Policy change gives Manitoba renters a break from proposed hikes

A call from Premier Wab Kinew’s office reduced Aidan Wilson to tears Monday after learning tenants of a West Broadway apartment no longer face hundreds of dollars in rent increases next month.

“It’s been a lot to deal with, it’s a lot to push for, and it’s a lot to speak up. All of these emotions just kind of came flooding out,” Wilson, who lives in the building, said Tuesday afternoon at a news conference alongside Kinew.

The premier announced that renters facing massive hikes on Nov. 1 — some exceeding 100 per cent — will no longer be forced to pay the increases before they are approved by the Residential Tenancies Branch, following a policy change announced by the province.

The move comes after tenants at eight Winnipeg apartment buildings owned by Alberta-based Wingspan Properties pushed back against proposed rent increases of between 54 and 125 per cent, arguing they should have the opportunity to challenge the hikes before being required to pay them.

“We recently passed legislation in the House to make sure life will be more affordable,” Kinew said. “But today we’re also announcing a few steps that take things a bit further, to balance things back in the direction of renters, of tenants, of people who work hard in Manitoba and just need a little bit of help in this cost of living crisis we are all facing.”

Kinew also announced the province is increasing the Renters Affordability Tax credit to $675 and issuing cheques to Manitobans, adding the changes ensure renters receive the benefit upfront throughout the year.

Dozens of renters protested outside Kinew’s constituency office last month, demanding provincial intervention as some of the disputed increases were set to take effect Nov. 1.

At the heart of the dispute was a Residential Tenancies Branch policy requiring tenants to pay a higher rent sought by their landlord while an application for an above-guideline increase was being considered.

Tenant advocates argued the practice could leave renters paying hundreds of dollars more each month while waiting for a decision, potentially forcing some from their homes before they had a chance to challenge the increase.

Tenants also questioned whether the proposed hikes reflected legitimate capital expenditures or increased operating costs that would justify exceeding Manitoba’s annual rent guideline, set at 1.8 per cent for 2026 and three per cent for 2027.

Landlords can apply to the Residential Tenancies Branch for permission to exceed the annual guideline based on several factors, including major capital expenditures and rising operating costs. The Wingspan buildings were not covered by other exemptions to rent controls, including those based on building age or monthly rent thresholds (set at $1,675 per month, and increasing to $2,000 per month on Jan. 1, 2027).

In addition to preventing landlords from collecting unapproved increases, the province announced it will reduce the amount of eligible capital expenditures that can be claimed toward an above-guideline increase by 40 per cent, rather than the 50 per cent reduction previously proposed.

The changes follow mounting pressure on the NDP government to strengthen rent protections.

When previously pressed on whether the province would intervene, Kinew pointed to Bill 13, the Residential Tenancies Amendment Act, which he said was being held up by the opposition Progressive Conservatives. He accused the Tories of delaying the legislation in hopes of securing political donations from landlords and their representatives.

The Conservatives rejected the allegation, saying changes to rent regulations did not require the act to pass in the legislature.

Fifty organizations signed an open letter urging the province to halt the disputed increases, warning that some tenants could be forced from their homes.

Several renters who spoke to the Free Press at the time said they lived on fixed incomes and feared the proposed increases would leave them unable to afford their apartments, potentially putting them at risk of homelessness.

The letter also called on Kinew to fulfil a 2023 election promise to limit landlords’ ability to seek above-guideline increases and urged the government to make regulatory changes that did not require new legislation.

Members of the West Broadway Tenants Committee also met with Public Service Delivery Minister Mintu Sandhu to press for changes.

scott.billeck@winnipegfreepress.com