The Private Housing Rent Control (Exempt Property) (Scotland) Regulations 2026 - business and regulatory impact assessment
The business and regulatory impact assessment for The Private Housing Rent Control (Exempt Property) (Scotland) Regulations 2026.
Section 5: Next steps and implementation
Recommendations / preferred options
Having considered the analysis above, the option preferred by Scottish Ministers is to bring forward regulations setting out exemptions from rent control for MMR and BtR properties.
Ministers are satisfied that the criteria set out in the regulations have been developed with engagement with BtR and MMR providers, in order to ensure that they address the perceived barriers to investment and supports investment in the supply of new BtR and MMR properties. In addition, the views of landlords and tenants in the broader PRS have also been considered as part of developing the proposed approach.
Implementation considerations / plan
The Act requires local authorities to carry out assessments of rent conditions in their area and submit a report, including a recommendation on whether or not they consider a rent control area should be designated, by 31 May 2027. These reports will support Scottish Minister’s decision making in terms of designation of rent control areas. All measures required for the operation of rent control areas will require to be in place before designation, including any measures needed to support the operation of any exemptions.
The Scottish Government will continue to engage with stakeholders across the sector as implementation of the rent control measures in the Act continues.
Post implementation review
Section 27 of the Act[61] creates a duty on the Scottish Ministers to carry out a review of the operation and effectiveness of the rent control measures in the Act and prepare a report on that review.
The review will include consultation with local authorities and persons representing the interests of both tenants and landlords, and, in their report, the Scottish Ministers will be required to consider whether the rent control provisions have operated effectively, and describe any steps which they propose to take as a result of the findings of the review. The review must be carried out as soon as reasonably practicable after the end of the period of 5 years beginning with the day of Royal Assent (06 November 2025).
Over the longer term, the Scottish Government also anticipates working with stakeholders to develop a coordinated programme of monitoring and evaluation of the measures in the Act, including rent control.