6. Won’t the rental reforms you suggest lead to a reduction in property being built and a lack of rental accommodation?

6. Won’t the rental reforms you suggest lead to a reduction in property being built and a lack of rental accommodation?

Answer

The market will decide the demand and supply. This certainly hasn’t been the case in Germany which is the model being advocated here. In fact 60% of people there live in rental accommodation – as opposed to 30% here. There is no suggestion of any permanent disequilibrium.