Housing support: – Insane

On Tuesday, the Storting will consider the government’s proposal on crisis packages totaling NOK 16.3 billion in connection with the covid-19 epidemic. There, Red leader Bjørnar Moxnes will put forward a proposal to prevent compensation for housing sharks, he tells Børsen.

This happens after that NRK last week spoke with a major tenant in Oslo, who stated that landlords do not reduce the rental price to get money through the compensation scheme for business. Minister of Trade and Industry Iselin Nybø (V) confirmed that the scheme also applies to housing investors.

– It is completely insane, and it is provocative use of community funds. One almost has to be a minister for the Liberal Party to think that it is a good idea for the state’s crisis packages to pay housing barons to leave apartments empty, says Red leader Moxnes to Børsen and continues:

– Everyone shakes their heads at Iselin Nybø’s attempt to defend this.

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Nybø answers

The compensation scheme for the business community ensures that players are reimbursed part of the fixed costs if they have a corona-related turnover loss of more than 30 per cent.

– This is a scheme that will affect all industries that are experiencing a large fall in corona-related turnover. The compensation scheme has objective conditions for receiving support; which is necessary to process the thousands of applications that come. This is how the business community gets the money quickly, says Minister of Trade and Industry Nybø to Børsen and continues:

– We can not have a number of special rules and discretionary conditions for different industries in such a scheme.

Red’s proposal

Here are Rødt’s two proposals, which they will present to the Storting on Tuesday.

  • “The Storting asks the government to ensure that the compensation scheme for the business community does not provide support to companies that engage in property rental and leave rental apartments empty, rather than renting them out at a reduced price.”
  • “The Storting asks the government to use the Rent Act § 4-6 to set maximum rates for certain tenancies to a 20 per cent reduction from the level on 1 March 2021, for rental companies and landlords with more than 2 secondary residences.”

The proposals

On Tuesday, Moxnes will put forward a proposal that the Storting should ask the government to ensure that the compensation scheme for the business community does not provide support to companies that engage in property rental and leave rental apartments empty, rather than renting at a reduced price.

– This is met with rage in the population, and with good reason. Now it is important that the Storting takes action, and that is the reason why we are now promoting this proposal, says Moxnes and says that he expects support:

I register that Støre has meant that something must be done, and hope it’s more than just empty words. I expect Sp and SV to support it, then it is a little more uncertain with Frp and Ap.

Moxnes will also publish that the Storting should ask the government to use the Rent Act to set a maximum rent for certain tenancies. This is as a result of the unemployment crisis that Norway is in, and Moxnes believes that the proposal will function as a “helping hand to people with bad advice”.

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Ap enig

Housing policy spokesperson Siri Gåsemyr Staalesen in the Labor Party tells Børsen that she believes that abuse of compensation schemes must be followed up, and that leaving apartments empty despite the fact that they could have been rented out is such an utilization that must be discouraged.

– The most important thing now is that the Minister takes action. Iselin Nybø must understand the unreasonableness of rich people becoming richer at the same time as ordinary people’s confidence in us managing the community’s funds is weakening. The Minister must clean up the loopholes that have been uncovered here as soon as possible, says Gåsemyr Staalesen to Børsen and continues:

– We do not want to make the schemes narrower. Our criticism is that the government does not close loopholes, a broad compensation scheme is correct, as long as the support paid goes to what was the purpose of the scheme.

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– What’s next?

Minister of Trade and Industry Nybø tells Børsen that she believes that these comments from the Red and the Labor Party are a disclaimer.

– The Storting has voted for a compensation scheme that applies to the entire business community, they have even both increased it and extended it. Now they have found some businesses they do not like, and these will now be deprived of compensation. What’s next? Should the factory owner have to sell his machine to get support? Or those who arrange whale watching, will they have to sell the boat? says Nybø and continues:

– That Rødt promotes such a proposal is not surprising. They have never had a heart for business.

Labor leader Jonas Gahr Støre was in one interview with Dagbladet on Saturday confronted with the fact that it was the Storting itself that adopted the scheme.

– We adopted a broad scheme that would have a quick effect, but everyone was aware that experiences along the way would require adjustments. This is such an experience. It is the government’s task to adjust the scheme, Støre said.

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