agent was worried they would start treating it as a home. It turned out that the landlord didn’t want them removed. It was a ruse to put the rent up.
Ultimately, housing is the cornerstone of a good society. While Thatcherites may delight in the rich profiting from an unprecedented transfer of wealth from the poor, we cannot allow neo-liberal dogma to condemn the young and the poor to expensive, low-quality housing. We need rent controls, an end to unfair evictions, and a radical overhaul of the housing system. This decision is just the start.
Maggie Chapman is a co-convenor for the Scottish Green party
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