Reinhold Lennebo Property owners, Sweden. Photo: Press photo
When the Prime Minister in early January invited to the partisan home call we were many who welcomed the initiative. Opposition positive response signaled a broad political understanding of the crisis and a willingness to jointly find solutions.
The causes of the housing crisis is to be found in serious structural problems in the housing market. Extensive housing shortage, low mobility, an inefficient use of the existing housing and housing that has long lagged behind are some of the symptoms that can be traced to the system that has long existed.
The problems have in the past decade highlighted by a range of experts, studies, institutions and authorities that all the recommended reforms.
It was the ambition to constructively contribute to the objective of the Government’s housing calls – to meet the need of new homes – as property owners attended in the negotiations between the rental housing market parties that the Government initiated a bit into the parties’ home calls. Negotiations between the tenant association, the housing association Sabo and property owners would support the ongoing political process and Claes Stråth, former Director General of the National Mediation Office, was assigned to the spring report what the three parties together could support.
the short time made Stråths mission difficult but not impossible. The willingness of the three organizations to act responsibly and really finding solutions that improve the housing market should be great. It was an opportunity to contribute to the partisan home call all welcomed really would lead to results.
It turned out, unfortunately, not be.
During the weeks of negotiations lasted only property owners who presented concrete reform proposals with a real impact on how much housing being built.
Tenants Association and Sabo has maintained that no political reforms needed. Instead, they wanted to discuss how the annual rent negotiations can be streamlined and the adjustment of presumtionshyressystemet that is so limited that it has no practical significance.
The ongoing housing talks between government and opposition offers a unique opportunity to bring about the necessary improvements in housing market. To then focus more on how the negotiations between the organizations’ representatives will be facilitated than what we can gather around effective reform, we feel that narrow and introverted.
The signal to the political parties is that the rental housing market are free to be sat on the exception, while construction companies , residents and politicians continue to develop housing with other forms of tenure. We do not think it’s acted responsibly.
The reform proposals we have submitted clearly takes as its starting point the expert analysis and advice submitted to the Swedish government in recent years. In the government’s latest Long-Term noted for example that investments in rental apartments adversely affected by the market conditions today are inadequate.
We understand emellerti d that there is room for substantial reforms in Government’s housing calls. In negotiations with the Tenants’ Association and Sabo we chose to emphasize a proposal that is simple to implement and that the political conditions to agree. To allow a freer setting rents for newly built homes is limited but symbolically important reform to increase investments in more rental apartments, according to the reasoning in Långtidsutredningen. It would provide the opportunity for housing companies to develop housing with greater certainty about future income than what is offered today.
The reform does not affect existing tenants and can be combined with a continued strong consumer protection. Without strong consumer protection would leasehold attractiveness compromised and such development is advocated therefore no owner.
When the other parties on the rental housing market is not showing any interest in discussing effective reform is not meaningful to continue negotiating. That is why we now announce the negotiation leader and government that we leave party talks.
The possibility of the Government’s housing conversation discuss solutions involving a third of the Swedish housing market has been limited by the negotiations, we are now leaving. Our decision will therefore give political parties more scope to discuss reforms to the rental housing market that really matter to the stated objectives.
Reinhold Lennebo
The president of Property Owners, Sweden
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