XN000022-1980-01-30 — Page 3

WEDNESDAY, JANUARY 30, 1980

DEBATE ON RENT CONTROL BILL RESUMES

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FOURTEEN UNOFFICIAL LEGISLATIVE COUNCILLORS TODAY EXPRESSED THE IR VIEWS ON THE LANDLORD AND TENANT (CONSOLIDATION) (AMENDMENT) BILL 1980 AT THE RESUMED DEBATE OF THE BILL IN THE LEGISLATIVE COUNCIL.

MOST OF THEM SPOKE IN SUPPORT OF THE PROPOSED LEGISLATION AS A SHORT-TERM MEASURE TO CURB SPIRALLING RENT AND CALLED FOR LONG-TERM PLANS TO SOLVE THE HOUSING PROBLEM.

THE IR PROPOSALS RANGE FROM AN INCREASE IN LAND SUPPLY AND A REVIEW OF LAND POLICY TO MEASURES TO CURB PROPERTY SPECULATION AND THE SETTING UP OF A COMMITTEE TO FORMULATE LONG-TERM HOUSING PLANS.

THEY ALSO COMMENTED ON THE RENT CONTROL BILL ON THE PROVISIONS FOR A MAXIMUM 21 PER CENT RENT INCREASE IN

EVERY TWO YEARS AND THE RIGHT FOR THE LANDLORD TO REPOSSESS HIS FLAT.

STARTING OFF THE RESUMED DEBATE WAS THE SENIOR UNOFFICIAL COUNCILLOR, THE HON OSWALD CHEUNG.

THE HON OSWALD CHEUNG

MR CHEUNG SAID HE FOUND IT EXCEEDINGLY DIFFICULT, AS A LAWYER, TO ACCEPT THAT A GOVERNMENT SHOULD ACT DIFFERENTLY FROM THE PRIVATE SECTOR IN DEPARTING FROM THE TERMS OF A PROMISE.

+WE ARE ASKED TO EXTEND RENT CONTROLS TO PREMISES AS TO WHICH GOVERNMENT GAVE ASSURANCES THERE WOULD BE NO CONTROLS FOR FIVE YEARS FROM THE DATE THEY RECEIVED THEIR OCCUPATION PERMIT.

+ IT IS ARGUED THAT LEGISLATURES EVERY DAY OF THE WEEK CHANGE THE LAW AND AFFECT THE RIGHTS AND PROPERTIES OF CITIZENS.

+THAT IS PERFECTLY CORRECT, BUT, WITH GREAT RESPECT, THERE IS A SUBSTANTIAL DIFFERENCE BETWEEN MAKING CHANGES WHERE NO UNDERTAKING HAS BEEN GIVEN THAT THE STATUS QUO WOULD BE PRESERVED, AND OUR PRESENT SITUATION, HE SAID.

MR CHEUNG ACCEPTED THE REPRESENTATION MADE TO THE UNOFFICIALS THAT SURVEYS CARRIED OUT BY THE GOVERNMENT SHOWED THAT TENANTS OF SMALL AND MEDIUM FLATS WERE HAVING TO PAY A HIGHER PROPORTION OF THEIR EARNINGS TOWARDS RENT WHICH WOULD RESULT IN EXCESSIVE HARDSHIP.

STILL, HE SAID, THE FIGURES HAD TO BE VIEWED AGAINST GENERAL INFLATION, WHICH HAD REDUCED THE PURCHASING POWER OF THE DOLLAR TODAY TO 86 PER CENT OF WHAT IT WAS A YEAR AGO, AND A RAISE IN RENT BY 25 PER CENT, OR EVEN 30 PER CENT AFTER A TENANCY FOR TWO YEARS DOES NO MORE FOR THE OWNER THAN PRESERVE HIS PURCHASING POWER.+

HE AGREE

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