Province dumps rent cap for complaint-driven, case-by-case rent increase protection system
On Thursday at the provincial legislature, Service NB Minister Jill Green effectively ruled out an extension of the current temporary rent cap in New Brunswick, which had limited rent increases in 2022 to 3.8%. Instead, Green introduced a bill to add a phase-in mechanism that could be used by the Residential Tenancies Tribunal on a case by case basis. If landlords raise rents by more than the Consumer Price Index in a given year, and if a tenant formally complains to the tribunal about that increase, the tribunal would then have the power to require a ‘phase-in’ of the increase over two to three years.
“The rent cap is off the table right now,” Green told reporters after the law was introduced Thursday. But she also left open the possibility that the government could react later if needed. “Last year, if we needed to make a change quickly, we did it and we will do it again,” she said. “We will not hesitate to do more should we find there’s a bigger problem than we understand.”
In the meantime, the new system will “requires everybody to be working together,” said Green. “We need the landlords to step up. And we need the tenants to talk to us and tell us when they have a rent increase that they think is inappropriate.”
One housing researcher says requiring tenants to complain about rental increases is not reasonable, given the power dynamics between tenants and landlords.… Continue