All 9 contributions to the Social Housing (Regulation) Act 2023 (Ministerial Extracts Only)

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2nd reading
Monday 27th June 2022

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Social Housing (Regulation) Act 2023 Read Hansard Text

This text is a record of ministerial contributions to a debate held as part of the Social Housing (Regulation) Act 2023 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

Moved by
Lord Greenhalgh Portrait Lord Greenhalgh
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That the Bill be now read a second time.

Lord Greenhalgh Portrait The Minister of State, Home Office and Department for Levelling Up, Housing & Communities (Lord Greenhalgh) (Con)
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My Lords, I am proud to be here today to open this Second Reading debate of the Social Housing (Regulation) Bill. This Bill will transform the lives of social housing tenants up and down the country. Once it is implemented, more tenants will live in decent, well looked-after homes, enjoying the quality of accommodation that they deserve.

However, it is right that we also reflect on the events that have led us to this point. Just over five years ago, 72 people—18 of them children—died as a result of the Grenfell Tower fire. The horrifying scenes that night ought never to have occurred. The situation in which the residents of Grenfell Tower were placed was unforgivable. The fire at Grenfell Tower exposed failures and decades of malpractice. It is vital that we bring about reform and lasting change so that a tragedy such as Grenfell never happens again.

Noble Lords have debated the Fire Safety Act and the Building Safety Act. The Social Housing (Regulation) Bill represents the next step in this programme of change. Social housing tenants, whether in Grenfell Tower or elsewhere up and down this country, have not been treated with the respect that they deserve. They do not always feel safe in their homes. Everyone should be treated with respect. Everyone has the right to feel safe in their home. In 2022, it is a disgrace that there are social housing tenants who are forced to live in damp, cold, unsafe homes. Some tenants wait months for repairs and are ignored by their landlords. We should be ashamed that this takes place. There are many good landlords in the sector. Many provide high-quality, well-managed, well-maintained accommodation. Many listen and care for their tenants, and many run a fiscally sound organisation. However, that cannot be said for every organisation. The Social Housing (Regulation) Bill will change this.

This Bill is short but radical. The Regulator of Social Housing is responsible for landlords who register with it throughout England. The regulator will be taking a new, proactive approach to regulating social housing landlords on the issues that matter most to tenants: safety, so that tenants feel protected in their homes; transparency, so that tenants know what their landlord is doing to resolve their issues and can hold their landlord to account; quality accommodation and services, which we would expect landlords to provide; and complaint handling, so that tenants are listened to and their concerns are effectively addressed. The Bill will drive significant change in how social landlords behave, forcing them to focus on the needs of their tenants. Where they do not do this, they will be held robustly to account.

The Bill has three key parts. The first is a brand-new proactive consumer regime. This is the core of this legislation. The regulator will be empowered to hold landlords to account and to proactively ensure landlords are meeting the consumer standards we expect them to deliver. We are changing the regulator’s objectives. This will put tenant safety and transparency at the heart of everything the regulator does. We are removing the “serious detriment” test so that this is no longer a barrier to the regulator enforcing breaches of consumer standards. We are setting out the powers for the Housing Ombudsman to issue a complaint handling code to its members and to make orders to prevent problems recurring in future following complaints.

The Government are also taking a power to bring forward electrical safety regulations for social housing. We are consulting on mandatory electrical safety checks in the social rented sector, and this will align standards with the private rented sector. The new regime will also mean that the regulator will regularly inspect the largest landlords to ensure they are delivering quality homes and services to their tenants. Landlords will need to appoint a person with specific responsibility for health and safety. There will be a new access to information scheme. This will work similarly to the Freedom of Information Act for landlords not currently captured by that Act. Tenants of these landlords will, under the access to information scheme, have the right to request information from their landlord so they can effectively hold their landlord to account.

The second part of the Bill tweaks the current economic regulatory regime. The existing regime has been highly successful. The regulator has been effective at ensuring social housing landlords are fiscally well managed, and that tenants’ homes are not lost. However, we cannot rest on our laurels. The make-up of the sector is changing. New models for how landlords structure their organisations are popping up. We need to future-proof the current regime. We are tightening the definition of “non-profit” so that malign actors cannot play the system. We are forcing landlords to notify the regulator when they change their corporate form. We are introducing a look-through power so the regulator can follow money paid outside of the regulated sector, to ensure probity.

The third part of the Bill will give new powers for the regulator to take enforcement action when things go wrong. These powers will ensure the regulator can take robust action where landlords are failing to meet standards. There will be no limit on the amount the regulator can fine a landlord. Where a survey uncovers a serious issue with a property that a landlord has failed to fix, the regulator will be able to intervene and carry out repairs to fix the problem.

Noble Lords will wish to note that there will be a few targeted government amendments to this legislation in Committee. Among these, we are adding a provision that companies will be required to notify the regulator when there is a change in control of a housing association, as set out in the social housing White Paper. We are also adding a duty on the Housing Ombudsman to monitor compliance with its complaint handling code and a power for the ombudsman to recover any associated costs from its members.

The introduction of the Social Housing (Regulation) Bill to this House represents a decisive moment for tenants of social housing up and down this country. I beg to move.

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Lord Greenhalgh Portrait Lord Greenhalgh (Con)
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My Lords, I thank everyone across the Chamber for contributing so constructively to the spirited and very wide-ranging Second Reading. The debate once again highlighted the breadth and depth of noble Lords’ expertise and I congratulate my noble friend Lord Camrose on an excellent maiden speech. He comes with really practical skills—probably more practical than the scribblers out there, even though his family includes very distinguished owners of many of the titles that many of us read today. I am looking forward to his measured and thoughtful contributions to this House over the coming years.

Across all the contributions today there has been a consistent concern to ensure that tenants of social housing receive the housing and respect that they deserve. I share this concern. The Bill will deliver extensive and much-needed reforms. It will continue to drive forward the once-in-a-generation change required to make sure that tenants live in decent, safe and secure homes and are treated with respect. I join the noble Baroness, Lady Hayman of Ullock, in praising the contribution of the Grenfell community in advancing this important agenda. I will do my very best to address as many of the points raised as I can—again, this has been an incredibly wide-ranging debate.

