Rent Cap Update

In 2022, the Cost of Living (Tenant Protection) Bill introduced emergency rent control measures to stabilise the rental market during a period of economic uncertainty. This limited the amount by which landlords and letting agents could raise rent.

From 1 April 2025, the temporary 12% rent cap no longer applies.

If you’re renting on a Private Residential Tenancy (PRT), here’s what you need to know:

How Often Can My Rent Go Up? 

• Your landlord can only increase your rent once every 12 months.
• They must give you at least 3 months’ notice before the increase takes effect.
• The increase must be issued using an official rent increase notice.

How Much Can My Rent Increase? 

• There is no set limit anymore—your landlord can base it on the market rate.
• A rent officer will decide if your rent is fair if you challenge it.

How Can I Check if My Rent Increase is Fair?

A rent officer will set your rent at the open market rate, which is based on the average rent for similar properties.

• Check sites like Rightmove and Zoopla for rental listings that:
  • Are in your local area
  • Have the same number of bedrooms and bathrooms
  • Are similar in condition and features
• The Illustrative Rent Increase Calculator on the Scottish Government’s website can help you assess whether your proposed increase is reasonable. Please note this provides an estimate but is not always exact and so it should be used as guidance. 
• If you challenge your rent increase, a rent officer may visit your home to evaluate the rent. Be aware that they can increase your rent beyond the amount proposed by your landlord, reduce the increase, or keep the rent the same. This entirely depends on the open market rental value.
• Only challenge if you believe the increase makes your rent higher than the average market rate.

How Do I Know if My Rent Increase Notice is Valid? 

• Your landlord must use the correct form. You can find an example of what this looks like here. 
• They can only send it once per year.
• If the notice is invalid, you don’t have to pay the new rent. Inform your landlord if this is the case.

Can I Challenge My Rent Increase? 

Yes! You can challenge it within 21 days if you think it’s too high by:

• Filling out part 3 of the rent increase notice, ticking that you don’t accept the increase. Send this to your landlord.
• Applying to Rent Service Scotland with details of your tenancy.

What Happens if I Challenge It? 

• A rent officer will review rents for similar properties in your area.
• They might visit your home to assess your rent.
• They will decide whether to increase, decrease, or keep your rent the same.
• A decision is made within 40 days.

Where can I get more information?  

Shelter Scotland has information on the expiry of the temporary regulations for rent adjudication here and on rent increases more generally here.