Scottish Housing Minister Paul McLennan has publicly affirmed that landlords in Scotland should be recognised as “working people” with a legitimate “right to make a return on their investments.” The comments were made during his address at Scottish Letting Day 2024, a key industry event held earlier this month.
This marks a shift in tone from the Scottish Government, especially following the conclusion of the Bute House Agreement with the Greens. McLennan’s remarks have been warmly welcomed by landlords and property professionals, who have faced increased scrutiny in recent years under legislative changes aimed at the private rented sector (PRS).
Contrast with Westminster’s stance
McLennan’s statement stands in stark contrast to comments made by Labour leader Keir Starmer in the run-up to the UK’s recent Budget. Starmer controversially stated that landlords do not qualify as “working people,” sparking debate about the role of landlords in the housing ecosystem.
In Scotland, however, McLennan’s remarks suggest a different approach. Speaking at the conference, McLennan reiterated the Government’s desire to “reset” its relationship with the PRS, stating: “Landlords play a key role in solving Scotland’s housing crisis, and they should be considered as working people with a right to see a return on their investments.”
The Minister’s comments came as part of a broader discussion with John Blackwood, Chief Executive of the Scottish Association of Landlords (SAL). Topics on the agenda included rent controls, tenant protections, and strategies to address Scotland’s ongoing housing shortage.
Industry welcomes Government’s revised outlook
Scottish landlords have faced a challenging regulatory landscape in recent years, with rent freezes and eviction bans introduced during the Bute House Agreement period. However, McLennan’s remarks suggest a more collaborative approach moving forward.
John Blackwood praised the Minister’s participation at the event, saying: “Scottish Letting Day 2024 was a huge success, and it was wonderful to have the Housing Minister speak directly to us. We were relieved to hear that the Scottish Government considers landlords to be working people and that we have the right to make a return on our investments. It signals that the Government has moved on from the days of the Bute House Agreement.”
Many landlords and letting agents expressed optimism about the potential for more balanced policies under the current administration. One attendee described McLennan’s comments as “a breath of fresh air,” reflecting the hope for improved collaboration between the Government and the private rental sector.
A new chapter for Scotland’s housing sector?
The Scottish Government’s evolving stance on landlords highlights the need for a united effort to address the country’s housing challenges. As McLennan noted, landlords will be integral to delivering the rental homes required to meet demand, particularly in urban areas where housing shortages are acute.
While the Minister’s comments are encouraging, questions remain about how this approach will translate into policy. Will rent controls be relaxed? How will tenant protections be balanced with landlords’ rights?
For landlords, the shift in tone signals a potential turning point in their relationship with the Scottish Government. As one landlord put it: “It feels like we’re finally being recognised for the role we play in providing homes. Now we need to see these words reflected in future policies.”
