FAIR RENTS ACT

Wanganui Chronicle, Volume 79, Issue 144, 19 June 1936, Page 8

FAIR RENTS ACT

CRITICAL DISCUSSION EFFECT ON LANDLORDS WELLINGTON, June 18. A letter has bceu received by the W ciJiiigiG-n Chamber of Commerce from tue Asosciated cuambers of Commerce drawing attention to th 0 provisions of the Fair Rents Act I'uceiiLJy 1 passed by I’arliament. The Asosciateu ' Chambers’ executive, writing before the Bill was passed, stated: ••Tihis Bill > makes temporary provision until beptumber 3U, 193/, lor restricting increases in rents of dwelling-houses let at rentals not exceeding £L!IU per an- , num. Magistrates are tu fix tue ‘fair rent.’ ” Mr. M. G. McCaul, speaking at a meeting of th-e council of the Av eilingtuu chamber last night, said fie thought members could take a broad view uu a question of this nature. Experience snowed tnat such action resulted in restriction of building. Mr. R. 11. Niinmo said it was unfur tun ate that the act had already been passed by the House and Wat there uad been no opportunity of making representations lo Parliament un the matter. He must confess that he was surprised at the term “lair rents.” lie approved of action being taken lo protect tenants from victimisation, but tihis Act seemed designed for one purpose only. Very little consideration was given to the landlords; and, indeed, from the information he had gathered, the measure hit hardest the landlords who had been must generous to tenants, lieading the pm \ isio-ns oi the Bill, one would almost think that landlords had been qualifying as a bunch of Shylocks. He was credibly informed that landlorUs had voluntarily reduced rents, many to the extent of 5b per cent. The measure meant that un the date specified the generous landlord would have to appear before a magistrate in reference to the rent charged. The average landlord did not want to have to do that, and would rather face loss. As Mr. McCaul had said, the new legislation would discourage building, Mr. Niniino added. Under the provisions of th-e Act, rents would be arbitrarily fixed; there would be no right of appeal. He though it was a very unfair law. The Act appeared to be the very antithesis of its title, and the measure was passed through Parliament with undue haste. He suggested that in order to get uniformity, if the Government valuation was taken as a basis plus 10 per cent., there would bo something definite to go on. It was agreed that a letter be sent to the Associated Chambers of Commerce stating the views which had been expressed by members of the council of the chamber.