Cross-party MSPs have voted in favour of amendments to the Housing (Scotland) Bill which will see student accommodation come under rent control powers.
The vote by the Scottish Parliament’s Local Government, Housing and Planning Committee will force the Scottish Government to include both purpose-built student accommodation and university-owned halls in an effort to drive fairness across all tenancy types.
The Bill had originally excluded student tenancies despite sector stakeholders and parliamentary committees providing evidence to support their inclusion. Until the vote, student tenancies operated largely outside the private residential framework, which meant that students weren’t afforded rent controls or termination rights.
The Committee session saw unusually strong unity between cross-party members, with representatives from Scottish Labour, Scottish Conservatives and Scottish Greens all in favour of the amendment. The MSPs cited extortionate PBSA rents, student homelessness and inflexible tenancy terms as the main reasons behind the proposed change.
The debate focused on paragraph 5 of Schedule 1 of the 2016 Private Housing (Tenancies) Act, which gives student halls and PBSA exemption from standard private tenancy rules.
Scottish housing minister, Paul McLennan, argued against changing the rule, stating that “student accommodation provision operates on a different basis (to) the wider private rented sector” due to its alignment with academic years and that “rental costs for PBSA and university halls usually include more than (the rent) as a result.”
Several key amendments were passed by the committee, including:
- Amendment 51: Extends the definition of “relevant tenancies” in the Bill to include student accommodation.
- Amendments 52 and 53: Require student tenancies to be part of local authority data reporting and rent control decisions.
- Amendments 144–146: Strengthen local authority power by requiring ministers to act on rent control recommendations – now explicitly including student tenancies.
After the vote, Scottish Greens MSP, Ross Greer said: “Far too many students pay sky-high rents for halls and other purpose-built accommodation. They deserve the same rights as other renters, and I am glad that MSPs have backed plans to crack down on the accommodation operators ripping off students.”
“Students deserve the same protections as other renters. Their halls are their home, but in many cases the costs are simply out of control and what they get for their money is extremely poor.”
“Private providers, the likes of UNITE and Student Roost, account for over three-quarters of purpose-built student accommodation. Their high rates are leaving many students reliant on food banks.”
“Thanks to the Scottish Greens, this bill will deliver much-needed rent controls and more protections for renters. Our MSPs will continue working with other parties to ensure students get the full benefits of that work and their housing costs are brought back under control.”
Industry members have raised concerns about the impact that imposing rent controls on student accommodation could have on investment.
David Melhuish, director of the Scottish Property Federation, said that the student accommodation sector plays a critical role in supporting students and relieving the pressure off the wider rental sector by reducing competition.
Melhuish commented: “The amendment, unless revoked later in the Bill’s journey, will have a chilling effect on investment in this key sector and will further reduce the supply of accommodation available to students.”
“Other provisions in the Bill have already affected other parts of the residential sector in Scotland, particularly the built-to-rent sector, where the threat of rent controls has been significant and pronounced – resulting in a halt on new planning applications for new build rental accommodation and the potential loss of some £3billion of investment in Scotland.”