In a bold move to tackle one of London's most severe housing crises, Hackney Council has formally demanded powers from central government to implement rent controls across the borough.
The Call for Action
The Labour-run authority announced on Wednesday, November 26, that it would petition Housing Secretary Steve Reed for the authority to cap private rents, arguing that current legislation doesn't go far enough to protect tenants. The council highlighted that Hackney has experienced the largest increase in property values anywhere in the UK over the past two decades.
According to official figures presented during the debate, house prices in the East London borough skyrocketed by an astonishing 753% between 1997 and 2017. This unprecedented growth has had a direct impact on rental costs, with market rents climbing 49% since 2010 to reach an average of £2,102 per calendar month.
Political Debate and Division
Introducing the motion, Councillor Sam Pallis described rent controls as "common sense" and assured critics that "the skies would not collapse" if they were implemented. The petition itself condemned the private rental sector for "driving inequality to morally indefensible levels" and suggested that rent controls could "break the cycle of exploitation" facing many residents.
Labour colleague Councillor Jon Narcross reinforced this position, stating: "Rent controls are not some radical experiment. It's the last 40 years of unregulated rents which has been an experiment, and it's an experiment which has failed."
However, the motion faced opposition from Green and Independent councillors who proposed an amended version that failed to gain Labour's support. Green co-leader Zoë Garbett argued her party wanted to strengthen the motion by including calls for the Mayor to establish a commission exploring the most effective ways to control rents.
Former Labour councillor Penny Wrout, now representing the Independent Socialists, criticised what she called Labour's "self-congratulatory backslapping", describing it as "frankly embarrassing given the party's track record of looking after private renters both locally and nationally".
Broader Context and Next Steps
The council's renewed push for rent control powers comes during the same week it announced that most private landlords in Hackney will need to pay at least £925 to license a single property from next May.
While several London authorities have collectively lobbied for rent control powers through London Councils, Hackney's individual petition represents a more direct approach. The move aligns with London Mayor Sadiq Khan's fresh demands for rent controls in the capital, after his initial proposal for a two-year rent freeze was rejected by the newly-elected Labour government in August.
In 2022, Mayor Khan had urged the previous Conservative administration to allow a rent freeze, arguing it could save London families an average of £3,000 annually by 2024.
The outcome of Hackney Council's petition to the Housing Secretary remains uncertain, but the debate highlights the growing pressure on government to address what many are calling a broken rental market in the capital.
