Homes (Fitness for Human Habitation and Liability for Housing Standards) Bill
(Limited Text - Ministerial Extracts only)
Read Full debateWednesday 20th June 2018
(6 years, 5 months ago)
Public Bill CommitteesHomes (Fitness for Human Habitation) Act 2018 Read Hansard Text Amendment Paper: Public Bill Committee Amendments as at 20 June 2018 - (20 Jun 2018)
This text is a record of ministerial contributions to a debate held as part of the Homes (Fitness for Human Habitation) Act 2018 passage through Parliament.
In 1993, the House of Lords Pepper vs. Hart decision provided that statements made by Government Ministers may be taken as illustrative of legislative intent as to the interpretation of law.
This extract highlights statements made by Government Ministers along with contextual remarks by other members. The full debate can be read here
This information is provided by Parallel Parliament and does not comprise part of the offical record
Ms Buck
It is a pleasure to serve under your chairmanship this morning, Mr Wilson. I am very grateful to the Minister and to everyone who spoke on Second Reading and who has agreed to serve on this Committee.
The first group of amendments are broadly technical. With your permission, Mr Wilson, I will spend a minute or two setting them in the context of the Bill. I hope that that means we will not have to spend time later on clause stand part.
Clause 1 is, in effect, the Bill. It would amend the Landlord and Tenant Act 1985 to ensure that homes are required to be in a condition that is fit for human habitation at the beginning of the tenancy and throughout the tenancy. Landlords are not currently required to ensure that the properties they rent out are free of potentially harmful hazards. There are statutory obligations on most landlords to keep in repair the structure and exterior of their properties and to repair installations for the supply of water, heating, sanitation and so forth. However, provisions requiring landlords to ensure that their properties are fit for human habitation have ceased to have effect over the past half century as a result of the annual rent limits, which have not been updated.
This short Bill would amend the 1985 Act to require that residential rented accommodation is provided and maintained in a state of fitness for human habitation. There is to be an implied covenant in a lease that a landlord must ensure that their property is fit at the beginning of the tenancy and for its duration. Where a landlord fails to do so, the tenant would have the right to take action in the courts for breach of contract on the grounds that the property is unfit for human habitation.
Currently, tenants must rely on local authority environmental health departments to enforce against bad landlords on their behalf. As I found in my research with Dr Stephen Battersby, and as Generation Rent confirmed this weekend in its research, enforcement is wholly inadequate to the task almost everywhere, and non-existent in some places. If the tenancy is with the local authority, the position is even more restricted, since environmental health departments cannot enforce against themselves.
Despite a long-term improvement in housing conditions over recent years, around 1 million properties remain in such a state that they represent a serious hazard to health. That affects about 3 million people who are overwhelmingly the most vulnerable and deserve our protection.
The Bill would do three things: it would ensure that any home has to be fit for the tenant to live in; it would update the fitness standards; and it would apply the legislation to local authority housing as well as to other forms of rented housing. It would do so by replacing section 8 of the Landlord and Tenant Act 1985 in its entirety for England. The proposed new sections in the Bill set out the implied covenant regarding fitness, the various exemptions and the leases to which the implied covenant applies.
There are two groups of amendments to clause 1, the first being largely technical. Amendments 1 and 2 and 9 to 13 address the position of Wales. The Bill extends to tenancies in England only. Housing is a devolved matter and section 8 is a matter for the Welsh Government in Wales. Until any changes are made, sections 8 to 10 of the 1985 Act will continue to apply in Wales in their existing form. The amendments provide for that, while introducing the provisions of the Bill for England.
Amendments 8, 14 and 15 correct the short and long titles of the Bill to remove the wording that originally related to a contemplated clause addressing liability for failure to comply with building regulations. That clause was not brought forward on Second Reading, so the short and long titles should be amended to reflect that.
The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Mrs Heather Wheeler)
It is a pleasure, Mr Wilson, to serve under your chairmanship.
I congratulate the hon. Member for Westminster North on successfully taking the Bill through Second Reading and, more generally, on raising awareness about the importance of improving standards in the rented housing market. I look forward to working with her as the Bill proceeds through its many stages.
We are in favour of these technical amendments and I have nothing more to add.
Amendment 1 agreed to.
Amendment made: 2, in clause 1, page 1, line 3, leave out from beginning to “Fitness” in line 4 and insert—
“( ) After section 9 (application of section 8 to certain houses occupied by agricultural workers) insert—
‘9A ’”.—(Ms Buck.)
This amendment is consequential on Amendment 1.
Ms Buck
I beg to move amendment 3, in clause 1, page 2, line 7, after “landlord” insert “or other third party”.
This amendment would ensure that a landlord will not be liable under the implied covenant as to fitness for human habitation in circumstances where the required remedial works require the consent of a third party if reasonable efforts to obtain the consent are made but the consent cannot be obtained.
Ms Buck
The Bill relates to tenants, not leaseholders. It means that if a tenant is renting a property where there is more than one landlord, the provisions that I have just outlined will apply. The tenant will have recourse through their own landlord, but if the landlord is unable, after making reasonable efforts, to secure permission to make the changes required owing to other obligations, that constitutes an exemption under the legislation.