A number of questions focused on the supply of social housing, including the contributions from the right reverend Prelate the Bishop of Chelmsford and the noble Baroness, Lady Wilcox. This legislation is not about supply, as I think they both realised, but we are committed to increasing the supply of affordable homes. We have invested more than £12 billion in affordable housing over the five years, but we recognise the need to build more social rented housing, which is why this current programme of affordable housing is seeking to double the number of social homes we are building to 32,000. I noticed the focus in the excellent speech by the noble Baroness, Lady Wilcox, on the decent homes standard. There is no greater sign that the Government recognise the importance of the decent homes standard than trying to extend it into the private rented sector. It is about raising quality, irrespective of whether you are a social tenant or a private tenant, so we improve quality in the round.

In response to the noble Baronesses, Lady Warwick and Lady Thornhill, I undertake that we will continue as a Government to work closely and engage closely with both the National Housing Federation and the Local Government Association as we bring forward these reforms and improve regulation.

A number of noble Lords, in particular the noble Baroness, Lady Wilcox, raised the issue of why it has taken so long to introduce the Bill. We have to recognise that the Bill is just one of many reforms that the Government have delivered in response to Grenfell Tower, including the Building Safety Act and last year’s Fire Safety Act. We spent time listening to residents, as pointed out by my noble friend Lord Camrose. We had to hear at first hand about their experiences and how they wanted a sea-change. More than 8,000 residents contributed to these discussions, including the bereaved, survivors and residents of the Grenfell Tower tragedy. There has been a process: a social housing White Paper, which we consulted on, then we responded to the consultation, and now we are moving to legislation. It is important to get these things right.

A number of noble Lords asked about funding for the new regulatory regime, including the noble Baronesses, Lady Wilcox, Lady Watkins and Lady Thornhill, and my noble friend Lord Bourne. We are making significant changes to the regulator, which will drive change in the sector and improve the lives of social housing residents. Given the scale of reform, it is likely that the regulator will need to double in size to deliver the strengthened consumer regulation regime. Further work will be carried out to determine the exact cost of delivering the new consumer regulation regime, in part because the regulator will need to design and consult on the new regulatory framework following the passage of this Bill.

However, the Government are committed to ensuring that the regulator has the resources it needs, both to deliver the new consumer regulation regime and to continue effectively regulating on its economic objectives. A new fees regime will need to be developed for when the new consumer regime has been implemented. This will be subject to engagement and formal consultation with stakeholders. Government policy is to maximise the recovery of costs through fees in the same way that the regulator already does.

As the right reverend Prelate the Bishop of Chelmsford raised, issuing fines is one of the enforcement powers the regulator can use. It is not the only one, and it is for the regulator to decide on the appropriate sanction depending on the circumstances. Government rent policy limits the maximum amount of rent that the social landlord can charge, subject to certain exceptions. It is down to the regulator to get the system of enforcement right, and there are protections on rent levels.

I point out to the noble Lord, Lord Foster, in particular that the vast majority of the cost associated with this regulation, estimated at some £174 million, is largely a result of the requirements on providers to perform five-yearly electrical safety checks. That is certainly the largest source of cost. I know that he, in exhorting me to move from “may” to “must”, recognises that we do not want to pre-empt the consultation on electrical safety measures for social housing. However, we are obviously looking at the financial impact of that and would not be putting those powers in the Bill if we were not very serious in our intention to level up between private and public housing.

The noble Baroness, Lady Watkins, asked a difficult question about how the electrical safety power and associated costs affect shared ownership properties. I was scratching my head; I undertake to write to her with details on this critical issue.

The noble Baronesses, Lady Wilcox, Lady Thornhill and Lady Hayman of Ullock raised the issue of how we listen to tenants’ voices. We launched this social housing quality resident panel only in March, which brings together social housing residents from across the country so that they can share their views with government and Ministers. Let us see how that plays out. However, I note that the Mayor of London has called for a commission. We will look at that seriously and, I am sure, respond to those points.

The noble Baroness, Lady Wilcox, has really been into the details of this Bill. She wanted to know how we focus inspections and why small landlords will not be inspected. The system of inspections will be based on risk profile to ensure that those landlords at greatest risk of failing, or whose failure might have the greatest impact on tenants, are subject to greatest oversight, which makes sense to me. The regulator will continue to develop its approach and the details of how it will manage consumer inspections.

My noble friend Lord Young, who is forensic in his analysis of all housing legislation, asked why this advisory panel needs to be statutory. Placing the requirement in statute ensures that this happens. It also sets out expectations on the make-up of the panel and the range of matters it would consider. I believe it is sensible to ensure through legislation that this happens, rather than relying on the regulator choosing to do so. In other words, we are making sure that there is no way out and that this will happen.

In my meeting before today’s debate and during it, my noble friend Lord Young raised the confusion between the Housing Ombudsman and the Regulator of Social Housing. The Regulator of Social Housing has the emergency repair power. I point out that there is a long track record of close working between the regulator and the ombudsman, and we are ensuring effective information sharing between them. The proposals in the Bill will reinforce and strengthen the co-operation that already exists. We are also delivering a communications campaign to tenants so that they know where to go and are well informed.

There were a series of important contributions from the noble Baroness, Lady Hayman, the noble Lord, Lord Foster, and my noble friend Lord Young about what has happened to the government consultation on energy efficiency and what the Government are generally doing in this important area, particularly with respect to social housing. The Government agree that improving the energy efficiency of homes is a must. In the 2021 Heat and Buildings Strategy, we committed to consider setting a long-term regulatory standard to improve social housing to EPC band C, and we will consult the sector before setting any standard. The Government have committed some £3.8 billion to the social housing decarbonisation fund, which will help councils and housing associations to upgrade social housing. In fact, Lancaster West Residents’ Association has been a beneficiary of that fund.

