Landlords cannot increase the rent for partition flat tenants more than 10 percent a year, according to the latest government proposal.
It is stricter than the previously suggested cap of 15 percent.
The government has earlier tabled a bill to the Legislative Council on rental control for partition flats, which included a cap on rental increase per year.
Many lawmakers and groups have criticized the cap of 15 percent to be too high, and demanded lowering it to 10 percent.
Their suggestion has been adopted, and the Transport and Housing Bureau told lawmakers today it will propose an amendment to lower the cap.
Under the same rental control plan, residents should be allowed to stay in the same partition flat for at least four years.