The wording of amendment 4 follows from the Landlord and Tenant Act 1985, which imposes an equivalent liability on the landlord for section 11 repair obligations. The fitness requirements are therefore very much consistent with the repair obligations that are already well established.
The definition of common parts is taken from the Landlord and Tenant Act 1987 and refers to
“any building or part of a building”
including
“the structure and exterior of that building or part and any common facilities within it”.
The same definition is used in respect of section 11 of the 1985 Act. In effect, the amendments secure consistency between the main statutory repairing rights.
Amendments 6 and 7 clarify that the implied covenant applies to any periodic or secure tenancy arising after the commencement date at the end of the fixed-term tenancy granted before the commencement date. That would include a secure tenancy after, for example, an introductory tenancy, an assured tenancy after a fixed-term starter tenancy, or a statutory periodic tenancy arising at the end of a fixed-term assured shorthold tenancy.
Amendment 4 is the most substantial amendment relating to common parts. We were unable to table it on Second Reading, but I am extremely grateful for the work that has been done by officials working with Justin Bates and Giles Peaker, who were the two lawyers who helped to draft the original legislation. Working on the Bill over the last few months to ensure that it, as a whole, is fit for our purpose and to table these amendments has been an incredibly productive experience for us all. I hope that all hon. Members will support the amendments and clause 1.
Mrs Wheeler
I, too, congratulate everyone on the Bill team and all the lawyers who have been working on this matter. This is a sensible amendment that the Government accept and are very happy to support.
John Healey (Wentworth and Dearne) (Lab)
It is a pleasure to serve under your chairmanship on a Bill Committee for the first time, Mr Wilson. In the spirit in which my hon. Friend the Member for Westminster North introduced the first group of amendments, perhaps I may deal with amendment 4 but also speak a little more widely. That may help you decide, Mr Wilson, whether we should have a clause stand part debate and how wide it should be.
I underline the Opposition’s continued strong support for the Bill. It sets out exactly the legal changes that Opposition Front Benchers tried to introduce two years ago into the Housing and Planning Bill. We were resisted at that time, which is why in January I warmly welcomed the Minister and the Conservative party’s change of approach. I also welcome the willingness of the Government to set up a second Committee to deal with the bottleneck that we had regarding private Members’ Bills that have reached this stage.
I pay tribute to the work that the Minister and her officials have done. They have not taken this private Member’s Bill and filleted it, as sometimes happens. On the contrary, on amendment 4 they have proved willing, as they suggested on Second Reading, to extend the basic provisions on the responsibility of landlords to make and keep fit for human habitation—not just to make repairs—to common parts as well. I strongly welcome that.
I, too, pay tribute to the advisers that my hon. Friend the Member for Westminster North has had in Giles Peaker and Justin Bates. They are among the finest housing lawyers in the country. The Committee and the House are very fortunate to have their unremunerated commitment and expertise behind the Bill.
Above all, I cannot let this opportunity go by without paying tribute to my hon. Friend the Member for Westminster North. This really is the Buck Bill. This is not a hand-out Bill from Government, or a Bill prepared by an outside organisation and thrust into the hands of a Member who has come out high in the private Member’s Bill ballot. My hon. Friend has worked for a long time to develop the content of, and the case for, the legislation. She has also worked for some time to build the coalition of support behind the measures, which includes the Residential Landlords Association and the National Landlords Association.
The Bill is a really important step forward. My hon. Friend has mentioned the scale of the desperately bad, indefensible housing that too many people, as tenants, have to put up with across the country. You will be familiar with that, Mr Wilson, from many cases in your own part of the north-east. The provisions in the Bill are long overdue.
Finally, I say gently to the Minister that I am so glad that the Government have shifted their view and accepted, in this small way, the need to regulate more strongly a market that the Prime Minister herself described as “broken”. I hope it will be a first step towards some of the other changes that are clearly necessary, such as longer tenancies, controls on rents and greater licensing of private landlords. Will the Minister give us an indication of when mandatory electrical safety checks will see the light of day, given that they are already part of legislation? They would be a great complement to the provisions that my hon. Friend the Member for Westminster North is leading on for us today.
Mrs Wheeler
I have nothing further to add, other than to say that we support the amendment.
Amendment 3 agreed to.
Amendments made: 4, in clause 1, page 2, line 28, at end insert—
“( ) Where a lease to which this section applies of a dwelling in England forms part only of a building, the implied covenant has effect as if the reference to the dwelling in subsection (1) included a reference to any common parts of the building in which the lessor has an estate or interest.”
This amendment would extend the implied covenant as to fitness for human habitation in cases where the dwelling forms a part of a building to any of the building’s common parts in which the landlord has an estate or interest.
Amendment 5, in clause 1, page 2, line 38, at end insert—
“‘common parts’ has the meaning given by section 60(1) of the Landlord and Tenant Act 1987;”.
This amendment is consequential on Amendment 4.
