Rent control in Scotland: What landlords and tenants need to know

Scotland is moving to a new, long-term system of rent control, introduced by the Housing (Scotland) Act 2025. However, rent control does not automatically apply across Scotland. Scottish Ministers must first designate particular areas as rent control areas following local evidence and consultation.  

What is a rent control area? 

A rent control area is an area designated by Scottish Ministers where limits on rent increases apply to qualifying private residential tenancies. 

Local authorities began assessing rent conditions from 1 April 2026. Their first assessment reports are due by 31 May 2027, and assessments will then take place at least every five years. The evidence can inform a decision by Scottish Ministers to designate an area.  

A designation can last for up to five years, unless it is removed earlier, and Ministers must keep it under review.  

How much can rent increase? 

For a qualifying property in a designated rent control area, rent increases will generally be capped at CPI plus one percent, up to a maximum increase of six percent.  

The restriction applies both during an existing tenancy and between tenancies. This is significant because the new system is designed to prevent landlords from simply making a large increase when one tenant leaves and another moves in.  

Rent can only be increased once in any 12 month period, regardless of whether the tenant changes during that period.  

What landlords need to know 

Landlords with properties in a rent control area should: 

• Check whether the property is actually covered. Being in an area designated for rent control does not necessarily mean every property is subject to the cap 

• Keep accurate records of rent history, including the rent under previous tenancies and the dates of increases 

• Check the 12 month rule before increasing rent 

• Use the prescribed notices and procedures applicable to private residential tenancies 

• Provide required information in advertisements. For most covered properties, adverts must state that the property is in a rent control area, the proposed rent, the previous rent, and relevant information about rent increases during the previous 12 months 

There are also provisions allowing limited increases above the normal cap in specified circumstances, but the detailed regulations governing those circumstances are being developed. The Scottish Government has indicated that these may include situations such as a rent being consistently below market level or significant investment in improvements.  

Which properties are exempt? 

Some properties will be exempt from the rent cap. The Scottish Government’s current framework includes mid-market rent and certain build-to rent properties.  

This includes mid-market rent, where homes are rented at below typical private market rates, and certain build-to-rent properties, which are purpose-built for renting. 

There are also exemptions relating to particular circumstances when a property enters the private rented sector.  

For example, the cap does not apply to the initial rent for a new tenancy where the property is: 

• completely new to the private rented sector 

• bought by a landlord with vacant possession and the new tenancy is the first tenancy since purchase 

• has not had a private residential or assured tenancy during the previous 12 months 

The precise statutory rules and exemptions should therefore be checked rather than assuming that every new tenancy is automatically capped.  

What tenants need to know 

If you are a tenant, a rent control area gives you additional protection against large rent increases. 

If your landlord attempts to: 

• increase the rent above the permitted amount 

• increase it more than once in a 12 month period 

You can challenge the increase through the Rent Officer or the First-tier Tribunal (Housing and Property Chamber).  

It is therefore worth keeping: 

• your tenancy agreement 

• previous rent-increase notices 

• records of when increases took effect 

• the property’s rental advert when you moved in 

• correspondence with your landlord 

These documents can be useful evidence if the legality of an increase is disputed. 

Don’t confuse the new system with the old rent pressure zones 

Scotland previously had legislation allowing rent pressure zones. Those were designed primarily to restrict rent increases for existing tenants. 

The new rent-control system created by the 2025 Act is different: where a rent control area is designated, the restriction can apply both during and between tenancies.  

What applies right now? 

The framework is being implemented progressively. Local authority rent assessments started on 1 April 2026, with the first reports due in May 2027. A particular property becomes subject to the new cap only if it falls within a designated rent control area and is not exempt.  

Separately, the existing rules for ordinary Scottish private residential tenancies remain important. For example, under the current rules, a landlord generally must give at least three months’ written notice of a rent increase and can normally increase rent only once in 12 months. 

There are further changes coming: rent adjudication reforms are due from 1 April 2027, including a longer period for tenants to apply for a rent-increase review.  

Summary 

For landlords: rent control is not yet a Scotland-wide cap. Monitor whether your local authority becomes involved in the designation process, maintain good rent records, and check whether your property falls within an exemption. 

For tenants: don’t assume that any rent increase is lawful simply because you have a private residential tenancy. Check the notice, the timing of the previous increase, whether the property is covered by a rent control designation, and whether an exemption applies. 

The Scottish Government’s official rent-control guidance is the best place to check the rules as the system is implemented.