I have to say that the noble Baroness, Lady Thornhill, is incredibly dogged and has raised right to buy on pretty much every occasion, certainly in recent weeks. I know that a number of your Lordships are concerned about the impact of right to buy on social housing stock. The Government agree that it is important that homes sold under right to buy are replaced, and we want to see an increase in the number of replacement homes sold by local authorities. Following a consultation on the use of right-to-buy receipts, the Government introduced a package of reforms in 2021 to help local authorities build more homes. This set of reforms, combined with the abolition of the borrowing cap in 2018, certainly gives councils more flexibility to build council homes. That is what we are seeing: councils are building more council homes. With regard to the replacement of homes sold under the extension of right to buy to housing associations, tenants will be central to the scheme design. I am sure that the replacement of stock sold through that voluntary scheme will be foremost in getting the scheme right.

The noble Baroness, Lady Hayman of Ullock, raised the issue of tenant satisfaction measures. We believe that these measures provide a snapshot of a landlord’s performance, so they will not include everything. I know that the regulator has worked with the sector, the National Housing Federation and others in developing a balanced set of tenant satisfaction measures that cover the issues that tenants have told us were important to them.

The noble Baroness, Lady Hayman of Ullock, asked a very specific question about whether the Government are looking at compensation for deregistered registered providers. I will take this important issue back to the department, as I do not have an answer here and now.

With regard to the focus on including net zero in the decent homes standard, as I said, we committed in the Heat and Buildings Strategy to consider setting a long-term regulatory standard to improve social housing to EPC band C. We will consult the sector before setting that standard, as I said in an earlier response.

It has been an incredibly wide-ranging debate, but I thank noble Lords, because I think there is a genuine desire to get behind the Bill to make sure that the voices of tenants are heard. I am sure there will be many opportunities to come up with practical proposals. Having taken forward legislation in this area, I look forward to working with those on all sides of the House to get this important legislation right and I beg to move.

Bill read a second time and committed to a Grand Committee.

Social Housing (Regulation) Bill [HL]

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Read Full debate
Report stage
Tuesday 18th October 2022

(1 year, 6 months ago)

Lords Chamber
Social Housing (Regulation) Act 2023 Read Hansard Text Amendment Paper: HL Bill 54-I Marshalled list for Report - (14 Oct 2022)

This text is a record of ministerial contributions to a debate held as part of the Social Housing (Regulation) Act 2023 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

Lord Young of Cookham Portrait Lord Young of Cookham (Con)
- Parliament Live - Hansard - - - Excerpts

My Lords, I apologise for missing my cue and interrupting the wind-ups. I will speak briefly to Amendments 2 and 14. On Amendment 2, veterans from the Building Safety Bill will recall that much of the debate focused on the impact on social housing of the costs of remediating the defects. This amendment would give the regulator a role in ensuring that this remediation was concluded satisfactorily.

Some of the information asked for in the noble Baroness’s amendment is already available. Figures from the building safety programme published last week showed that all 180 high-rise social housing buildings, bar one, have had the dangerous materials removed. Remediation has started on the final building, but the cladding has yet to be removed. The Government initially expected remediation to be completed by June 2020, so, after a slow start, it seems that real progress has been made, which is welcome. But 37 privately owned blocks still have Grenfell-style cladding five years after the fire.

Turning to funding, can my noble friend confirm that the social sector ACM cladding remediation fund has enough resources to compensate the social housing sector for the costs incurred and that there will be no impact on its development programme or rents as a result of the remediation? It appears that 17 of its buildings will not receive any money from the fund; is there a reason for this? Is it because the remediation was funded by the developers? Are the Government planning to recoup any of the costs to the fund from those responsible? In that context, can my noble friend update the House on the ongoing discussions with the private sector to get it to accept its responsibility for this debacle, with its tragic consequences?

The noble Baroness’s amendment, however, goes further than the removal of unsafe cladding and refers to

“the remediation of other fire safety defects in social housing.”

Will my noble friend say what progress has been made on that front, and in particular how much that will cost and how it will be funded without impacting on rents or development? Presumably the work was undertaken at the same time as the cladding removal, so this information is available.

While the amendment has provided a useful peg for a debate, I am not sure we need it in the Bill. The removal of cladding and fire safety defects are clearly needed to make a building safe—covered in Clause 1 —and the regulator already produces an annual report and accounts, which could include the information in the amendment, but it would be helpful to have some information about funding and the impact on the social housing sector.

Finally, turning to Amendment 14, I, along with others, am a planetary Peer—although flying at a much lower orbit than that of the noble Baroness, Lady Hayman. As the noble Lord, Lord Foster, said, the amendment requires targets and the targets are important, but they require funding. Ideally, the funding to pay for these energy conservation measures should not be at the cost to the new build programme—which brings me to the social housing decarbonisation fund, mentioned by the noble Baroness, Lady Hayman, which was set up to improve the energy performance of social homes in England, including local authority stock.

I know that that fund is the responsibility of BEIS and not of my noble friend’s department, but it is directly relevant to the debate on energy efficiency in social housing. There was a manifesto commitment in 2019 of £3.8 billion to this fund over a 10-year period. Will my noble friend confirm that that is still the case and that the sum has not been eroded in the meantime? What has been the take-up and evaluation of that programme and what assessment has been made of the number of homes that the sum could improve the energy conservation of? If my noble friend cannot answer now, perhaps she will reply in writing.

Finally, I understand that the amendment may be unacceptable to my noble friend, but I wonder whether she can show a little bit of ankle in her reply and indicate that this is not the Government’s final word on this and that as the Bill proceeds downstream in another place there might be the opportunity for further discussion and improvement.

Baroness Scott of Bybrook Portrait The Parliamentary Under-Secretary of State, Department for Levelling Up, Housing & Communities (Baroness Scott of Bybrook) (Con)
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My Lords, before I turn to the amendments, I will say a few words about the Bill more generally to frame the debate for the rest of today. It is now over five years since 72 people tragically lost their lives in the Grenfell Tower fire. The situation in which the residents of Grenfell Tower were placed was unforgivable. The Bill we are debating is a key step in the department’s response to this tragedy, ensuring that social housing tenants are safe, have decent homes and receive a good service from their landlord.