Amendment 6, in clause 1, page 3, line 7, after “(4)” insert “, (4A)”.
This amendment is consequential on Amendment 7.
Amendment 7, in clause 1, page 3, line 20, at end insert—
“(4A) Section 9A applies to a periodic or secure tenancy that comes into existence after the commencement date on expiry of a term of a lease granted before that date.”
This amendment would ensure that the implied covenant as to fitness for human habitation will apply to a periodic or secure tenancy that comes into existence after the date on which the Bill comes into force in a case where the tenancy arises out of a fixed term tenancy granted before that date.
Amendment 8, in clause 1, page 3, line 45, leave out
“and Liability for Housing Standards”.
This amendment is consequential on Amendment 15.
Amendment 9, in clause 1, page 4, line 2, at end insert—
“9C Application of section 9A to certain dwellings occupied by agricultural workers
(1) This section applies where under a contract of employment of a worker employed in agriculture—
(a) the provision of a dwelling for the worker’s occupation forms part of the worker’s remuneration, and
(b) the provisions of section 9A (implied term as to fitness for human habitation) are inapplicable by reason only of the dwelling not being let to the worker.
(2) There is implied as part of the contract of employment (in spite of any stipulation to the contrary) a term having the same effect as the covenant that would be implied by section 9A if the dwelling were let by a lease to which that section applies.
(3) The provisions of section 9A apply accordingly—
(a) with the substitution of ‘employer’ and ‘employee’ for ‘lessor’ and ‘lessee’, and
(b) with such other modifications as may be necessary.
(4) This section does not affect—
(a) any obligation of a person other than the employer to repair a dwelling to which the covenant implied by section 9A applies by virtue of this section, or
(b) any remedy for enforcing such an obligation.”
This amendment, which replicates section 9 of the Landlord and Tenant Act 1985 in relation to the new implied covenant, is consequential on Amendments 1 and 2.
Amendment 10, in clause 1, page 4, line 3, leave out subsection (3).
This amendment is consequential on Amendments 1 and 2.
Amendment 11, in clause 1, page 4, line 11, leave out sub-paragraph (i) and insert—
“(i) after ‘house’, in both places where it occurs, insert ‘or dwelling’;”.
This amendment is consequential on Amendments 1 and 2.
Amendment 12, in clause 1, page 4, line 15, before “any” insert
“in relation to a dwelling in England,”.
This amendment is consequential on Amendments 1 and 2.
Amendment 13, in clause 1, page 4, line 27, after “habitation” insert “of dwellings in England”.
This amendment is consequential on Amendments 1 and 2.
Amendment 14, in clause 1, page 4, line 27, at end insert—
“( ) In section 302 of the Housing Act 1985 (management and repair of houses acquired under section 300 or retained under section 301), in paragraph (c)—
(a) for ‘section 8’ substitute ‘sections 8 and 9A’, and
(b) for ‘does’ substitute ‘do’.”—(Ms Buck.)
This amendment is consequential on Amendments 1 and 2.
Question proposed, That the clause, as amended, stand part of the Bill.
Ms Buck
We have had a brief discussion of the amendments in the context of clause 1, so I do not wish to detain the Committee long. Clause 1 is the substance of this short Bill. We had a good debate on Second Reading in which virtually everyone on the Committee today participated.
I am very grateful to my right hon. Friend the Member for Wentworth and Dearne for his kind words. The Bill has caught the moment in terms of housing standards. Although there has been an improvement in the quality of the housing stock over decades, millions of people still remain in unfit housing, including many children. They are often the families and individuals who have the least choice in their housing. They are people with disabilities and long-term health problems, and people on very low incomes. Although a local authority has an important role to play in enforcing behaviour, it is essential that those people have a direct means of redress against the worst landlords.
As my right hon. Friend said, this is just one of many different measures that we would like to see brought forward; the Government have brought some forward and there are other measures we would like to see that would strengthen the role of tenants. We are conducting our business at the same time as the Grenfell inquiry into the worst residential fire in modern British history is going on, and we are reminded of the critical importance of listening to tenants’ concerns. The Bill is one of the ways in which we can reflect those concerns.
Mrs Wheeler
I am happy to support the clause.
Question put and agreed to.
Clause 1, as amended, accordingly ordered to stand part of the Bill.
Clause 2
Extent, commencement and short title
Amendment made: 15, in clause 2, page 4, line 32, leave out
“and Liability for Housing Standards”.—(Ms Buck.)
This amendment would change the short title of the Bill so as to leave out the reference to liability for housing standards (see the explanatory statement for Amendment 16).
Question proposed, That the clause, as amended, stand part of the Bill.
Siobhain McDonagh (Mitcham and Morden) (Lab)
For all those people who are cynical about MPs, the Bill stands out as a shining light. My hon. Friend the Member for Westminster North regards very seriously her role of doing casework and understanding the problems of her constituents in a built-up urban area where the demands for housing outstrip supply, and where landlords can behave as they choose.
