Seventeen organisations said Tuesday they are very concerned with amendments to the Private Residential Leases Act put forward by Government. Whilst the organisations are in full agreement with proposals that seek to limit overcrowding in rented properties, the list of proposed amendments includes other provisions that will weaken the already precarious position of tenants and strengthen the already powerful position of landlords.

The enactment of the Private Residential Leases Act in 2020 was a small step forward in regulating a rent market characterised by greed and abuse. However, while this legislation introduced very basic rules concerning contracts and their registration, it stopped short of mandating longer-term contracts and prohibiting abusive rent prices. Thus, the rent market is still characterised by widespread precarity for tenants, most of whom are forced to renew contracts from one year to the next without any limits on price increases.

In this context, the proposed amendments mean the further weakening of the tenants’ position by prohibiting them from leaving the leased property during the last six months of their rent contract, the NGOs said. Currently, tenants can leave a property with a one-month notice period - during the last six months of a one-year contract - without suffering any damages. This gives tenants a modicum of flexibility in a situation where landlords hold the almost absolute power to decide the terms of the lease. For example, it allows tenants to find another property if they are unsure whether the contract will be renewed with a price they afford, as well as offers the possibility to leave properties with substandard conditions and abusive landlords.

If the proposed amendment goes through, tenants who leave the property at any point during the contract – even in the last six months - will lose their deposit and make themselves liable to legal action from the landlord for loss of income. This will completely tip the scales against the tenants and create a situation where - while landlords can practically do whatever they want - the minimal flexibility afforded to tenants is eliminated.

The proposed amendments include other provisions of concern such as one that will allow landlords to increase the rent price even when they forget to legally terminate a lease.

The organisations recognise that the Accommodation Ministry has taken steps to improve the highly socially unjust situation characterising the property market, and has also been genuinely open to dialogue with an array of organisations. However, they also express their disappointment that, in this case, it seems that the Ministry has caved in to strong pressures from the developers’ and landlords’ lobby, prioritising the maximisation of profits rather than social justice and wellbeing.

The organisations appeal for the anti-tenant proposals to be withdrawn and to instead move towards a more stable, regulated and just renting model.

List of organisations

 

Moviment Graffitti

Solidarjetà – Workers’ and tenants’ union

aditus Foundation

Caritas Malta

Young Progressive Beings

Dance Beyond Borders

Paulo Freire Institute

Żminijietna

African Media Association

Blue Door Education

The Maltese Association of Social Workers

Victim Support Malta

Migrant Women Association

SPS – Students’ Philosophical Society

ESA – Earth Systems Association

ESO – European Studies Association

KŻE – Kolletiv Żgħażagħ EkoXellugin