I must also pay tribute to the work of Grenfell United, which has championed the Bill from the very beginning. The Bill appears before noble Lords today because of the commitment of Grenfell United to these critical issues, which affect millions of tenants up and down the country. It is right that we recognise specifically the leading role that Grenfell United has played.

I will begin with Amendments 1 and 14, and Amendments 33 and 36 in my name, which all relate to energy efficiency. Throughout the passage of the Bill, we have heard from many noble Lords about the importance of energy efficiency in social housing, and I thank the noble Baronesses, Lady Pinnock and Lady Hayman, for their amendments. I turn first to the amendment in the name of the noble Baroness, Lady Pinnock, which advocates including energy efficiency in the Regulator of Social Housing’s fundamental objectives. Having listened to the powerful speeches made in Committee, I have added my name to her amendment and offer two further amendments—Amendments 33 and 36—which we think are necessary as consequential amendments to this.

As an aspect of housing quality, energy efficiency is already implicitly covered by the regulator’s fundamental objectives. The regulator’s home standard requires registered providers to comply with the Government’s decent home standards, which include requirements on energy efficiency. However, having considered further, we believe that these amendments would send a very strong signal to social housing providers and reinforce the broader importance of improving the energy efficiency of homes, to the benefit of communities, this country and the planet.

With the regulator having a specific objective to ensure that social housing maintains an appropriate level of energy efficiency, it will be important that government provides clarity on what standards of energy efficiency are expected of registered providers. That is why I am pleased to announce today that, following on from our 2021 Heat and Buildings Strategy—I say to my noble friend Lord Bourne that we do have a strategy—the Government will consult on energy efficiency in social housing within six months of the Bill receiving Royal Assent. I hope that answers a couple of questions from my noble friend Lord Bourne and the noble Baroness, Lady Pinnock. I say to the noble Baroness, Lady Hayman, that as long as I am a Minister in the department, I will make sure that this time we deliver within the timescale we set out today—because my name is on this.

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Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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I am not aware that there is a target. I will look to see whether there is one and come back to the noble Lord. As we have heard in this debate, the social housing sector is in fact better than any other sector at getting to EPC level C.

The noble Baroness, Lady Pinnock, and my noble friend Lord Young asked whether we have an energy-efficiency programme and what we are doing about it. We do have an energy-efficiency programme—my noble friend Lord Young of Cookham mentioned it: the social housing decarbonisation fund. In the 2019 manifesto the Government committed £3.8 billion to this over a 10-year period. This will upgrade a significant proportion of the stock that at the moment is below EPC level C up to that standard. The latest funding round was launched in September this year, so it is continuing and ongoing. There is £3.8 billion to do just that.

I now turn to Amendment 2, tabled by the noble Baroness, Lady Pinnock, regarding cladding remediation. Nothing is more important than keeping people safe in their homes. The department continues to work closely with registered providers to facilitate the remediation of unsafe cladding and other fire safety defects. However, we are not persuaded that the type of monitoring suggested by the noble Baroness’s amendment is necessarily appropriate for the Regulator of Social Housing. The regulator is not a specialist building safety body, nor does it collect data on hazards, safety breaches or associated remedial works. As I believe I said in Committee, the department is examining options relating to the monitoring of fire defects, including unsafe cladding. I know we are always saying this, but we will set out our plans in due course and I will keep the noble Baroness updated on those plans. As I said, I will personally keep an eye on them now that I am in the department.

The noble Baroness also asked what progress had been made on the monitoring of cladding for social homes and about shared equity. The Secretary of State made it clear that no leaseholder living in a building of above 11 metres will ever face any costs for fixing dangerous cladding, and that applies to shared ownership too. The Government will provide grant funding for the removal and replacement of unsafe cladding in buildings that are over 11 metres. We have also introduced a new model for shared ownership which will include a period during which the landlord will provide support for the cost of repairs in new-build homes as well. I hope that answers the noble Baroness’s question—I know that I am also answering a further question that she asked earlier in the week on a similar issue.

My noble friend Lord Young of Cookham asked for some details. I think I will need to write to him because he wanted quite a lot of detail. We recognise that some social landlords face significant building safety costs and that they are having to balance their existing budgets to support this. The Government committed over £400 million to fully fund the removal and replacement of unsafe ACM cladding systems on buildings over 18 metres that are owned by registered providers of social housing. The Government have also committed to meeting the costs of removing other types of unsafe cladding on social sector buildings over 18 metres where the financial viability of a registered provider would otherwise be threatened. We are working on it. My noble friend asked me a lot of other questions and I will make sure that we answer those in writing.

The noble Baroness, Lady Hayman of Ullock, has tabled two amendments relating to tenant engagement. I thank her for these because that is what the Bill is all about—tenants. I begin with Amendment 3, which seeks to require a social housing tenant to chair and set the agenda for the advisory panel. As I said in Committee, tenants are at the heart of the Bill. It is vital that we empower tenants and ensure that their voices are heard. I reiterate that the advisory panel is intended to allow a diverse range of individuals to share their knowledge and opinions with the regulator. The views of tenants are absolutely central to this objective.

However, I do not believe that requiring a social housing tenant to chair the advisory panel and set the agenda is necessary to ensure the views of tenants are heard. In line with the White Paper commitments, the panel will listen to, and balance the interests of, the full range of stakeholders, including tenants. We want all members of the advisory panel, along with the regulator, to shape its agenda and how it operates, and decide who is the best person to chair it at any one time; that might mean different chairs for different debates. The panel will provide an essential platform to give tenants a voice, which will be listened to and considered, alongside the opinions of other stakeholders. Tenants will continue to be central to the regulator’s work; it is already enabling tenants to influence the design and implementation of the new regulatory regime through a number of tenant engagement events.

I now move to Amendment 31 from the noble Baroness, which proposes that the Secretary of State introduces tenant satisfaction measures—TSMs—within 30 days of the Bill passing. The regulator has already consulted on and issued a standard for TSMs, which comes into force on 1 April 2023, alongside technical guidance to promote compliance. Tenants will be able to scrutinise the first full set of survey results in 2024 to evaluate the performance of their landlord.