We are all beginning to understand that our local authorities are either unable or unwilling to take action to resolve many of those problems. That is either because they do not have the finances to do so or because they are concerned that, if more private tenants are evicted by landlords, they have to take on the responsibility for rehousing them and are unable to do so.
This is a great Bill born out of a great place by a great campaigning MP, but our constituents and vulnerable tenants will be able to take action only if they have support. Once again, we will fall back on the great work of our local law centres and legal advice agencies, which are also experiencing great demand and difficulty. I would be grateful if the Government took on board what needs to be done to allow the words on the page to become reality and enable some of our most vulnerable constituents to take action against their landlords.
Mrs Wheeler
It seems appropriate to wrap up my comments here. It is great news that everybody on the Committee completely agrees with the Bill. In broader terms, everyone deserves a safe and decent place to live, regardless of tenure. The vast majority of landlords work hard to ensure that their tenants live in decent and properly maintained properties. The majority of tenants are satisfied with their home, but for a minority of tenants the picture is very different.
According to the English housing survey, the social rented sector contains about 250,000 properties out of 4 million-plus with at least one serious hazard. The situation is worse in the private rented sector, where approximately 800,000 properties contains at least one serious hazard. It is unacceptable that anyone should have to live in a property with serious hazards, and we are determined to ensure that all landlords either meet their obligations or are forced to leave the sector. Local authorities have strong and effective powers to require landlords to carry out improvement works, and we expect them to be used.
We recently introduced a range of additional powers through the Housing and Planning Act 2016. Those powers include the abilities to impose a civil penalty of up to £30,000 and to ban the most serious and prolific offenders, potentially for life. We know that many local authorities are already making good use of the powers. Torbay Council, for example, has used revenue from civil penalties to fund an extra enforcement officer for its housing team. There is more to do, however. That is why the Government strongly support the Bill, which will help drive up standards in rented homes and ensure tenants get a fair deal.
The Bill will not introduce new obligations on landlords. They can already be required by their local authority to rectify any serious hazards in their property. The Bill empowers tenants to hold their landlord to account in the courts, rather than having to rely on the local authority to take enforcement action on their behalf.
Andy Slaughter
Obviously, that is what the Bill is about. Does the Minister agree that the Government also have a role to play, either by ensuring that tenants have the resources to be able to enforce their rights, as several hon. Members have said, or by looking at how local authorities and others use the private rented sector? We have seen accommodation procured that is not fit for purpose, even with the Grenfell replacement accommodation. There has been outsourcing. In the time that I have been involved with this issue, we have gone from people in bad private rented accommodation waiting to go into council flats to people who would have expected to go into council flats effectively being put into the private rented sector in substandard accommodation. I hope the Government will also look at that as part of this exercise.
Mrs Wheeler
Indeed. Interestingly, when a tenant might take a landlord to court because of a hazard, we know that 75% of those hazards are visible, such as uneven floor surfaces, excess cold or damp and so on. Where a tenant has concerns, they should ask the local authority to inspect and determine what level of hazard it is. Bodies such as Citizens Advice and Shelter can also give advice on such matters.
Siobhain McDonagh
Is the Minister aware of how many London boroughs have capital funds to do works in default where such problems in the private rented sector are very high?
Mrs Wheeler
That is exactly why we have got the fines of up to £30,000 that can be levied. As I have explained, Torbay Council has been on the front foot. It has now employed another person because of the fines it has levied and received. I think that answers the hon. Lady’s question. Councils need to step up.
It was clear on Second Reading that there is wide cross-party support for the Bill and general agreement that we need to act now to require landlords to proactively ensure that their properties are free from hazards at the outset. Not to do so would be unfair on good landlords who are in the majority and who do keep their properties properly maintained. It would also mean that those tenants living in a property with serious hazards would be unable to hold their landlord to account.
It is important that tenants clearly understand their rights and know what to do if something goes wrong. Subject to the Bill successfully receiving Royal Assent—we hope it will be in spring 2019, to answer the question of the right hon. Member for Wentworth and Dearne—we will produce a short guidance document for tenants that will explain their rights under the legislation and how to represent themselves in court, should that prove necessary. The guidance will complement the “how to” series of guides produced by my Department, which have recently been revised and expanded. The revised versions will be published shortly. Tenants are already protected from retaliatory evictions where the local authority has confirmed that there is a legitimate complaint regarding a hazard.
The Bill sits very well with the range of initiatives that the Government have taken to improve conditions in the private rented sector. We have introduced fines of up to £30,000 for a range of housing offences. We also introduced legislation allowing tenants and local authorities to reclaim up to 12 months’ rent for offences such as failing to comply with an improvement notice or a prohibition order. We have also introduced banning orders, potentially for life, preventing the worst landlords from renting out property. We are not resting on our laurels, however; we know there is still much more to do to drive up standards. That is why we are legislating to ban letting agent fees for tenants, thereby reducing costs and improving affordability.
Friday 26th October 2018
(6 years ago)
Commons ChamberHomes (Fitness for Human Habitation) Act 2018 Read Hansard Text Amendment Paper: Public Bill Committee Amendments as at 20 June 2018 - (20 Jun 2018)
This text is a record of ministerial contributions to a debate held as part of the Homes (Fitness for Human Habitation) Act 2018 passage through Parliament.
