Sadiq Khan pledges 6,000 new rent-controlled homes for key workers — as calls for rent freeze continue

The London Renters Union has called on Sadiq Khan to keep fighting for rent controls or risk the rental crisis spiraling further out of control. Khan has announced a New Deal for Renters manifesto in the run up to the mayoral elections, but campaigners warned it does not address the full extent of issues faced by London’s tenants.

The Mayor promised to build 6,000 new rent-controlled homes for key workers if he is re-elected in May.

There are currently no London boroughs where it is considered affordable to rent a home on the salary of a bus driver, cleaner or care worker.

Khan has also pledged to freeze funding for landlords from City Hall if they fail to meet certain housing standards, and earmarked £4 million in funding for a London hub for councils to support renters.

London Renters Union urged Khan to keep fighting for rent controls for all Londoners.

“Sadiq Khan’s New Deal will fall flat if he does not continue to push for the power to cap rents in London,” said a spokesperson for London Renters Union. 

“London renters are trapped in a cycle of instability and many will feel let down if Khan stops campaigning for city-wide rent controls under a Labour government,” they continued.

“6,000 new rent controlled properties will not bring security to the capital’s 3 million private renters who are living in fear that they will be forced out of their homes by an unaffordable rent increase.”

A spokesperson for Khan said that he was committed to fighting for renters, but rent freezes are not within his power.

“Sadiq has consistently been on the side of renters and has repeatedly called for the powers to freeze rents in London, but he simply doesn’t have the power to do so,” a spokesperson told Homes & Property.

“Despite a Tory government beholden to landlords, Sadiq is not willing to stand by and do nothing while the Tories let down renters. That’s why he’s committing to build 6,000 new rent control homes across London, with rents that key workers and middle-income Londoners can afford,” they added.

 “This election is a two-horse race and Sadiq’s bold action is in stark contrast to the Conservative candidate for Mayor who has been virtually silent on renters’ issues and stands with the Tories on the side of the landlord lobby.”

Rents in the capital hit record highs last year, with the average monthly rental costing over £2,600 a month, while the number of boroughs where rooms could be found for under £1,000 a month dwindled.

Londoners spend a record-smashing £32.1 billion on private rentals in 2023, the same as the combined price of every home sold in London that year.

Private tenants on lower incomes are having to spend almost half their monthly rents on wages. A recent poll from the Green party found that 69 per cent of Londoners were in favour of rent controls.

The London Renters Union has also called for the establishment of a Rent Control Commission to oversee the policy, as well as more investment in council housing for the capital.

The London mayoral election is on May 2.