Should we extend the rent shield capping the rise in the IRL at +3.5%?, Actualité/Actu Immobilier

A bill aimed at extending the rent shield introduced by the law on the protection of purchasing power in the summer of 2022 will be examined this Wednesday evening by the National Assembly. The accelerated procedure was initiated on this text tabled by deputies of the presidential majority.

This rent shield consists of a temporary cap on the variation of the IRL (the rent reference index used to revise rents) to partly protect tenants from high levels of inflation. The rise in the IRL is thus capped at +3.5% since the third quarter of 2022 and until the second quarter of 2023.

Three additional quarters

While inflation is currently barely slowing, the bill suggests maintaining the shield until the first quarter of 2024, i.e. for three additional quarters. In the same way, the mechanism capping the index of commercial rents (ILC) for SMEs would be extended in the same way until the first quarter of 2024 to help small businesses.

Without these capping measures at +3.5%, the IRL for the first quarter of 2023 (the last published) would, for example, have seen an increase of 6.26% over one year. Its method of calculation based on the average of the last 12 months of the evolution of consumer prices (excluding tobacco and rents), means that the fall in inflation is only reflected with delay.

The FNAIM against this measure

Why would housing systematically serve as an adjustment variable in the government’s fight against inflation? asks the National Real Estate Federation. The FNAIM also recalls that the Minister of the Economy, Bruno Le Maire, had undertaken last summer that the duration of this shield would not exceed twelve months.

The renewal of the tariff shield on rents would undoubtedly prove to be good news for tenants. It would, on the other hand, be a particularly disastrous signal sent to donors. The latter have in fact been confronted, for several years now, with a framework and, in certain sectors, with a cap on rents “, denounces Loïc Cantin, president of the FNAIM.

Especially since the owners of rental housing are already faced with the sharp increase in property taxes (linked to inflation, moreover) and the increase in the cost of work in connection with the new obligations aimed at the most energy-intensive housing. . The FNAIM therefore asks that the rent shield not be renewed…

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