Minister Hugo de Jonge submitted the bill “Affordable Rent Act” to the House of Representatives on 5 February 2024. This bill makes the social rental sector’s housing valuation system (WWS) mandatory for the private rental sector up to a rental value of (currently:) €1,123.13 (middle rent regulation). This law extends the regulated rent to rental properties in the middle segment up to and including 186 points, which according to the WWS will cost a maximum of €1,123.13 per month. Tenants in the middle segment will thus gain access to the Rent Assessment Committee for disputes about, among other things, the rent, service charges or maintenance of the property. This regulation will apply to “new” rental contracts as long as necessary and will be evaluated every five years.
This bill was adopted by the House of Representatives on April 25, 2024, but in a significantly amended form.
Last Tuesday, 14 May, this “amended” bill was discussed by the Senate Committee for Home Affairs (BIZA). It was agreed that the Senate factions would submit all their questions about this bill to this committee within two weeks, after which they would be included in the Report of the committee in question and submitted to the Government. Furthermore, the committee is considering requesting the House to submit a possible request for information to the Council of State regarding the effect of this bill.
It is therefore uncertain whether the Affordable Rent Act will enter into force on the intended date of 1 July 2024. The Senate does not wish to be rushed by outgoing Minister Hugo de Jonge (Home Affairs), who has requested the Senate to deal with the law as soon as possible.
Now that the law has been significantly amended in the House of Representatives, a majority of the Senate wants to treat the law very carefully, which could mean that implementation on 1 July 2024 is not realistic. BBB even made an attempt to have the law declared controversial – and thus leave the completion of the legislative process to a subsequent cabinet – but there was insufficient support for this in the Senate.
To be continued…..
By Gerbrand Osinga