The TAL simplifies the rent increase calculation method
- Alex Rinaldoni
- 4 hours ago
- 2 min read
Since January 1, 2026, the TAL has changed its way of calculating rent increases, simplifying the method and changing the criteria for setting them.
The new system is designed to be easier to understand and apply. The basic calculation is based on the average inflation over the last 3 years, rather than on multiple indices or complex formulas.
These new calculations apply to lease amendment notices received from January 1, 2026 onwards. The old method (more complex, with up to 12 criteria) continues to apply for notices sent before that date.
New calculation criteria
The 2026 calculation grid for the TAL is now based on 6 main elements:
Base rent : a standard indexation rate based on the evolution of inflation.
Capital expenditure (renovations) : a possible addition equivalent to 5% of the amount invested in the work carried out, amortized over 20 years.
Changes in municipal and school taxes : taking into account actual increases.
Variation in insurance premiums : taking into account actual increases.
Personalized services (where applicable) : an addition for services related to the person (for example in a senior living residence).
Other : consideration for all other criteria of the regulation deemed applicable according to the lease or the situation.
Rates proposed for 2026
According to the new calculation method, the TAL recommends an increase of 3.1%.
Renovations, taxes and insurance can be added to the recommended base rate up to a total of more than 3.1% depending on actual expenses.
Note that eligible renovation expenses are calculated at a fixed threshold of 5%.
How to use the calculation grid
These rates serve as a reference (recommendation) for cases where the parties' own calculation leads to a dispute submitted to the TAL.
Landlords and tenants can agree on amounts other than those suggested by the TAL.
If the parties cannot agree, the determination before the TAL will use the new grid based on these criteria and rates.
Some types of housing (e.g., social housing, cooperative housing, new or recently converted buildings) follow specific rules.
Summary in brief
Basic rent | ~ 3.1% for the period April 2, 2026 – April 1, 2027 (notice after January 1) |
Eligible renovation expenses | Up to 5% depending on actual amortized costs |
Taxes and insurance | Actual variation included |
Cases requiring notification before January 1, 2026 | Old method applied |