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in the circumstances prevailing from time to time. It is earnestly to be hoped that concerns employing large clerical staffs will recognize that many of their employees are now compelled to pay increased rents in the absence of cheaper premises, and will adjust salaries or grant allowances to meet present conditions.
3. A scheme devised by a European company, which has had infinite trouble with its tenants as regards arrears of rent, defaults and excess consumption of water seems to us worthy of notice. A lease of a whole house has been granted to the occupant of one floor, who has deposited a lump sum by way of security with the company, which pays a small rate of interest on the deposit. The lessee is respon- sible for the payment of the rent of the whole house, and has collected contributions towards the deposit from the occupants of other floors. He is to collect propor- tionate shares of the total rent from the other occupants of floors, and is restricted by the terms of his agreement from profiteering. The other occupants signed an application to participate in the scheme before the lease was granted. It is a term in the lease that the lessee shall be responsible for rates and excess water charges. The company is willing to extend this scheme, and in return for its increased security will be satisfied with a lower rental than it would feel compelled to charge if a house were let on a monthly basis by floors. How far the scheme is enforceable in the absence of good faith on the part of the lessee is not free from doubt, but in so far as it proves workable it appears to us to deserve serious consideration by other landlords as a method of ending many of the difficulties of the present situation in tenement property.
4. Lastly, while we consider that landlords as a class have incurred much undeserved odium, we are well aware that there may be unscrupulous landlords who may take advantage of this Report to indulge in profiteering. Landlords should remember that in 1921 Government was forced most unwillingly to impose rent restriction, and that they or their predecessors found it a great burden. We recom- mend a public statement that Government sees no reason at present to impose restriction, but is carefully watching the situation, and will not hesitate, should future circumstances justify such a measure, to pass legislation restricting increases in rent which unduly benefit landlords.