In a report published this week, the committee has made  13 recommendations set to shape the future of housing in the country.

The committee urged the Welsh Government to ease the pressure on tenants facing a no-fault eviction by looking into a proposal where landlords would give renters the last two months’ rent of their tenancy as compensation.

The Welsh Government told the committee that outright banning no-fault evictions would contravene human rights laws and that the existing six-month warning a landlord must give a tenant means that Wales currently has the toughest protections for tenants in the UK.

The committee told the Welsh Government that by April 2025 they should publish their reasoning on whether two-month rent compensation for those facing eviction is feasible.

With a law banning no-fault evictions currently making its way through the House of Commons, the committee called on the Welsh Government to monitor the situation in England to ensure that tenants in Wales don’t end up worse off.

The report also found widespread discrimination against people on benefits by landlords.

Elsewhere, the report found that finding an acceptable guarantor is a severe issue for many people leaving care, or for refugees and people who have moved to Wales from outside the UK.

The committee has called for the Welsh Government to regulate the sector to remove these types of financial and bureaucratic barriers that tenants face.

During its inquiry, the committee said it heard evidence of discrimination by landlords of potential tenants including those with pets.

The Welsh Government has also been urged to launch a myth-busting campaign with landlords to eliminate discrimination against pet owners.

Many landlords fear that allowing pets in their property increases the risk of damage, but the committee was told that polling shows around three-quarters of landlords who allow pets reported no issues at the end of the tenancy.

Evidence given to the committee also outlined how landlords could make more money renting to pet owners as they are likely to stay in a property longer.

The committee heard that reducing discrimination against pet owners would stop people having to choose between giving their pets away or turning down accommodation.

Chair of the Local Government and Housing Committee, John Griffiths, said: “Having a safe place to call home is a fundamental part of people being able to live happy, healthy and fulfilling lives, regardless of whether that home is owned or rented.

“Unfortunately, this committee heard far too much evidence of people unable to find a stable home because they were on benefits, couldn’t afford huge up front deposits or had a pet. This discrimination, and the many other barriers in people’s way, must be addressed as soon as possible.

“And despite rules making no-fault evictions harder than they used to be, we know that many people are still living with the possibility of eviction hanging over their heads.

“The private rented sector has to work for both tenants and landlords. This is why we’re urging the Welsh Government to implement our recommendations so that high-quality, affordable homes are available to all.”

A Welsh Government spokesperson said: “Ensuring everyone in Wales has a decent, affordable and safe place to call home is one of our key ambitions and we will be publishing our White Paper on Adequate Housing, Fair Rents and Affordability this month.

“We are grateful to the committee for its report and will be considering the findings and recommendations carefully.”