“Shock when the increase comes”: Greens call for state intervention in index rents linked to inflation

In view of the sharp rise in the cost of living, the Greens in the Bundestag have spoken out in favor of state intervention in so-called index rents. The amount is linked to the development of inflation.

“Index rents are an issue that we need to address. Inflation has risen so much that it will be a shock for many tenants when the increase comes,” said parliamentary group leader Katharina Dröge to the newspapers of the Funke media group (Monday editions). It needs a solution.

The German Tenants’ Association recently complained about a drastic increase in index-linked rental contracts. According to a study he initiated in six major cities, on average every third new lease last year was linked to inflation.

The association called for a ban on such new contracts and advocated the introduction of a cap on existing contracts, i.e. a kind of cap.

Dröge made a similar statement with regard to possible countermeasures. “That can mean, for example, that existing index leases are capped and new ones are regulated more tightly,” she said.

These steps went beyond the plans laid down with the SPD and FDP in the traffic light coalition agreement.

“But we have to discuss with the coalition partners how we can regulate index rents,” added the leader of the Greens parliamentary group. (AFP)

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