In response to the article entitled ‘PM warns of rental market regulation if market “does not work”’ (January 25), I would like to point out that the real estate industry operates as a free market, where prices are determined by the forces of supply and demand.

In recent years, the government’s incentives have helped to boost the Maltese economy, leading to today’s healthy situation. Therefore, introducing regulation in the property rental market would be contradictory, especially in view of the government’s incentives.

Such action may lead to a collapse of the system because interfering in the free market is a slippery slope fraught with risk.

The way the market functions is according to the relationship between supply and demand, with the landlord on the supply side providing property to let which is highly in demand at the moment. As people with an entrepreneurial spirit, they have chosen to take a risk and invest in the rental market. These are the actions that keep our economy going strong. The free market must be allowed to function.

The real estate industry as a whole is desperately awaiting long-promised regulation to enforce ethical standards of professional behaviour. Dhalia has always acted in favour of the client’s interests. We look forward to a more fair industry where the well-being of the client is paramount.