The regulator developed the TSMs regime through a detailed consultation process, gathering over 1,000 responses from stakeholders, including tenants, landlords and trade bodies. Given this detailed process, and the progress that the regulator has already made in implementing TSMs, there is no need for an amendment requiring the Secretary of State to introduce them. In the light of the commitments and points I have made, I hope that noble Lords are reassured and will not press their amendments.

Baroness Pinnock Portrait Baroness Pinnock (LD)
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My Lords, I thank everyone around the House for a good debate on the issues, particularly those of energy efficiency and the affordability of energy for heating homes. I add my thanks to the Minister for being so open about having a discussion and trying to resolve some of the issues that we have raised. She has been very generous with her time, especially when she has had this Bill put in her lap at the last minute, so to speak. I thank her for the support for Amendment 1 in my name.

On Amendment 2, it is still unclear to me why, if one of the fundamental objectives of the regulator is safety, monitoring the remediation of cladding cannot be included—but there we are. I am pursuing this issue elsewhere, as the Minister well knows, and I shall do so.

The key issue is how very disappointing it is that the Government are apparently unable to support Amendment 14 in the name of the noble Baroness, Lady Hayman. We need a strategy that will work, and clearly we do not have one, otherwise one-third of houses in the social housing sector would not still be well below the EPC level C rating. I am fed up with all this bidding for money at the centre; it is very ineffective. We need a proper strategy to get this done, as Kirklees Council did when I was leader, with the Kirklees warm homes scheme.

With those final comments, I beg to move the amendment.

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Moved by
4: Clause 7, page 5, line 36, after “194” insert “, 194ZA”
Member's explanatory statement
This amendment is consequential on the amendment in the Minister’s name to insert a new clause before clause 19 inserting a new section 194ZA into the Housing and Regeneration Act 2008.
Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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My Lords, there was an extremely important debate in Committee on the professionalisation of the social housing sector. As a Government Whip at that stage, I committed to speak to the new Minister once in post to let them know the strong views of the House on this issue. The noble Baroness will be reassured to hear that the conversation went well, even if it was a little one-sided.

Let me be clear: the Government support the professionalisation of the sector. We strongly agree that there is a need to improve the behaviours, skills and capabilities of staff in the sector. The Grenfell tragedy and our subsequent social housing Green Paper consultation highlighted that many staff did not listen to or treat residents with respect, provide a high-quality service, or deal appropriately with complaints. That is why we have brought forward Amendments 18 to 39, which address these issues. The amendments give the Secretary of State a power to direct the regulator to set regulatory standards on the competence and conduct of all staff delivering services in connection with the management of social housing. A competence and conduct standard will require landlords to ensure that their staff have the skills, knowledge, experience and behaviours they need to deliver professional services. Qualifications such as those offered by the Chartered Institute of Housing will be one part of how landlords could achieve this, as part of a holistic approach to staff training and development.

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We know that the Government are reviewing professional training and development, but what are they doing to review workforce problems in the housing sector more widely and the impact of these shortages on the safety of social housing tenants? We welcome what the Government have said so far. However, it is not enough and if the noble Baroness, Lady Hayman of Ullock, decides to test the opinion of the House on this issue, we feel so strongly about it that we will support her.
Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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My Lords, the speeches from across the House today are a tribute to the role that real scrutiny of legislation can play. I personally thank the noble Baronesses, Lady Hayman of Ullock and Lady Pinnock, my noble friend Lady Sanderson and the noble Lord, Lord Best, among others, with whom I have had extremely constructive conversations on this critical issue over recent days. I also met Grenfell United and told them what I have to do and why I have to do it.

I will start by answering a couple of questions. The noble Baroness, Lady Hayman of Ullock, said that her amendment is permissive not prescriptive. Unfortunately, the existence of a power in legislation for the Government to in effect control hiring and firing decisions would still be deemed a government control by the ONS, even if it is permissive and flexible.

A number of noble Lords asked why we cannot ask the ONS about its decision before we make any further decisions—it is a question that I asked too. The ONS is the independent body statutorily responsible for making classification decisions, which includes determining whether bodies are part of the public sector. The ONS will make a formal assessment only once a new policy or regulation has been implemented; it does not classify the impact of policies still under development, so we cannot go to it until the decision is made.

Baroness Pinnock Portrait Baroness Pinnock (LD)
- Parliament Live - Hansard - - - Excerpts

I hear what the noble Baroness says, but have the Government actually asked the ONS whether it would be prepared to give an indication of whether the level of reclassification is reached? As others have said, that would really help.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
- Hansard - - - Excerpts

It will not engage, as far as I understand. His Majesty’s Treasury would deal with this and it has advised that we cannot do that, as that is not what the ONS does. The ONS publishes its assessments and its decision cannot be challenged. It will review its decision only in very limited stated circumstances, including when new legislation, policy proposals or machinery of government changes impact the operations of an organisation or, in this case, a sector.

I go back to the point that, in 2015, following further legislation on the social housing sector that had tipped it over, the ONS changed the classification and we had to introduce new legislation again. We do not want to be in that position—that would not be what anybody would want—and the time involved in doing all that would be extensive.

My noble friend Lord Young asked whether the review of professionalisation would feed through to the development of standard. Yes, it will: the review will inform the Secretary of State’s direction to the regulator about the context and objectives for the standard, so it will be used in that way.

My noble friend Lady Sanderson asked whether the Secretary of State could direct the regulator to include qualifications in the standard. Again, directing the regulator to require qualifications would also risk reclassification. However, in setting standards for the competence of their staff, landlords would have to provide assurance that their staff had the requisite capabilities, and I suggest that ensuring that their staff have appropriate qualifications would be a key way of achieving that aim.

Baroness Hayman of Ullock Portrait Baroness Hayman of Ullock (Lab)
- Parliament Live - Hansard - - - Excerpts

My Lords, having looked at the classification process on the ONS website, I see that it states:

“HM Treasury may … submit policy proposals for classification advice from the Economic Statistics Classification Committee … either on its own behalf if it is the policy lead, or on behalf of another department”.