In 1993, the House of Lords Pepper vs. Hart decision provided that statements made by Government Ministers may be taken as illustrative of legislative intent as to the interpretation of law.
This extract highlights statements made by Government Ministers along with contextual remarks by other members. The full debate can be read here
This information is provided by Parallel Parliament and does not comprise part of the offical record
The Parliamentary Under-Secretary of State for Housing, Communities and Local Government (Mrs Heather Wheeler)
Thank you—[Interruption.] Get on with it, absolutely—God almighty! I just think that this is an important Bill and it needs all the time and love that it can have.
Before I start my speech, I draw Members’ attention to my entry in the Register of Members’ Financial interests. I thank the hon. Member for Westminster North (Ms Buck) for everything she has said and congratulate her for tenaciously taking this Bill through Committee and bringing it to the House today. Her Bill is an important part of our work to raise awareness of this vital issue of standards in rented properties. I want to talk about rented houses and flats, both social and private, and the sort of unacceptable conditions that some tenants have to put up with. Many Members have already mentioned the minority of landlords who do not think that they need to comply with the law, and how their tenants suffer as a result. I would also like to describe some of the new requirements we have brought in to help improve the lives of tenants and make sure rogue landlords are either driven out of the sector or forced to sort out their properties and their attitude. The hon. Lady’s Bill is an extremely valuable part of this work.
We had, I felt, a very productive, interesting and worthwhile debate in Committee. I am going to set out the other work we are doing to help tenants, which includes some new requirements but also makes sure we sharpen the tools we already have. In England, privately rented houses and flats provide housing for 4.7 million households—20% of all households. The social rented sector provides a further 17%, another 3.9 million house- holds. The majority of these are safe, secure, warm and dry.
People are tenants for all sorts of reasons—maybe the flexibility is convenient for them, maybe it makes more financial sense or perhaps it means they can live in the area they want to. Some 84% of tenants in the private rented sector and 81% of social housing tenants have said they are satisfied with their accommodation. These tenants have already seen an improvement in the quality of the houses and flats they live in. In 2008, serious category 1 health and safety hazards would have been found in around 30% of properties in the private rented sector and 15% in the social sector. By 2016, those figures had fallen to 15% of private rented and 6% of social properties.
However, it is still not acceptable that there is a hard-core, stubborn minority of landlords who rent out places that are not fit for their tenants to live in. Not all tenants have the luxury of choosing where to live, and some of the most vulnerable people in society live in these unfit properties. It is precisely this minority of houses and flats which still have serious hazards that the Bill will help to tackle.
We have been working hard to improve housing conditions and tackle rogue landlords. For example, since 2015 landlords must install a smoke detector on every floor of their properties, and they must have carbon monoxide detectors where the heating comes from solid fuels. I congratulate my hon. Friend the Member for Walsall North (Eddie Hughes) on all the work he has done on that issue.
We also used the Housing and Planning Act 2016 to give local authorities tough new powers to tackle rogue landlords and poor property conditions in their areas. If landlords do not comply with legal notices served on them because their properties are not safe to live in, local authorities can now impose civil penalties of up to £30,000. Bristol City Council, for example, has imposed 12 civil penalties, with the lowest at £628 and the highest at £25,800. Local authorities do not even have to take rogue landlords to court to give them that short, very sharp shock, and they can use the revenue to further fund their enforcement activities. That is hugely important for council finances.
As well as that, if tenants have had to live with a serious health and safety hazard in their house or flat and the local authority has served a legal notice on their landlord, they may be able to reclaim up to 12 months’ rent. If the rent was paid through benefits, the local authority can get that back, too. Really serious offenders can have their name added to the new database of rogue landlords and property agents and could be banned from being a landlord, possibly for life.
In addition to those powers, we have extended the licensing of houses in multiple occupation. These properties are occupied by tenants who are not related but who share facilities such as bathrooms and kitchens. They are often good value and form a useful part of the housing market for many tenants. However, they are higher risk. Landlords of larger HMOs—those on three or more floors with five or more tenants—require a licence issued by the local authority for each property. On 1 October this year, we extended that to include HMOs with one or two storeys and five or more tenants. We have also introduced requirements for minimum room sizes, to help prevent some of the overcrowded conditions that local authorities have reported to us.
I am pleased to say that this is the third private Member’s Bill introduced by a Labour Member that this Government have supported, following the Assaults on Emergency Workers (Offences) Act 2018, which was promoted by the hon. Member for Rhondda (Chris Bryant) and received Royal Assent in September, and the Mental Health Units (Use of Force) Bill, which was promoted by the hon. Member for Croydon North (Mr Reed) and is now in the other place.
