B.C.'s maximum allowable rent increase to rise 2.6% in 2020

The maximum allowable annual rent increase for B.C. has been set at 2.6 per cent for 2020, markingthe secondyear under new provincial regulations that limit the increase to the cost of inflation.

Under the old rules, landlords couldraise rents by the cost of inflation plus twoper cent,but a provincial task force last year recommended eliminating the two per cent add-on.Cabinet accepted that recommendation on Sept. 26, 2018.

A statement from the province Thursday said the maximum allowable rent increase for 2020 would have been 4.6 per cent under the old regulations.

"Because of our changes and the removal of the fixed-term loophole, people will no longer face the unreasonablerenthikes that were allowed for years," Municipal Affairs and Housing Minister Selina Robinson said in the statement.

Landlords in B.C. can choose toincreaserents once a yearand must provide three months' notice, using a government-approved notice ofrentincreaseform.

In 2019, the B.C. Residential Tenancy Branch set the rate at 4.5 per cent 2.5 per cent for the cost of inflation plus two per cent which would have constituted thebiggest increase since 2004.

That was repealed nine days later when the government announced it would be changing the rules to drop the add-on, after public outcry from renters continuing tostrugglewith the sky-high cost of housing across the province.

The rate increase for 2019 was ultimately set at 2.5 per cent.