Miliband pledges cap on private rent rises

The Home Builders Federation has warned that Ed Miliband's proposals to cap private rent rises "must not deter potential investment".

Stewart Baseley, executive chairman of the group, said:

Labour leader Ed Miliband has dismissed Tory claims that his 'Generation Rent' policy is a type of rent policy favoured by Venezuelan leader Hugo Chavez, after a similar proposal was made in 2013 by Communities Secretary Eric Pickles.

Miliband defended capping private sector rent rises, ban letting agents charging tenants fees and introducing three-year tenancies, by saying they are used widely in other countries.

"There are many, many other countries all around the world where the private rental market thrives on this basis" Miliband said.

"Mr Pickles is advocating Labour's policy so I am looking forward to (former Conservative Minister of State for Housing) Grant Shapps saying to Eric Pickles that he is Hugo Chavez."

"This is the right and sensible way to give protection to tenants but also, I believe, will be good for landlords."

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The Royal Institution of Chartered Surveyors have disagreed with a key point of Labour leader Ed Miliband's 'Generation Rent' speech today:

On the visit to Redbridge, north-east London, the Labour leader also pledged banning letting agents charging tenants fees and will introduce three-year tenancies, if a Labour government is elected.

Read more: Miliband pledges cap on private rent rises

Kick-starting his party's campaign for the European and local elections, Ed Miliband has said he will tackle the "cost of living crisis" by pledging that his government will build "200,000 homes a year," if elected.

To do this, Ed Milliband said he will "enable local authorities to expand when they want to" and also "stop firms hoarding land rather than building on it."

On the visit to Redbridge, north-east London, the Labour leader also pledged a cap on private sector rent rises, banning letting agents charging tenants fees and introduce three-year tenancies.

Read more: Miliband pledges cap on private rent rises

Chris Walker, head of housing and planning at the think tank Policy Exchange has dismissed capping rents, saying landlords could potentially leave the housing market altogether.

Ahead of party's campaign for the European and local elections, Ed Miliband has pledged rent controls such as banning letting agents charging tenants fees and introduce three-year tenancies, if he came to power.

Read more: Miliband pledges cap on private rent rises

Ahead of party's campaign for the European and local elections, Ed Miliband has pledged rent controls if he came to power.

MP for the Henley Constituency John Howell, who has worked on redevelopment for the area, has tweeted that rent controls will "hurt the needy."

Read more: Miliband pledges cap on private rent rises

Sam Bowman, research director at the Adam Smith Institute said that "rent control is a stunningly bad idea that could devastate Britain’s cities and clobber renters. To paraphrase the socialist economist Assar Lindbeck: the only thing worse for cities than rent control is bombing them."

This comes as Ed Miliband pledges private sector rent rises, ban letting agents charging tenants fees and introduce three-year tenancies, ahead of his party's campaign for the European and local elections.

Read more: Miliband pledges cap on private rent rises

Ahead of a party campaign for the European and local elections, Ed Miliband tweeted that a Labour government would aim to ban high agent fees.

Labour has dismissed claims a rent cap would severely interfere in the private rented sector and drive down the quality of accommodation on offer to tenants.

The Shadow Secretary for Communities, Hilary Benn, told Good Morning Britain capping the amount paid for rent would give tenants "peace of mind" and provide "security for the growing number of families in the private sector".

Labour's pledge to introduce a cap on rent prices is a "ridiculous thing to suggest" as it will drive down the quality of property available, according to the Housing Minister.

Kris Hopkins warned "investment and quality" of rented properties had "always fallen" when a cap on the amount of money private landlords could charge was introduced.