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Landlords and the Housing (Scotland) Act

Landlords and the Housing (Scotland) Act

Landlords and the Housing (Scotland) Act

Whether you manage a large property portfolio or rent out a single home, it is important to understand the Scottish Government’s Housing (Scotland) Act 2025. The legislation focuses on enhancing tenant protections, widening homelessness prevention responsibilities, and raising housing standards throughout Scotland.

This guide highlights the main points of the Act, including new responsibilities for landlords and changes to eviction and rent review processes.

The Housing (Scotland) Act became law on 6 November 2025. While some measures won’t take effect straight away, different parts will be rolled out between 2025 and 2028.

Rent Control Areas (RCAs)

The Act introduces permanent Rent Control Areas (RCAs), which are a major change. These go beyond the temporary rent caps seen during the cost-of-living crisis and form part of a long-term approach to housing policy.

Every five years, councils must review rents and send the results to Scottish Ministers. Landlords and agents are required to give accurate property and rent information, with fines of £1,000 for errors or omissions.

Ministers can designate all or part of a council area as a rent control area under the Housing Act. They can also expand, reduce, monitor, or remove these areas if conditions improve. Landlords with properties outside rent control areas can continue to increase rent as normal. Properties within a rent control area will be subject to limits.

Limits on Rent Increases

  • Rent increases are based on the previous 12 months’ CPI plus 1%, capped at 6%.
  • Rent can only be increased once every 12 months, even outside rent control areas.

Which Properties May Be Exempt from Rent Controls

Not all properties are automatically subject to rent controls. Landlords can apply for an exemption if the property type or characteristics are different, or if specific circumstances apply to the landlord or tenant.

Applications for exemption can be submitted through the local council and will incur a charge. The exemption will also include a set of permissions, and any exemption may be removed if circumstances change or given for a fixed amount of time.

There will be a publicly accessible Exemption Register listing all properties exempt from rent controls. Landlords must inform tenants if they have applied for an exemption and must advertise the exemption when re-letting the property.

Rent Officer Appeals

If a landlord proposes a rent increase above the permitted level in a rent control area, the tenant can appeal to a Rent Officer.

The Rent Officer can approve the increase, reduce it to the permitted amount, or reduce it to zero. Tenants can request a second assessment if they disagree with the decision.

Changes to Eviction Rules

The Housing (Scotland) Act requires the first-tier tribunal to consider postponing evictions in certain instances to reduce the risk of homelessness. These include cases in which eviction would result in significant financial hardship for the tenant, negative consequences for their health, or disturbance during major life milestones such as examinations.

Delays will not apply where eviction is based on tenant fault, such as rent arrears, antisocial behaviour, or criminal activity. Evictions will also not be delayed if this would cause financial hardship to the landlord.

The Act introduces stronger penalties for unlawful evictions. Tribunals can now award damages for unlawful eviction with compensation ranging from three to 36 times the monthly rent. Decisions will be shared with the police and landlord registration bodies, which may affect a landlord’s ability to continue operating. Following the correct legal eviction process is now more important than ever.

Tenant Rights regarding Keeping Pets

Tenants now have a legal right to request permission to keep a pet. Landlords are required to reply in writing within 30 days, either granting the request or explaining why it is refused.

Reasonable conditions can be applied, such as professional cleaning, pet insurance, or an additional deposit, to ensure compliance with the latest amendments. Blanket bans on pets are no longer allowed unless there is a valid reason. Dangerous wild animals remain excluded.

If permission is refused, tenants can appeal to the First Tier Tribunal, which can override the landlord’s decision.

Tenant Rights regarding Property Alterations

Tenants may ask for minor property alterations or accessibility improvements.

Tenants cannot be unreasonably refused permission to make changes that are considered minor such as painting, shelving, or TV brackets. They have 42 days to appeal a refusal through the Tribunal, and landlords should ensure their decisions are well-documented and clearly communicated.

Updates to Letting Agent Regulation and the Code of Practice

The Act has made minor changes to the statutory Code of Practice, which establishes criteria for how agents must operate. If letting agencies violate the Code, tenants or landlords can take action through the First-tier Tribunal (Housing and Property Chamber).

Other Key Changes to Note

  • Unclaimed tenancy deposits held for over five years may be transferred to the Scottish Government for housing support initiatives.
  • Joint tenancy rules have changed. One tenant can now end their part of the tenancy independently, provided the correct notice procedures are followed.
  • Landlords are required to work with local councils to support vulnerable tenants, including those leaving a property due to domestic abuse.
  • Older assured tenancies can be converted into Private Residential Tenancies automatically.
  • Succession rights are reduced from 12 months to 6 months.
  • Ministers can impose minimum timeframes for investigating and completing repairs.

New Duties Around Homelessness Prevention

There is now a legal duty for local authorities and public bodies to prevent homelessness, which involves early risk identification and referral to support agencies.

Property Standards and Energy Efficiency

The Act improves property standards by incorporating a greater commitment to addressing fuel poverty through energy-efficiency initiatives. The Scottish Government is proposing minimum energy efficiency criteria for private rental properties.

The proposed rules require new tenancies to achieve an EPC Heat Retention Rating of band C by 2028, with a final deadline of 2033 for all private rented homes. The goal is to create warmer, more energy-efficient homes, reduce running costs for tenants, and help landlords carry out necessary improvements.

Additional Changes Affecting Tenants and Landlords in Scotland

The Bill also includes updates beyond the private rented sector, including:

  • Mobile homes will be covered by new tribunal powers and updated pitch-fee rules.
  • Updated tribunal powers and revised pitch-fee regulations will apply to mobile homes.
  • The review of council tax rules includes new powers for councils to adjust charges on specific properties.

Government Powers During Housing Emergencies

The government now has the authority to declare housing emergencies, enabling temporary intervention in the housing market. Although landlords may not see immediate changes, this could affect future rules on rents, support schemes, and taxation.

What This Means for Landlords

The Act aims to make the private rental sector more accountable and better regulated. Landlords must stay organised and aware of changes, but the law also provides clearer guidance on exemptions, appeals, and protections against antisocial or criminal behaviour.

The Bill introduces tighter regulation, greater transparency, more tenant rights, and a stronger focus on preventing homelessness. Landlords will face more paperwork for rent increases, closer scrutiny during evictions, and increased monitoring of letting agents and property factors.

Landlords who understand and adapt to these changes will be better able to manage risks, stay compliant, and keep good relationships with their tenants.

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