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Call for action against rising rents

Rents are set to rise


The Swiss Tenants' Association has called for immediate action from the government to dampen the impact of rising mortgage rates on rents.

In a letter, the Association said that rent rises of up to 11 per cent had already been announced in canton Zurich and there were indications that the upward trend would continue.

The Association is demanding that the legally permitted rent increases passed on from mortgage rises to tenants be halved. It added that a rise in the mortgage rate of 0.25 per cent would therefore translate into a rent increase of 1.5 per cent, instead of the 3 per cent allowed.

It added that the measure would be a step in the direction of the "Yes to fair rents" initiative and the government's indirect counter proposal for a revision of the law on rents. This foresees the uncoupling of rents from mortgage rises, with rents then being tied to the consumer price index.

Some 70 per cent of the Swiss population live in rented accommodation.

swissinfo with agencies

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