## Scottish Conservatives Propose Ending Rent Controls to Support Landlords

The Scottish Conservatives have unveiled a policy paper titled *Ending Scotland’s Housing Crisis*, outlining their intention to reverse rent controls and accelerate housebuilding. This move is designed to encourage landlords to stay in the private rented sector and increase the supply of affordable homes. The announcement comes ahead of the Scottish Parliament elections scheduled for 7th May 2026.

Shadow housing secretary Meghan Gallacher criticised the current Scottish National Party (SNP) government’s approach, stating:
“After 19 years of SNP failure, Scotland is in a housing emergency. Housebuilding has stalled due to their budget cuts, rent controls and open-door immigration policies. As a result, homelessness is rising and vulnerable families are being left in the lurch. Urgent action is needed to address this crisis, and that’s what our paper proposes. The Scottish Conservatives will focus on practical solutions that put vulnerable Scots first, boost supply and fix the damage caused by SNP housing policies.”

## Background on Rent Controls and Their Impact

The SNP government previously implemented rent freezes during the pandemic and introduced rent controls between 2022 and 2024. However, during this period, rents increased by 11.6%, the steepest annual rise across the UK. The government plans to introduce phased rent controls starting in 2027, requiring councils to assess local rent conditions and propose rent control zones by 31 May 2027 under the Housing (Scotland) Act.

The Scottish Conservatives argue that rent controls discourage landlords from letting properties, leading to a reduced rental market and higher rents. Their policy document states:
“The solution to lowering rents isn’t more ideological rent controls, it means creating a rental market which incentivises landlords to let their properties, combined with an increase in housing supply. We would scrap the SNP’s plan for damaging rent controls. Doing so would stop the exodus of landlords from the market and stop the huge increase in rents we saw a few years ago.”

For landlords, this signals a potential shift away from regulatory rent limits, which the Conservatives believe have unintended consequences such as reducing rental property availability.

## Financial Burdens on Landlords and Proposed Tax Changes

The policy paper highlights the financial pressures landlords face from property taxes. The Land and Buildings Transaction Tax (LBTT), similar to Stamp Duty in England, applies to property purchases above a certain threshold. Additionally, the Additional Dwelling Supplement (ADS), introduced in April 2016, applies to purchases of additional residential properties over £40,000, including buy-to-let investments.

The Conservatives point out that a landlord purchasing a £500,000 property currently pays £63,350 in LBTT, equating to 12.7% on top of the purchase price. They argue these costs ultimately push up rents for tenants over time. Their proposal includes halving the ADS and scrapping LBTT on primary residences to ease the financial burden on landlords.

## Commitment to Building 80,000 Affordable Homes by 2031

The party’s housing strategy also includes delivering 80,000 affordable homes by 2031. To facilitate this, they propose halting new mandated energy efficiency upgrades until 2031 and scrapping the SNP’s ban on boilers in new-build homes, which currently carries penalties of up to £15,000 for non-compliance.

Furthermore, the Conservatives plan to remove the SNP’s centralised planning framework, allowing local councils to set their own planning strategies to better meet housing needs. This approach aims to reduce regulatory barriers and speed up housebuilding.

## Reinstating Local Connection Rules to Manage Homelessness

The Scottish Conservatives also pledge to reinstate the local connection rule following a reported 3,500% increase in homelessness applications to Glasgow City Council from outside Scotland since the SNP abolished this rule. This measure is intended to prioritise housing support for local residents.

## What This Means for UK Landlords and Letting Agents

If implemented, these policies could reduce regulatory constraints on landlords and potentially improve the attractiveness of the Scottish rental market. Scrapping rent controls and lowering transaction taxes may encourage more landlords to invest in rental properties, increasing supply and stabilising rents. However, landlords should monitor ongoing legislative developments closely, especially regarding planning and energy efficiency regulations.

Suggested internal link anchors
– Scottish rent controls
– private rented sector
– affordable homes in Scotland
– Land and Buildings Transaction Tax
– Additional Dwelling Supplement
– housing crisis Scotland
– local connection rule
– rent freezes pandemic
– SNP housing policies
– rent increases Scotland
– housebuilding regulations
– homelessness Scotland

TLA update

TLA is launching a new Trusted Partners Hub in Q1 2026, featuring verified and approved service providers selected to support landlords, tenants, and property management businesses. We are inviting legal, trades, insurance, financial, mortgage, tenant screening, and other service providers to register their interest here: https://landlordassociation.org.uk/become-a-tla-service-partner/