In a victory for landlords and market stability, Housing Minister Matthew Pennycook has confirmed that the government has no plans to introduce rent controls and believes the measure would be detrimental to both renters and landlords.

The clarity comes in response to a written question from Shadow Housing Secretary James Cleverly. Mr. Pennycook stated the government’s firm position:  “The government has been clear it does not support the introduction of rent controls, including rent stabilisation measures.”

Why the Government Opposes Rent Controls

The Minister outlined two key reasons why rent controls are opposed, aligning exactly with landlord concerns:

1. Incentivizing Higher Rents: Rent caps could incentivize landlords to “increase rents routinely up to a cap where they might otherwise not have done.”
2. Driving Landlords Out: Such measures would risk “pushing many landlords out of the market,” thereby reducing the supply of available homes and making it “even harder for renters to find a home they can afford.”

Sadiq Khan Continues to Lobby

This announcement directly contradicts the lobbying efforts of London Mayor Sadiq Khan, who recently claimed the “power to cap rents” is a top priority under new devolution powers.

Despite the Labour government’s explicit stance against rent controls, Mr. Khan has admitted he is “not keen” on the idea but stated he would continue to lobby ministers for the power to implement them in the capital.

The government’s rejection of rent controls provides a moment of relief, but the continued political pressure—particularly from London—means landlords must remain vigilant against any local attempts to destabilize the rental market.