Rent controls will only hike prices further Labour's Housing Secretary has warned – in a clear slap down of the Chancellor's plot to lavish voters with more rent protections.

Steve Reed yesterday categorically ruled out freezing rents for a year, despite Rachel Reeves declining to reject the idea on Tuesday.

The Housing Secretary said he is 'crystal clear' the Government is 'not doing' a freeze for private tenants – explaining that when Scotland introduced rent controls 'it ended up with rents going up much higher, and the amount of homes that were available to rent going down'.

He added: 'It's not just Scotland, that's happened in other countries around the world as well.

'So we don't want to make life harder for renters.'

This comes after it emerged the Chancellor is considering a one-year rent freeze on private homes in a last-ditch attempt to claw back votes ahead of the local elections.

Under Treasury plans, the Government would ban landlords in England from raising rents for a year to ease the cost-of-living in the wake of the Iran war.

But Kemi Badenoch yesterday accused Labour ministers of trying to 'curry favour with left-wing backbenchers' through briefing out the policy.

She said: 'It is time the Prime Minister gives her an easier job, so will he listen to businesses, listen to the country, and reshuffle the Chancellor?'

And former Green Party co-leader Carla Denyer recognised the irony of Ms Reeves mulling over the policy ahead of the locals – where Labour could lose 1,600 seats in a best-case scenario according to recent analysis.

Ms Denyer said she 'can't help but notice' the Chancellor is 'choosing now, the week before the local elections, to 'consider' the idea.'

Reform UK deputy leader Richard Tice meanwhile said that a one-year rent freeze would be 'suicidal for Britain's rental market' and that 'Labour's sustained assault on the rental sector will be a catastrophe for renters.'

And this comes as new research reveals homeowners with mortgages will be worse affected by the Iran conflict than tenants – with renting now cheaper than paying off a mortgage for the first time in nearly a year.

Undermining the case for Ms Reeves' rent freeze, the analysis from lettings company Rightmove shows homeowners with new mortgages are actually paying off more per month than tenants are paying in rent due to higher mortgage rates.

With average rents across the UK sitting at £1,547 and new mortgage payments hitting £1,670, tenants are on average paying £123 less per month.

Mortgage holders in London and South-East see the biggest differences in the amount they pay compared to those renting.

And renting is cheaper than paying off a mortgage in more than two-thirds of local authorities, the research suggests.