Scottish Housing Bill Passes into Law, Introducing Rent Controls and Strengthened Tenant Protections
The Scottish Parliament has passed the Housing (Scotland) Bill in a landmark vote, delivering major reforms to the nation’s rented housing sector and embedding new duties on homelessness prevention. Approved by 89 votes to 28 after consideration of around 400 amendments, the legislation introduces a framework for long-term rent controls, enhanced tenant rights, and the implementation of ‘Awaab’s Law’ to tackle damp and mould.
Rent Controls to Protect Tenants
Under the new law, Scottish ministers can designate Rent Control Areas, expected to be introduced by 2027. Within these zones, landlords may only raise rents in line with inflation (CPI) plus one percentage point, capped at 6% per year. Certain exemptions apply, including mid-market rent, build-to-rent properties, and student accommodation, designed to safeguard ongoing investment in housing development.
Temporary rent freezes introduced during the pandemic have now lapsed, and the bill establishes the first step towards a permanent, regulated rent framework. Secondary legislation will provide further detail.
Strengthened Homelessness Prevention: ‘Ask and Act’
The legislation introduces a duty on public authorities — including councils, police, and health services — to proactively prevent homelessness through the “Ask and Act” approach. Authorities must inquire about housing circumstances and provide support or referrals to local councils.
Councils are now required to intervene up to six months before homelessness becomes imminent, compared to the previous two-month period, ensuring early support for vulnerable households.
‘Awaab’s Law’ and Health Protections
The bill extends ministers’ powers to implement ‘Awaab’s Law’, ensuring landlords address hazards such as damp and mould promptly. Named after Awaab Ishak, who tragically died from mould exposure in 2020, the law will be implemented in Scotland from March 2026.
Additional measures include:
- Changes to Council Tax rules for second and empty homes, increasing housing availability.
- New tenant rights to keep pets and make property modifications.
- Updates to domestic abuse definitions in housing law and obligations for social landlords to support at-risk tenants.
- Use of unclaimed deposits to fund tenant support and provisions for single tenants to end joint tenancies.
Political and Sector Reactions
Housing Secretary Máiri McAllan described the bill as a “landmark moment” for tenant protections and homelessness prevention, highlighting its alignment with the Housing Emergency Action Plan, which pledges £4.9 billion over four years to deliver around 36,000 affordable homes.
The Scottish Conservatives opposed the bill, warning that rent controls could deter investment, while Scottish Labour viewed it as a modest step forward. The Scottish Greens hailed the legislation as a victory for tenants, delivering long-standing commitments to rent regulation.
Industry and tenant groups welcomed the reforms but called for careful implementation:
- CIH Scotland emphasized the need for practical enforcement and professional development for landlords.
- Living Rent highlighted exemptions and loopholes that could limit effectiveness.
- Dogs Trust and Cats Protection praised new pet-friendly tenancy rights as a “compassionate and practical step forward.”
The Housing (Scotland) Bill marks a transformative moment for Scotland’s private rented sector, combining rent controls, tenant protections, and proactive homelessness prevention. The legislation aims to provide tenants with safe, affordable, and secure homes, while ensuring landlords and councils play an active role in maintaining standards.
