XN000022-1973-06-06 — Page 4

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Wednesday, June 6, 1973

The new law applies only to existing tenancies and does not

affect lettings of vacant premises or new premises. These will be

subject only to the Tenancy (Notice of Termination) Ordinance, under

which a landlord must give six months' notice when seeking possession.

Tenancies coming within the existing rent control ordinance

will continue under such controls until the introduction of the proposed

longer-term measures.

This means that tenants will still have the security of tenure

provided by the Rent Increases (Domestic Premises) Control Ordinance,

but landlords will be able to obtain the increases in rent provided for

in this Ordinance, (i.e. a "fair increase" having regard to the "norm" of

15 per cont, or the five per cent increase provided for in the 1972 amendment).

These increases provide security of tenure and protection against

further increases for a period of either two years or one year respectively,

from the date the increase takes effect. The new legislation takes this

into account.

Longer Term Measures

Meanwhile, comprehensive longer-term measures are now being drafted

and it is hoped to introduce a Bill into the Legislative Council next month.

The Bill will not, however, be implemented until later this year.

It is intended that the proposed measures will apply to all post-war

domestic premises which are in existence when the Bill comes into force.

/However,