The Bill before us builds on the work that has been done and adds a new dimension to the fight against rogue landlords. It will empower tenants by allowing them to seek redress from their landlords if their rented house or flat is in an unacceptably dangerous condition. Landlords will have to keep their properties free from hazards from the outset and for the entirety of the tenancy. Tenants will be able to seek redress without having to rely on their local authority, if they prefer to, and local authorities will still have the same strong enforcement powers to serve legal notices where they find serious health and safety hazards.
No further obligations will be put on landlords who rent out safe, secure, warm and dry properties. If a landlord is quick to carry out repairs when they are reported, manages their property well and takes their responsibilities seriously, the effect the Bill will have on them will be to level the playing field. Rogue landlords will have to improve their properties or leave the business. Landlords who do not maintain safe properties prevent an effective and competitive rental market where all landlords operate on an equal footing.
It is those two aspects of the Bill—giving more power to tenants but putting no new obligations on good landlords—that allow it to sit so well with the range of initiatives we have already introduced. The Bill will give power to tenants, which will complement the existing powers and further enforcement options we have provided to local authorities. Good landlords have nothing to worry about because there are no new obligations or costs for them under the Bill.
It was reassuring to hear such support and general agreement from Members across the House on Second Reading. That is a testament to how seriously all parties take this issue. In Committee in June, I once again heard cross-party support for the Bill and agreement that we need to act now. Members drew attention to issues in the private and social rented sectors that concerned them, and no one argued against the Bill.
Amendments were made in Committee that have further tightened the provisions of the Bill and made it more effective. For example, the common areas of rented properties will now be included. That is important because properties with common areas such as shared stairwells can be at a higher risk from hazards such as fire, as we have heard. Tenants need to be confident that they can hold their landlord to account when it comes to health and safety hazards in those common areas. That amendment will further help tenants in properties such as houses in multiple occupation.
The Bill will extend tenants’ rights and, for the first time, allows them to seek redress if their landlord rents them a property that is not fit for human habitation. It is vital that tenants understand their rights and know how to use them, as Members have said. Subject to the Bill receiving Royal Assent, we will produce guidance for tenants that will explain their rights and how to represent themselves in court should that prove necessary. We will also signpost where and how they can get any support they might need. That guidance will complement the “How to” series of guides produced by my Department, which have recently been revised and expanded. The guides include checklists for new and existing tenants, landlords and letting agents. Whatever the circumstance, we want to ensure that tenants are armed with information, so that they know their rights and responsibilities and can challenge poor behaviour.
There is still more to do. Our support for the hon. Lady’s Bill is an important part of our programme of work to drive up standards in rented houses and flats, and that support does not sit in isolation. We recognise the important role that landlords play in providing homes to millions of people around the country. We want to bring fairness to the market and promote good practice. It is key to the Bill that landlords ensure their properties are fit for human habitation.
Whether a house or flat is fit is determined by the presence of serious hazards. Those hazards are set out in the housing health and safety rating system—or the HHSRS, as it is nattily known. The HHSRS focuses on the hazards that are most likely to be present in housing. Tackling those hazards makes homes healthier and safer to live in. As part of our ongoing work to improve standards, we will commission a review to ensure that the HHSRS continues to work well, and that will take place next year.
Tenants are, of course, at the heart of the Bill. The intention behind it is to empower tenants, which is our intention as a Government. We have introduced legislation banning letting agents from making unfair and hidden charges, making it easier for tenants to find a property at a price they are willing to pay and saving renters an estimated £240 million in the first year alone. In addition, we have announced plans to make client money protection mandatory for letting agents and will introduce requirements on training and accreditation to ensure that tenants are protected. We will further empower tenants by requiring all landlords to belong to a mandatory redress scheme. The work the Government have already done to improve conditions for tenants, as well as the work we are now doing and the hon. Lady’s Bill, will mean a real improvement for tenants and a serious driving up of standards in both the social and rented sectors.
I want to thank the right hon. Member for East Ham (Stephen Timms), the hon. Members for York Central (Rachael Maskell), for Streatham (Chuka Umunna), for Oldham West and Royton (Jim McMahon), for Hammersmith (Andy Slaughter), for Warrington South (Faisal Rashid), for Reading East (Matt Rodda), for Kensington (Emma Dent Coad), for Brentford and Isleworth (Ruth Cadbury) and for Great Grimsby (Melanie Onn), and my hon. Friends the Members for Colchester (Will Quince), for Walsall North, for Torbay (Kevin Foster), for Harborough (Neil O’Brien) and for West Aberdeenshire and Kincardine (Andrew Bowie) for all their contributions today and in Committee. I am grateful for all the hard work on the Bill across the House.
To conclude—
Mrs Wheeler
I could go on, if my hon. Friend would like me to.
It is clear that there is support for the Bill across the House. The Bill will empower tenants and help to further improve standards in rented houses and flats. It has been a pleasure working with the hon. Member for Westminster North, and I am sure her Bill will get the continued support it deserves as it progresses.
Question put and agreed to.
Bill accordingly read the Third time and passed.
