Following the government’s announcement of the zero freeze on 2023 rents when they overruled IRAC, the Minister of Housing and Social Development made public statements about compensation for rental property owners suffering from record inflation levels. On November 2nd, CBC carried the minister’s statement that he would look after landlords’ costs as a result of his decision to overrule IRAC’s 2023 rent increase. Yesterday’s announcement contained nothing on helping the rental sector deal with skyrocketing costs in 2023.
“Our sector wrote to the Minister when he indicated that some type of compensation would be forthcoming and offered our assistance. We followed up requesting him to meet with our members and have had no response. We then reached out to senior officials in his department last week and were assured that a compensation package was coming.”
“If this Minister and his government think that existing property owners are going to step up and build new rental units based on the way the sector is being treated, he is truly naïve. Subsidies for developers do nothing to assist existing landlords struggling with operating costs of their current properties. A rent freeze for 2023, a new Act, and a broken promise on compensation for landlords suffering under record inflation are not the kinds of policies that are going to ensure that we are at the table building new rental units,” concluded Perry.
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