It looks to me like the issue could have been put to the ONS for advice ahead of the position that we find ourselves in.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
- Hansard - - - Excerpts

We have asked for an indication, but the ONS will give only an indication. As far as I understand it, the indication is that this could tip over into a reclassification.

Baroness Hayman of Ullock Portrait Baroness Hayman of Ullock (Lab)
- Hansard - - - Excerpts

Could we perhaps have the official response to the Treasury, if it has put forward a request?

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
- Hansard - - - Excerpts

I am more than happy to provide that.

I think that I have answered all the questions. As I have said once already and as I said in Committee—although it perhaps bears repeating—the Government believe in professionalising the social housing sector. As was mentioned, we sent out an all-Peers briefing on Friday setting out the full rationale for what we are doing, why we are doing it and why we are unable to accept the amendment in the name of the noble Baroness, Lady Hayman of Ullock. The qualifications, training and development needed to professionalise social housing cannot be a one-size-fits-all; we must protect landlords’ ability to determine the most appropriate qualifications and training for their staff. The regulator has deep sector expertise and a strong track record of regulating the sector for financial liability, on which it would be able to draw, to ensure that landlords raise professional standards. The introduction of tough sanctions for landlords failing to comply with the new standard will ensure that consistently high standards are achieved across the sector.

To push back against what the noble Baroness, Lady Pinnock, said, I say that this is not light touch, given the enforcement powers and unlimited fines and the fact that the regulator will be looking at tenant satisfaction levels in great detail. If tenants are unsatisfied with their housing provider, they will say so, and at that point the regulator can move in—and the regulator has teeth to ensure the enforcement of specially trained staff, and has unlimited fines if the provider does not comply. There are tough sanctions for failing to comply with the new standards, and I believe that the provisions will ensure that consistently high standards are achieved across the sector.

Finally, the risk of reclassification of the social housing sector is substantial. The proposal to mandate qualifications for staff risks adding £90 billion to the public balance sheet. Reclassification could limit landlords’ ability to invest in new homes and in improving the quality of existing stock and service provision. This would clearly disadvantage tenants and undermine our objective of increasing professionalism in the sector. It is likely that we would want to introduce deregulatory measures to address that. It would weaken the regulatory framework that the Bill creates, and we cannot allow that to happen.

The Government are not trying to hide on this issue. It simply comes down to how we accomplish the outcomes for which we are all looking. I believe that the Government’s approach is the right one. I hope that noble Lords have been persuaded by my arguments.

Amendment 4 agreed.
--- Later in debate ---
Moved by
5: Clause 15, page 13, line 18, leave out subsection (3)
Member's explanatory statement
This amendment is consequential on the amendment in the Minister’s name to insert a new clause after clause 15.
Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
- Hansard - - - Excerpts

My Lords, this set of government amendments delivers technical changes which will ensure that measures in the Bill operate effectively and consistently.

Amendments 19, 20 and 21 to Clause 24 will ensure that both registered providers and the occupiers of premises will receive the same 48-hour notice period before the Regulator of Social Housing conducts a survey. The noble Baroness, Lady Pinnock, raised the discrepancy in notice periods in Committee. We agree that there should have been no difference between the notice periods that the tenant and landlord receive. I hope that she will welcome these amendments which address this problem.

I turn to the other amendments in this group. Amendments 26 to 30 are a series of changes to Clause 26. These will enable a regulator to carry out emergency remedial action more effectively. Given the urgent nature of these remedial works, these changes are highly important. Ahead of carrying out emergency remedial action, a person authorised by the regulator is required to notify all parties.

Amendment 28 allows all parties to consent to early entry before the minimum advance notice period has elapsed. This ensures that, where all parties are content, there will be no barrier to preventing urgent works starting immediately. Amendment 28 also allows the occupier to consent to a person authorised by the regulator conducting emergency remedial works in advance of the date specified on their pre-entry notice. Amendment 27 is consequential on this change.

Amendment 29 offers greater flexibility to the regulator by making it clear that the person authorised by the regulator to notify parties that emergency remedial works are due does not have to be the same person who carries out the works. Amendment 26 clarifies that, when emergency remedial works affecting common parts are due to take place, a notice is required to be given only in respect of occupied dwellings that have use of the common parts. Amendment 30 is a minor amendment to improve the drafting.

Amendment 6 would remove the requirements for the regulator to decide on the eligibility of registration of a registered provider that has recently converted from a company to a registered society. In such an event, the registered provider’s existing registration remains in place. Amendment 5 is consequential on this change.

Amendment 7 proposes a new clause in relation to the restructuring of a registered provider that is a registered society. It removes a duty on the regulator to make a registration decision where a registered society converts into a company or transfers undertakings to another society that is also a registered provider. Registration decisions are not needed in these circumstances. In the case of a conversion, the provider’s existing registration continues. In the case of a transfer, the transferee is already registered. Where a registered society amalgamates with another or transfers its undertakings to a society that is not also a registered provider, proposed new Section 163ZA provides that the successor body should be treated as registered and designated as a non-profit organisation pending the registration decision. Amendments 8 and 9 are consequential on this change.

These amendments are largely technical in nature. Many of them will support the regulator to deliver effectively on its economic and consumer regulation objectives, while others will ensure greater clarity and consistency in the legislation. I hope that noble Lords will support their addition to the Bill. I beg to move.