Homes (Fitness for Human Habitation) Bill
(Limited Text - Ministerial Extracts only)
Read Full debateFriday 23rd November 2018
(5 years, 12 months ago)
Lords ChamberHomes (Fitness for Human Habitation) Act 2018 Read Hansard Text Amendment Paper: Public Bill Committee Amendments as at 20 June 2018 - (20 Jun 2018)
This text is a record of ministerial contributions to a debate held as part of the Homes (Fitness for Human Habitation) Act 2018 passage through Parliament.
In 1993, the House of Lords Pepper vs. Hart decision provided that statements made by Government Ministers may be taken as illustrative of legislative intent as to the interpretation of law.
This extract highlights statements made by Government Ministers along with contextual remarks by other members. The full debate can be read here
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The Parliamentary Under-Secretary of State, Ministry of Housing, Communities and Local Government and Wales Office (Lord Bourne of Aberystwyth) (Con)
My Lords, I thank all noble Lords who have taken part in the debate. I am not at all surprised that the noble Lord opposite will not table any amendments because I know how responsible he is. I am grateful to him, as I am sure other noble Lords are. This Second Reading has been a debate of great content. Some very interesting and important points have been made, to which I will do my best to respond. In so far as I cannot do so from the Dispatch Box, I undertake to write to noble Lords and place a copy in the Library.
In particular, I thank the noble Lord, Lord Best. I agree very much with the points made by the noble Lord, Lord Carlile, about the quality of the sponsorship of the Bills we have seen in the House today. We could not have a better pilot than the noble Lord, Lord Best; I thank him for his hard work on such a great cause. As other noble Lords have done, I also thank the honourable Member for Westminster North for introducing her Bill. I acknowledge her hard work in the other place; she has shown considerable determination in taking it through successfully. I am delighted that the Bill has received such widespread support across this House and in the other place.
The noble Lord, Lord Best, has given us an effective overview of the Bill and why it is needed, and I echo that. It is an important Bill and we heard from many noble Lords in this debate about the fact that 20% of the housing in this country is in need of urgent attention. That underlines the importance of having this Bill. We heard that from the noble Lord, Lord Best, and my noble friend Lord Horam. The noble Baroness, Lady Grender, also echoed that point.
This fairly short Bill builds on work we have been doing to improve housing conditions and tackle rogue landlords. I must say that, although I am as guilty of using it as anyone else, I wish we could get away from the phrase “rogue landlords” because it tends to make them sound a little too cuddly for my liking. “Bastard landlords” or something stronger would probably be more appropriate because they are far from being cuddly. I shall try to deal with the situations raised by noble Lords, particularly by the noble Baroness, Lady Grender, and the noble Lords, Lord Tope and Lord Shipley. All three asked about electrical checks, as did the noble Lord, Lord Kennedy.
Since 2015, we have moved on the requirement to install a smoke detector on every floor in properties and carbon monoxide detectors where the heating system uses solid fuels. We have taken tough action in the private rented sector on civil penalties for recalcitrant landlords who need action to be taken against them, which can go up to £30,000. It is worth noting that those civil penalties can be retained by local authorities, which helps them with housing enforcement. We have seen Salford City Council use those powers recently against one landlord, issuing three civil penalties for the flouting of three separate legal responsibilities and fines coming up to £55,000. As I say, local authorities keep the proceeds of those civil penalties.
Local authorities have the power to issue banning orders for landlords and add to them to the database. As noble Lords will know, we propose that the database should now become public, but I am afraid to say that that will happen when parliamentary time allows. I know that is a standard phrase which is trotted out. This issue does need legislative action, but we are dependent on the business managers finding time for that. As far as the department is concerned, this is certainly a high priority.
Private tenants can now apply to get up to 12 months’ rent back if the landlord has not dealt with health and safety hazards and the local authority has taken enforcement action through rent repayment orders under the Housing and Planning Act 2016. We have extended property licensing so that more homes in multiple occupation now need a licence and we are going out to consultation, or perhaps review, on the issue of selective licensing. We will report on that in the spring. We have also announced that we will carry out a comprehensive review of the housing health and safety rating system. The noble Lord, Lord Best, rightly stated that if that is extended, it will automatically come within the compass of this legislation. We also plan to require all landlords to belong to a mandatory redress scheme, which I think is known and understood, and we are proceeding, as noble Lords have made clear, with the Tenant Fees Bill, which will reach its Report stage in your Lordships’ House the week after next. Subject to this Bill receiving Royal Assent, we will produce guidance for tenants, as has been suggested. I have covered that in a letter which has been sent round. In response to the question put to me by the noble Lord, Lord Tope, I intend that to include points on electrical safety. That was a point well made.
I will try to pick up the points made during the course of the debate, but if I do not address them all I will seek to cover them in a letter to noble Lords. On security of tenure, as is, I think, widely known, the department is considering the position on three-year tenancies and will respond to this issue in the new year, so an announcement will be forthcoming early in the new year on this point.
I was asked some specific questions relating to electrical safety standards. We put a question on the private and social rented sectors having the same requirements in the social housing Green Paper. I think the intention is that they should be dealt with in the same way. I cannot see any reason why they should not be. If I am wrong on that and there is a reason I will cover that in the letter, but it is not apparent to me. We will issue a letter announcing our intentions on this area before Christmas, so I hope noble Lords will bear with us on that.
