Enforce rent control act; rent assistance scheme not necessary

National Democratic Congress’ candidate for Ayawaso West Wuogon, John Dumelo has said that the National Rent Assistance Scheme promised by the New Patriotic Party (NPP) in their 2020 manifesto, is dead on arrival.

He rather suggested that the rent control law be enforced to put citizens on a 6-month pay plan instead of the ongoing two to three years.

In a tweet, Dumelo noted that enforcing this law saves the nation a great deal of money.

“The establishment of the National Rent Assistance Scheme is dead on arrival. Why not enforce the rent control act 220 so citizens pay 6 months rent advance instead of 2-3years being charged? Enforce the law and save money, simple,” he said in a tweet.

The Vice President, Dr Mahamudu Bawumia announced during the launch of the Party’s manifesto in the Central Region on August 22, 2020, that the New Patriotic Party will provide assistance to the youth to rent decent homes through the form of loans.

“There are lots of youth who when they finish school, to rent accommodation is a big problem especially because of the demand for rent allowance sometimes up to two years demand. But someone who just finished school and is starting a job doesn’t have that savings to pay all these huge demands for rent allowance…There is a market failure…This is why the government has decided to come in and bridge this market failure by setting up a National Rental Assistance Scheme,” he said.

Dr Bawumia added that the scheme will serve people in formal employment and people will be required to provide guarantors to access the support from the scheme.

“Under this scheme, if you have a job and we can deduct regularly from your income under this scheme, the National Rent Assistance scheme will give you a loan to pay your rent allowance but it is to the landlord. You need to have formal employment.”

“We are going to be putting in place a GH¢100 million for the National Rental Assistance scheme and work with the private sector to crowd in more [funds] so that we can get this done and relieve a lot of people who are renting of the burden,” he further said.

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