rime Minister Chris Hipkins has firmly ruled out a Green Party policy to introduce rent controls should a Labour coalition government be elected at October's general election.
On Sunday the Green Party said in its pre-election housing agenda, it would aim to introduce measures limiting annual rent increases by landlords, to a maximum of 3 per cent, in an effort to tackle affordability.
Hipkins asserted today the policy was not under consideration by Labour and would not be in the future.
"International experience suggests that rent controls actually really have a constraining effect on the number of rentals available," Hipkins argued.
"We're obviously always looking for ways that we can make life easier and better for renters but a rent control, which reduces the supply of rentals, isn't going to make life better for renters," he said.
San Francisco, New York, Berlin, Ontario, and states in several other countries have had rent controls for decades.
Research on the success of rent control policies does not provide uniform conclusions as to their success.
'Charging through the roof'
The Greens' 'Pledge to Renters' promises to introduce a Renters' Bill of Rights within the first 100 days of any new government.
"For decades, politicians have chosen to enable housing speculation that drives up prices, making home ownership an unattainable dream for more and more families," Green Party co-leader Marama Davidson said.
She called the current housing affordability crisis a "political choice".
"They have chosen to let landlords get away with charging through the roof for homes that literally leak through the roof," she said.
The Greens' policy means landlords would not be allowed to raise rents beyond the 3 per cent cap unless they have substantially improved the property.
Alongside the 'Pledge to Renters', the Greens introduced an income guarantee strategy to ensure no individual's income falls below $385 per week.
