Abstract

ABSTRACT In the Netherlands 95 per cent of all rents are regulated. The Housing Minister announced in her Rental Letter of November 2004 that this would be reduced to 75 per cent. At the same time she wants the housing associations to contribute €250 million a year to the increasing public expenditure on housing allowances and she wants the social and commercial landlords to invest more in new rented accommodations. This paper describes the content and background of the Rental Letter and analyses its policy proposals. It deals with the debates between the Housing Minister and parliament on rent policy and it indicates the pros and cons of the Rental Letter. We conclude that, as a result of the Rental Letter and some additional policy developments, the Dutch social rented sector (with a current market share of 36 per cent) is now under fire.

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