No 10 dismisses Reeves’s reported plan for freeze on private rents
Downing Street has dismissed the idea of a freeze on private sector rents even as Rachel Reeves left the door open to such a move, after the Guardian revealed the chancellor has been considering it as an option to cut the cost of living,A No 10 spokesperson said on Tuesday that freezing private sector rents was “not the approach we will be taking” after sources told the Guardian it was Reeves’s preferred solution for dealing with a spike in housing costs in the wake of the Iran war,They added: “We have no plans to implement this,Our focus remains on cutting bills and backing renters alongside lower energy prices,”Reeves, however, failed to rule out the idea when asked about it in the Commons, telling the Labour MP Yuan Yang: “I will do everything in my power and use every lever we have to bear down on the cost of living, including for people in the private rented sector.
”The chancellor was understood to have been considering imposing a one-year rent freeze on private sector landlords as part of a package of measures later this year to help households deal with the fallout from the conflict in the Middle East.The freeze would exclude newly built properties, however, in an attempt to encourage housebuilding.The measure would mark a significant reversal for Reeves, who resisted a proposal to include rent controls as part of Labour’s renters’ rights reforms, which come into force on Friday.The news sent shares tumbling in some of the UK’s biggest buy-to-let lenders, such as Paragon and One Savings Bank, but was welcomed by some Labour MPs, who believe the party needs to consider radical ideas to bring down the cost of living.Economists say the UK will be hit harder than any other developed country by inflation resulting from the Iran war, which has closed shipping lanes and sent the price of oil soaring.
Experts say a freeze is likely to bring down rents on properties to which it applies, but push rents for unregulated properties higher.They warn it would also reduce the overall supply of rental properties – something that could undermine Labour’s promise to build 1.5m homes during this parliament.Konstantin Kholodilin, a researcher at the German Institute of Economic Research, said: “Studies show that controlled rents tend to fall on average by 9.4% but, during that period, those which are not controlled in the same area or nearby rise on average 5% faster than they would have done otherwise.
”While renters’ rights groups welcomed the idea, Labour MPs appeared divided on the subject.Yang, a former economist, asked Reeves in the Commons: “Will the chancellor examine the case for a fixed-term rent freeze in the private rented sector to protect renters like my constituent from rising costs following the invasion of Iran, and to bring inflation down in the wider economy?”Dan Carden, head of the economically leftwing but socially conservative Blue Labour movement, said on X: “I REALLY welcome @RachelReevesMP considering a temporary rent freeze in response to the ongoing hike in living costs.“It can and should include piloting a more substantial LABOUR RENT CONTROL system that is long-term, devolved and targeted through local government and local valuation offices.”The idea prompted a backlash from some MPs who have previously been staunch defenders of the chancellor.Chris Curtis, head of the Labour Growth Group, said: “Rent controls are a dead end.
It’s basic arithmetic, if we want lower costs, we need enough homes for everyone,You can only fix that by building enough bloody houses,”
Starmer sees off major Labour rebellion over call for Mandelson inquiry
Keir Starmer has seen off a major Labour rebellion over a bid to force a parliamentary investigation into his appointment of Peter Mandelson, but many of his own MPs warned he was running out of political capital.After Downing Street deployed its full weight to force Labour MPs to block a referral to the privileges committee over the scandal, some angrily accused Starmer of leaving them facing accusations of a “cover-up”.Previously loyal MPs warned the prime minister to tread carefully, particularly after what are expected to be a damaging set of election results for Labour next week.“He’s in the last-chance saloon and the last few days haven’t improved his prospects of survival,” one minister said, while another added: “Keir only has so much credit in the bank with the backbenches now, so he needs to spend it wisely.”On a day of high jeopardy on Tuesday, Starmer’s former chief of staff, Morgan McSweeney, and the Foreign Office’s former permanent secretary, Sir Philip Barton, prompted yet more questions over how much pressure had been put on officials to accelerate Mandelson’s posting to Washington
Starmer buys some time – but he could be running out of political capital
Keir Starmer deployed the entire Labour machine – cabinet ministers, whips, even Gordon Brown – to shore up his support ahead of what was set to be a critical day for his premiership on Tuesday. And it worked.Labour MPs trooped dutifully through the voting lobbies to block Conservative attempts to refer him to the privileges committee – a process that would have dragged out the Peter Mandelson row and been a painful reminder of Starmer’s original sin of appointing the former Labour spin doctor and minister as his man in Washington.It is not the first time the prime minister’s senior team has come to his rescue. In February, his cabinet rallied round to see off an immediate challenge to his position from Anas Sarwar, Labour’s leader in Scotland
No 10 dismisses Reeves’s reported plan for freeze on private rents
Downing Street has dismissed the idea of a freeze on private sector rents even as Rachel Reeves left the door open to such a move, after the Guardian revealed the chancellor has been considering it as an option to cut the cost of living.A No 10 spokesperson said on Tuesday that freezing private sector rents was “not the approach we will be taking” after sources told the Guardian it was Reeves’s preferred solution for dealing with a spike in housing costs in the wake of the Iran war.They added: “We have no plans to implement this. Our focus remains on cutting bills and backing renters alongside lower energy prices.”Reeves, however, failed to rule out the idea when asked about it in the Commons, telling the Labour MP Yuan Yang: “I will do everything in my power and use every lever we have to bear down on the cost of living, including for people in the private rented sector
UK politics: Starmer avoids privileges committee inquiry into vetting of Peter Mandelson – as it happened
MPs voted 335-223 against the motion, meaning the government won by a majority of 112.Keir Starmer saw off an opposition bid to refer him to a standards committee over Peter Mandelson’s appointment. The government won the vote by 335 votes to 223, a majority of 112.Peers have ended their stand-off with MPs over plans to curb social media for under-16s after the government agreed to introduce “age or functionality restrictions”.After the Guardian’s story that the Treasury is considering imposing a one-year rent freeze on private sector homes to deal with the impact of the Iran war on household budgets, the PM’s spokesperson said: “We have no plans to implement this
Drop the ‘toxic hot potato’: what Barton and McSweeney really revealed about the Mandelson scandal
The latest two witnesses to testify to parliament over Peter Mandelson’s appointment had plenty to offer headline writers. “A toxic hot potato” was how Philip Barton, the former top civil servant in the Foreign Office, described Mandelson’s links with Jeffrey Epstein, a view he would have shared with Downing Street if only he had been asked.“A knife through my soul” was how Morgan McSweeney, the prime minister’s former chief adviser, described the moment he found out the true nature of Mandelson’s relationship with the convicted child sex offender.But the most interesting parts of both men’s evidence on Tuesday were those that addressed the question at the core of the scandal: was the Foreign Office’s decision to grant Mandelson security clearance against the advice of the vetting agency influenced by pressure from Downing Street?Both Barton and McSweeney agreed there was pressure put on the department over Mandelson’s security vetting. Both, however, maintained it had no bearing on the decision in late January 2025 to grant Mandelson clearance
Shabana Mahmood’s frustration with immigration debate is understandable | Letter
Zoe Williams criticises Shabana Mahmood’s recent language as showing “contempt for the values of her own party”, but I disagree (Shabana Mahmood’s expletive was shocking. But not for the reason you think, 23 April). In today’s polarised climate, too many on the progressive side treat any divergence on issues like immigration as indistinguishable from Reform UK. That simply isn’t true.Mahmood’s language may have been coarse, but her frustration is understandable
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