I thank the right reverend Prelate for the points he made, together with perhaps an anticipatory mea culpa in case there was an issue for the Church, but I am sure it is following good practice in this area. He made a point about legal aid, as did other noble Lords. I am always grateful when noble Lords exaggerate my powers, but as I am sure can be anticipated, this is not an area where I can opine from the Dispatch Box. I will endeavour to cover the point and, as was rightly said, there is a review in this area. I hope noble Lords will understand when I say that I will cover that in the letter, but I cannot give a definitive statement of where we are on that issue.
I move on to points raised by the noble Lord, Lord Carlile. I agree with him on the importance of design. The design of buildings generally, not just for residences, has been a particular interest of mine. I also agree that modernist future design is important. In the National Planning Policy Framework we have, I think for the first time, a requirement to consider good design. It does not specifically mention modern design, but it certainly does not exclude it. Modern methods of construction and self-build will lend themselves particularly to more modern design. I know that the Secretary of State is committed to good design, but that does not exclude modern design. I will make sure that the points made in the debate are brought forward to my right honourable friend the Secretary of State. I agree with the point made by the noble Lords, Lord Carlile and Lord Tope, that sometimes in an area where you might expect good housing—university towns would certainly be part of that—something that looks like good housing from the outside looks very different once behind the door. That is something we need to bear in mind.
We talked generally and correctly about the impact that poor quality and non-decent housing has on individuals but, as was said in the debate, it also has economic effects in terms of pressures on the health service, and I am sure it has an effect on kids’ education if they are off school and so on. It certainly has dreadful social effects as well. The points are well made, hence the importance of doing what we are doing.
I thank my noble friend Lady Gardner of Parkes for bringing forward points about the ombudsman and a housing court, which she touched on, which are still very much on the agenda. As my noble friend mentioned, the noble Lord, Lord Best, is central to the issue of the ombudsman. We are looking at that ombudsman service and the housing court issue and will be responding on that, I think, in the new year as well. I will cover that in the letter.
On holiday lets, which my noble friend mentioned, there is a special power for London in that there is a restriction of 90 days for the Airbnb-type let in London, as in other capital cities and tourist destinations around the world, such as Venice. There is a 90 days’ accommodation limit. My noble friend will know that the UK Short Term Accommodation Association is doing effective work to try to make sure that that is enforced in London. There is a separate issue with landlords enforcing the provision in their leases. I know from speaking with my noble friend yesterday that that can be a particular problem and is a particular problem for her. I have great sympathy with that issue. I will write to her on that point to see if there is anything specific we can do, but I thank her for bringing those points up.
I thank the noble Lord, Lord Shipley, for his contribution and support. He mentioned again the electrical issues and their importance in the context of Grenfell. We do not know with certainty about the cause of the fire—at least in a legal sense—because we have not had the criminal proceedings or the result of the inquiry, but he is right about the importance of this in general terms, so I appreciate the points he is making.
I will write on the retaliatory eviction point. Certainly, there is protection where there has been an inspection of the premises by the local authority and it has confirmed that there is a legitimate complaint on the part of the tenant, but I will write more widely to cover how that is dealt with elsewhere.
I thank the noble Lord, Lord Kennedy, once again for his support. I am very happy to discuss with him the point on compensation for loss. I can see why he thinks that is inconsistent, but I do not think it is. Our point here on compensation in relation to tenant fees is that it is legitimate for there to be a fine, where appropriate, of the landlord and for a return of the money, and compensation if there has been a loss, for example, if somebody has suffered illness and they can demonstrate that, which is what we are talking about here. Compensation for a loss is a bit different—I think the noble Lord is talking about exemplary damages. The noble Lord, Lord Carlile, will know the precise legal word.
Lord Kennedy of Southwark
We will come back to this on the Tenant Fees Bill. I thought compensation was for when you suffer some loss or injury and if you had money taken off you inappropriately for a prohibited payment. Why cannot there be compensation for that? We will come back to this on the Tenant Fees Bill, but I think it is for any sort of loss, potentially. The noble Lord, Lord Carlile, may want to intervene.
Lord Carlile of Berriew
If it helps the Minister, I did not immediately realise he was talking about exemplary damages because they are given in very restricted circumstances. It is pretty unlikely that they ever will be given in an ordinary landlord and tenant case.
Lord Bourne of Aberystwyth
I totally agree. We will perhaps come back to this but we are not debating it in this Bill.
Lord Kennedy of Southwark
I am certainly not talking about exemplary damages, but what if a landlord has been prosecuted and has to pay some compensation? Those are not exemplary damages.
Lord Bourne of Aberystwyth
Without conflating the two, it begins to sound like exemplary damages to me, but we will come back to that.
I am very grateful for the support this Bill has received and the Government are very strongly in support. I thank noble Lords who participated in the debate, particularly the noble Lord, Lord Best, for all the work he has done and no doubt will continue to do in piloting this Bill forward.