Can a tenant refuse a rent increase?
- Property Protect
- Mar 23
- 3 min read
Can a Tenant Refuse a Rent Increase in South Africa?
Rent increases are one of the most common sources of conflict between landlords and tenants in South Africa. While many tenants assume they can simply refuse an increase, the legal position depends on the lease agreement, the law and the relative negotiating power between the parties.
The Starting Point: What Does the Lease Say?
The lease agreement is a contract and is the primary document governing the relationship between landlord and tenant. Whether a tenant can refuse a rent increase depends first on whether the contract allows for it.
If the lease contains a clause providing for an increase, e.g. a fixed annual percentage or a scheduled escalation, then the landlord is entitled to implement that increase as agreed. In such cases, the tenant cannot lawfully refuse, because they have already consented to the increase when signing the lease. A refusal by the tenant in this case would constitute a breach of contract which may entitle the landlord to cancel the lease and evict the tenant. Every well-written lease should make provision for at least an annual increase to compensate for inflation.
However, where the lease is silent on increases, the position changes significantly. Under the Consumer Protection Act (CPA), a landlord may not increase rent during the fixed term of a lease unless the agreement expressly allows for it.
This means:
If there is no escalation clause, the rent must remain unchanged for the full duration of the lease.
Any attempt to impose an increase during this period is unlawful.
In such circumstances, a tenant is fully entitled to refuse the increase and continue paying the agreed rental.
Month-to-Month and Renewal Situations
Once a fixed-term lease expires, the situation shifts.
If the tenant remains in occupation on a month-to-month basis, or if the parties are negotiating a renewal, the landlord may propose a new rental amount. However:
Proper notice must be given (typically at least one month in writing).
The increase must be reasonable and aligned with market conditions.
A tenant can refuse the proposed increase—but this usually means the landlord may choose not to continue the lease. In other words, refusal may lead to termination rather than continuation at the old rental.
Every well-written lease should make provision for at least an annual increase to compensate for inflation.
When Is a Rent Increase Unlawful?
South African courts and legal practitioners generally consider a rent increase unlawful if it is:
Not authorised by the lease agreement
Implemented without proper notice
Excessive or not market-related
Arbitrary or unfair
The Rental Housing Act reinforces that rental terms must be fair and not unilaterally imposed.
If any of these factors are present, a tenant may legitimately refuse to pay the increased amount.
Can a Tenant Simply Pay the Old Rent?
This is where tenants often make a mistake.
Even if a tenant disputes an increase, they cannot arbitrarily decide to underpay rent where the increase is lawful. Failure to pay the full amount due under a valid lease may constitute breach and expose the tenant to eviction proceedings.
How can I get Property Protect at net zero cost?
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The above information is for illustrative purposes only and does not take into account your specific circumstances. It therefore does not constitute legal or financial advice. Please contact us for comprehensive advice to address your circumstances. Under no circumstances should any person use the above information in an attempt to circumvent the provisions of legislation or contract, or to cause damage to any other person. Always ensure you and your company are in compliance with the law in all dealings. This information is accurate as of the date of publication. Property Protect is not insurance and does not pay out any claim amount. It is a Value-Added Service (VAS) provided at a discount, directly from our law firm. © 2026 Maybery Attorneys Inc. All rights reserved.