--- Later in debate ---
Moved by
6: Clause 15, page 13, line 24, leave out subsection (4)
Member's explanatory statement
This amendment is consequential on the amendment in the Minister’s name to insert a new clause before clause 16.
--- Later in debate ---
Moved by
7: After Clause 15, insert the following new Clause—
“Conversion of company into registered society: continuation of registrationIn section 161 of the Housing and Regeneration Act 2008 (company: conversion into registered society) omit subsections (4) to (7).”Member's explanatory statement
If a registered provider which is a company becomes a registered society the body’s registration as registered provider continues. This amendment removes the provisions requiring the regulator to decide whether the registered society is eligible for registration as a registered provider.
--- Later in debate ---
Moved by
9: Clause 16, page 14, line 1, leave out “section 163” and insert “section 163ZA (inserted by section (Restructuring of registered societies))”
Member's explanatory statement
This amendment is consequential on the amendment in the Minister’s name to insert a new clause before clause 16.
--- Later in debate ---
Moved by
10: Before Clause 19, insert the following new Clause—
“Standards relating to competence and conductAfter section 194 of the Housing and Regeneration Act 2008 insert—“194ZA Standards relating to competence and conduct(1) The regulator may set standards for registered providers in matters relating to the competence and conduct of individuals involved in the provision of services in connection with the management of social housing.(2) Standards under subsection (1) may, in particular, require registered providers to comply with specified rules about—(a) the knowledge, skills and experience to be required of individuals involved in the provision of services in connection with the management of social housing, and(b) the conduct to be expected of such individuals in their dealings with tenants.””Member's explanatory statement
This gives the regulator power to set a standard requiring registered providers to ensure that individuals who provide services in connection with the management of social housing have the knowledge, skills and experience to do so and to set out expectations as to how the individuals conduct themselves in relation to tenants. See also the amendment to Schedule 5, page 49, line 32 in the Minister’s name.
--- Later in debate ---
Moved by
11: Clause 19, page 16, line 18, leave out “section 194” and insert “section 194ZA (inserted by section (Standards relating to competence and conduct))”
Member's explanatory statement
This amendment is consequential on the amendment in the Minister’s name to insert a new clause before clause 19 inserting a new section 194ZA into the Housing and Regeneration Act 2008.
--- Later in debate ---
17:18

Division 1

Ayes: 189


Labour: 88
Liberal Democrat: 55
Crossbench: 37
Independent: 4
Bishops: 2
Conservative: 1
Green Party: 1
Plaid Cymru: 1

Noes: 176


Conservative: 164
Crossbench: 4
Democratic Unionist Party: 4
Independent: 3
Ulster Unionist Party: 1

--- Later in debate ---
Moved by
15: Clause 21, page 17, line 21, at end insert—
“(za) to set a standard under section 194ZA,”Member's explanatory statement
This enables the Secretary of State to direct the regulator to exercise the new power to set standards conferred by the new section 194ZA of the Housing and Regeneration Act 2008 (see the amendment to insert a new clause before clause 19 in the Minister’s name).
--- Later in debate ---
Moved by
16: Clause 21, page 17, line 24, after “paragraph” insert “(za) or”
Member's explanatory statement
This is linked to the amendment to clause 21, page 17, line 21 in the Minister’s name and enables the Secretary of State to direct the regulator about the content of the standards set under the new section 194ZA and to direct the regulator to have regard to specified objectives when setting them.
--- Later in debate ---
Baroness Hayman of Ullock Portrait Baroness Hayman of Ullock (Lab)
- Parliament Live - Hansard - - - Excerpts

My Lords, I shall be brief because much has been said that needs to be said, and we had quite a debate on this in Committee. I thank the noble Lord, Lord Best, for the amendments he put down in Committee and again on Report, and for all the hard work and time he has put into moving this issue forward so that we have reached a stage where the Government have recognised that more needed to be done in this area. I thank the Minister for her amendments and for recognising that inspection is a critical part of making progress on standards in social housing.

We are now reaching the end of the debate at Report, so I would just like to say a couple of things. The noble Baroness, Lady Pinnock, asked a number of questions; I will not add to them but will wait to hear the Minister’s response. I thank again the Minister and her officials, as I did at the beginning of today’s debate, for her personal commitment and time on this Bill, and for her efforts where she has been able to make progress—for example, on this issue and in some other areas. It is appreciated by all of us who want this Bill to be as good as it can possibly be.

The noble Lord, Lord Best, ended in the way that we ought to end this debate, which is to recognise why we are here today. It is because of those who suffered so much during the Grenfell tragedy not giving up and keeping going and pushing us politicians and others on what needed to change in the social housing sector. This Bill is a credit to them. On that note, I thank everybody for the debate and for their time today.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
- Parliament Live - Hansard - - - Excerpts

My Lords, I thank the noble Lord, Lord Best, for his Amendment 17 relating to inspections and for the time he has given me and my officials on this issue; it was important. He knows so much about this sector, and it was really very useful to spend time with him, as it was useful to spend time with many other noble Lords on a number of issues here. I thank them so much for their time.

--- Later in debate ---
Moved by
18: Clause 23, page 18, line 2, after “194” insert “, 194ZA”
Member's explanatory statement
This amendment is consequential on the amendment in the Minister’s name to insert a new clause before clause 19 inserting a new section 194ZA into the Housing and Regeneration Act 2008.
--- Later in debate ---
Moved by
19: Clause 24, page 19, line 9, leave out from “if” to end of line 14 and insert “an authorised person has given at least 48 hours’ notice of the first exercise of the power—
(a) to the registered provider, and(b) if the premises are occupied, to the occupier (or any one of the occupiers).”Member's explanatory statement
This provides for occupiers of premises to be given 48 hours’ notice of the first exercise of the power to enter to carry out a survey (as opposed to 24 hours). This places occupiers in the same position as registered providers of the premises concerned.
--- Later in debate ---
Moved by
22: After Clause 24, insert the following new Clause—
“Inspection plan(1) The Housing and Regeneration Act 2008 is amended as follows.(2) After section 201 (inspections) insert—“201A Inspection plan(1) The regulator must make a plan as regards—(a) the descriptions of registered provider that should be subject to regular inspection under section 201,(b) the intervals at which regular inspections should be carried out under that section, and(c) the circumstances in which registered providers should be subject to inspections under that section other than regular inspections.(2) The plan may make different provision for different cases, circumstances or areas.(3) The regulator must take appropriate steps to implement the plan.(4) The regulator must—(a) keep the plan under review,(b) when appropriate, revise or replace the plan, and(c) publish the plan and any revised or replacement plan.”(3) In section 215 (use of intervention powers), after subsection (1) insert—“(1A) In determining whether the regulator has complied with subsection (1) in relation to its power to arrange for inspections under section 201(1), a plan published under section 201A may be taken into account.””Member's explanatory statement
This imposes a duty on the regulator to produce, publish and take appropriate steps to implement a plan relating to the carrying out of both regular and one-off inspections of registered providers of social housing. It requires the regulator to keep the plan under review and to update it as appropriate.
--- Later in debate ---
17:50

