Rent controls are “off the table” in the new government’s Renters’ Rights Bill, according to Savills.  
“The biggest fear for many landlords has been the potential for more aggressive forms of rent control,” says the property agent’s head of residential research Lucian Cook in a note.  
Rent controls were introduced by the Scottish National Party north of the border in September 2022, and Labour Mayor of London Sadiq Khan has repeatedly called for them in the capital.
Cook adds: “While the Labour Party’s manifesto was quiet on the issue, it hinted that any form of control would be light touch, containing nothing more than references to tenants being better empowered to challenge unreasonable rent increases.  
“And subsequent reports suggest that any further rent controls are off the table.”  
Labour’s rent legislation was included in the king’s Speech earlier this month and plans to “immediately” end Section 21 no-fault evictions.  
The former Conservative government was taking its own Renters (Reform) Bill through Parliament, but ran out of time before the last session ended in May ahead of the 4 July general election.    
Cook says: “It was no great surprise that most of the political parties included proposals for reform of the private rented sector in their manifestos, as they chased the younger person’s vote.    
“That resulted in common ground between Labour, the Conservatives and the Liberal Democrats in plans to bring to an end assured shorthold tenancies.”  
Cook points out: “What differed between the parties was the nature and pace of proposed implementation, with Labour leading the charge to get it done as swiftly as possible.    
“For example, though Labour has acknowledged a need to look at court processes, the rhetoric suggests this is unlikely to result in a significant delay in implementation.”  
The Savills note had studied the amendments to the Renters (Reform) Bill that were proposed by Labour as “clues” to what its legislation may hold.  
These include:  

A longer minimum term of occupation before which landlords could serve notice to recover possession on grounds of an intention to sell or occupy the property — more than six months and perhaps as much as two years   

A shorter minimum term of occupation where tenants wish to give up occupation of the property — less than 6 months  

Measures to prevent agents from encouraging bids exceeding a property’s asking rent

Measures to prevent rents being set above levels proposed by the landlord at rent review, where dispute caused it to be referred to a First Tier Tribunal  

A maximum upfront rental payment of five to six weeks of rent  

Cook adds: “The background briefing document that accompanied the King’s Speech appears to pave the way for such measures, though often in a fairly generic manner. 
“It also accommodates other manifesto commitments such as bringing a Decent Homes Standard to the private rented sector.”  
Earlier this month, the National Residential Landlord’s Association’s policy director Chris Norris said: “With an average of 15 households chasing every available home to rent it is vital that rental reform does not make an already serious supply crisis in the private rented sector worse.    
“The system that replaces Section 21 needs to be fair, workable and sustainable for both responsible landlords and renters.   
“That means fixing a broken justice system which too often fails those reliant upon it.”