The opposition has repeatedly spoken out on the issue of pre-1995 protected rents. It had to be the opposition that moved a sleeping government, against a backdrop of people ending up on the streets over the last seven years.

Now, the opposition set the agenda and the government had to act. They did not do it with conviction but because they know that the election is near and they cannot continue to see the numbers fall.

This government’s economic and social policies led to the escalation of the problem of protected rents in a short time. 

There are three main reasons for this.

First of all, the lack of social housing since 2013,  meaning we have not seen units or apartments being distributed to those individuals or families who are most in need or who do not have a suitable place to live.

The second factor is the increase in poverty, which has continued to rise with the situation of COVID-19, where you have individuals and families who are not coping with life and unable to find affordable rents.

The third factor is the large increase in rental prices, caused by the strong influx of foreign workers.

The government says there are about 10,000 families living in residences where they pay pre-June 1, 1995 rents. The government will be allocating €1 million in the first year to make up for the increases in rents, the amount that can be paid to owners reaching a maximum of two per cent of the property’s market value.

On the other hand, pensioners and recipients of social benefits will have their rent paid by the state, up to a maximum of €10,000.

In the case of those in full-time employment, the government will pay up to a maximum of 25 per cent of the rent.

For those in rents exceeding €10,000 per year, the state is expected to offer alternative accommodation.

From what the government has announced, there are aspects of this new policy that look good. But, in the case of pensioners and those on social benefits, there are still some doubts about how much of what is being promised can be fulfilled.

The amount of €1 million allocated for the first year is very low. So much so that, per capita, there will be an allocation of only €100,000.

One also wonders what will happen to those who work only part-time or are self-employed.

Undoubtedly, the biggest joke of the century is when one hears the government say that it will provide alternative housing.

I would like to remind you that, to this day, after eight years of a Labour government, not even one apartment for social housing purposes has been provided. Furthermore, what will happen if pensioners have children living with them? Will they also be entitled to live in the same house for a number of years? Will the landlord remain obliged to rent to them forever?

The biggest joke is when one hears the government say it will provide alternative housing- Ivan Bartolo

Is this justice for those owners who have children and who will end up themselves having to rent while their place is cheaply rented to others? Is that fair?

With the rent reform announced recently, the prime minister will be sending thousands of people to court and increasing the tension between the tenants and the owners of the properties. Everything will end up in front of the rent board. It remains to be seen how far the board will be able to cope with the number of cases it will have to hear.

Given what is being proposed, there is a real danger that, instead of incentivising a voluntary agreement (say, a negotiated solution between the landlord and the tenant), one would seek litigation and go to the board to obtain a legal solution.

We do not agree that people should end up in court but believe in an administrative process.

Several questions remain, however. For example, what happens if the board fails to make a decision for a number of years? And is there a way one can appeal these decisions?

What happens if there is no agreement with the board or on the architect’s estimate on the market value of the property? Why is legal aid only for tenants?

Above all, did consultations take place? It is certain that no one ever spoke to us, the opposition, despite the fact that we have raised this subject in parliament several times. While I am shocked by this behaviour, I do not expect better from such an arrogant government.

The Labour government continues to shed its responsibility in the face of a precarious situation in which thousands of Maltese and Gozitan families find themselves in, particularly the elderly, who are at risk of becoming homeless.

The government is also continuing to ignore the concerns of thousands of landlords who would like to enjoy their property as, indeed, they are entitled to.

The opposition has repeatedly called on the government to sit around the table and think of those Maltese owners who have been subjected to injustices over the years and move to put their minds at rest.

Ivan Bartolo is PN spokesperson on social accommodation and fight against poverty.