Rent-control reform plan approved by cabinet

13-07-2005

The Czech government has approved a bill that sees regulated rent rise dramatically as of October next year. In the bill, proposed by the ministry for regional development, rent is to be raised annually by an average of 9.3%. After a period of six years, in 2012, it will be left up to the flat owner and the tenant to come to an agreement over the future rent. If that should fail, a court will make the decision. An estimated 750,000 flats are rent-controlled in the Czech Republic.