BC Rent Increase Limit 2026: The Cap Is 2.3%, and How Increases Work

This article is general information, not legal advice. Verify against the BC Residential Tenancy Branch's current guidance for your situation.

British Columbia caps how much a landlord can raise the rent each year for an existing tenant. For 2026, the maximum allowable rent increase is 2.3%. That is down from 3.0% in 2025 and 3.5% in 2024, reflecting cooling inflation. Here is how the rule works, for landlords planning an increase and tenants checking one.

Where the 2.3% comes from

The cap is set each year by the provincial government and administered by the Residential Tenancy Branch (RTB). Since 2018 it has been tied to inflation alone: the 12-month average change in British Columbia's Consumer Price Index, ending in July of the year before the increase takes effect. There is no longer a "CPI plus 2%" formula. The 2.3% figure for 2026 is simply that inflation measure.

The rules for raising rent in BC

• Once every 12 months. You can raise an existing tenant's rent only once per year, and not within the first 12 months of the tenancy.
• Three full months' written notice, given on the approved RTB form (the Notice of Rent Increase, form RTB-7). An increase served with less notice, or on the wrong form, is not valid.
• Only up to the cap. For 2026 that is 2.3%. You cannot exceed it just because your own costs (including utilities you bundle into the rent) went up.
• No rounding up. Calculate the exact dollar amount; do not round the increase upward.
• You cannot bank an increase. If you skip a year, or raise by less than the maximum, you cannot save the unused portion and add it later. Each year stands on its own.

A quick example

On rent of $2,000 a month, the 2026 cap of 2.3% works out to an increase of $46, taking the rent to $2,046, and only after three full months' written notice on the correct form.

Above the cap: two different things

There are limited ways rent can rise by more than the annual cap, and they work very differently.

By application to the RTB. A landlord can apply to the Residential Tenancy Branch for an Additional Rent Increase for Capital Expenditures (for eligible major repairs or improvements, amortized over ten years and capped at 3% above the annual increase per phase, over up to three phases) or an Additional Rent Increase for Expenses. These require an application and an arbitrator's approval; a landlord cannot simply decide to charge them.

Additional occupants (not an RTB application). A landlord can only raise the rent when an occupant moves in if the original tenancy agreement already contains a written term setting out the specific amount. There is no application and no arbitrator involved, and it cannot be applied for a minor (a person under 19). If the agreement has no such term, adding an occupant does not allow a rent increase.

The cap also does not apply to some tenancy types, including commercial tenancies, non-profit rent-geared-to-income housing, co-ops, and certain assisted-living situations.

For tenants

If you receive a rent increase, check three things: that it is no more than 2.3% for a 2026 increase, that it comes with three full months' notice on the RTB form, and that it has been at least 12 months since your last increase (or the start of your tenancy). If any of those is off, the increase may not be valid, and the RTB can help. Our overview of the BC Residential Tenancy Branch explains where to go.

Frequently asked questions

What is the maximum rent increase in BC for 2026? 2.3%. It was 3.0% in 2025 and 3.5% in 2024.

How much notice does a BC landlord have to give? Three full months, in writing, on the approved Residential Tenancy Branch form (RTB-7).

Can my landlord raise the rent more than once a year? No. Rent can be increased only once every 12 months, and not in the first year of the tenancy.

My landlord skipped last year. Can they add two increases now? No. Unused increases cannot be banked. Only the current year's allowable increase applies.

Can a landlord ever charge more than 2.3%? Only in limited ways: by applying to the RTB for an additional increase (for eligible capital expenditures or expenses, with an arbitrator's approval), or, when an occupant is added, if the tenancy agreement already sets out the amount in writing, and never for a minor.

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