The new Land and Buildings Transaction Tax (LBTT) has caused Scottish rent prices to surge to a record high, it has been announced.

According to the latest Scotland Buy-to-Let Index from Your Move, average rent prices rose 1.3% month-on-month in April, with the average rate now at £549.

Both Edinburgh and the Lothian regions have seen the biggest increase, with rents up 12% (£69) year-on-year.

Brian Moran, Lettings Director at Your Move Scotland, said the LBTT surcharge has dissuaded landlords from investing in the sector and led to a shortage of homes to rent.

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"With the limited supply of rental properties, potential tenants have been forced to compete to secure homes, pushing up rents," he said.

"The introduction of this anti-landlord legislation from Holyrood has ensured the cost of the policy has hit tenants hardest."

"Since the SNP came to power five years ago, monthly rents have increased by an average of £40. However, the rent control policy in the Scottish Government's private tenancies bill will only treat the symptoms, not the cause of rising rents.

"The Government needs to look at incentivising landlords to increase the supply of rental properties in Scotland. With more homes available to rent, tenants wouldn't need to compete for properties and rents would be more affordable."

(LM/MH)