Division 2

Ayes: 171


Labour: 86
Liberal Democrat: 58
Crossbench: 19
Independent: 5
Bishops: 1
Green Party: 1
Plaid Cymru: 1

Noes: 175


Conservative: 160
Crossbench: 8
Democratic Unionist Party: 4
Independent: 2
Ulster Unionist Party: 1

--- Later in debate ---
Moved by
24: Clause 25, page 21, line 32, after “194” insert “, 194ZA”
Member's explanatory statement
This amendment is consequential on the amendment in the Minister’s name to insert a new clause before clause 19 inserting a new section 194ZA into the Housing and Regeneration Act 2008.
--- Later in debate ---
Moved by
25: Clause 25, page 21, line 35, after “194” insert “, 194ZA”
Member's explanatory statement
This amendment is consequential on the amendment in the Minister’s name to insert a new clause before clause 19 inserting a new section 194ZA into the Housing and Regeneration Act 2008.
--- Later in debate ---
Moved by
26: Clause 26, page 25, line 29, leave out from “building” to end of line 31 and insert “and there are occupied dwellings in the building that have use of those common parts, the occupier (or any one of the occupiers) of each of those dwellings,”
Member's explanatory statement
This is to make it clear that notice of entry to carry out works on common parts needs to be given under this provision in respect of dwellings which have use of the common parts only if the dwelling is occupied.
--- Later in debate ---
Moved by
32: Schedule 5, page 49, line 19, at end insert—
“(za) in paragraph (a), for “to 198B” substitute “to 198”;”Member's explanatory statement
The amends section 192 of the Housing and Regeneration Act 2008 to reflect the repeal of section 198B by clause 22 of the Bill.
--- Later in debate ---
Moved by
33: Schedule 5, page 49, line 25, after “safety” insert “, energy efficiency”
Member's explanatory statement
This is to make it clear that the regulator’s power to set standards extends to setting standards for registered providers as to the energy efficiency of accommodation, facilities and services provided in connection with social housing.

Social Housing (Regulation) Bill [HL]

(Limited Text - Ministerial Extracts only)

Read Full debate
3rd reading
Monday 31st October 2022

(1 year, 5 months ago)

Lords Chamber
Social Housing (Regulation) Act 2023 Read Hansard Text Amendment Paper: HL Bill 54-I Marshalled list for Report - (14 Oct 2022)

This text is a record of ministerial contributions to a debate held as part of the Social Housing (Regulation) Act 2023 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

Moved by
Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook
- Parliament Live - Hansard - - - Excerpts

That the Bill be now read a third time.

Baroness Scott of Bybrook Portrait The Parliamentary Under-Secretary of State, Department for Levelling Up, Housing & Communities (Baroness Scott of Bybrook) (Con)
- Hansard - - - Excerpts

My Lords, I will take a moment to do one last piece of housekeeping on the state of the Bill. My department has been working closely with the Welsh Government to ensure that they are kept abreast of the Bill’s progress and implications. Two legislative consent memorandums have been lodged with the Senedd Cymru indicating that consent should be given for this Bill. My officials will continue to engage with their colleagues in the Welsh Government and I hope that, by the time the Bill leaves the other place, legislative consent will have been given by the Senedd Cymru.

--- Later in debate ---
Moved by
Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook
- Hansard - - - Excerpts

That the Bill do now pass.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
- Hansard - - - Excerpts

My Lords, I thank noble Lords on all Benches—noble friends behind me and noble Lords across the House—for their co-operation on this Bill. I view the Bill as essential to bringing much-needed and long-overdue change to the social housing sector—long overdue because it has been more than five years since the Grenfell Tower fire. I thank in particular all members of the Grenfell community, who have pushed so hard and contributed so much in shaping the Bill. I hope it will stand as part of the legacy of Grenfell and play its part in ensuring that such a tragedy never happens again.

It is my sincere hope and belief that the Bill will create a strong and proactive consumer regulation regime that will drive up standards in social housing and help tenants and the Regulator of Social Housing hold landlords to account.

However, it is important that the Government remain open to new ideas from Peers from across the House, and those within the industry. We listen to the points raised by Peers in this Chamber and during valuable meetings between debates. Consequently, we tabled two important amendments. The first gives the regulator powers to set standards for competence and conduct for staff working in social housing. This will ensure that staff have the knowledge, skills and experience to deliver a high-quality service for tenants. I am grateful for the contributions from the noble Baronesses, Lady Hayman of Ullock and Lady Wilcox of Newport. The second amendment imposes a duty on the regulator to publish and take reasonable steps to implement a plan for regular inspections. The regulator had previously committed to this but I am glad that we have enshrined it in legislation. This will give tenants confidence that landlords will be required to deliver on the standards imposed on them and be held accountable if they do not. Again, I should like to thank the noble Lord, Lord Best, for his determination to see this included in the Bill.

Turning now to the amendment on energy efficiency in the name of the noble Baroness, Lady Hayman, I recommit to the House that we will consult on energy efficiency in the sector within six months of the Bill becoming an Act. We continue to support the sector in becoming more energy efficient but remain firm in our belief that this amendment is not the right way to achieve this. However, I must respect the will of this House on this issue and I thank the noble Baroness for bringing what is clearly an important issue to the fore. I thank all Members from the Front Benches opposite and my noble friends here for their wisdom and commitment. Lastly, I thank my noble friend Lady Bloomfield of Hinton Waldrist for her support beside me since Committee, which has been invaluable.

I am sure noble Lords will also join me in thanking the Bill team for their engagement, in particular Patrick, Ed, Dan and Elena. I also thank Marcus from my private office and Ruhena, Josh, Matthew, Shayne, Ellen, Richard, Mette, Richenda, Will, Nici and Jim—I hope I have not missed anybody—who have all provided invaluable support to a very rookie Minister with her first Bill. I also extend my thanks to all the policy officials as well as the legal team, ably led by Clare, and to the parliamentary counsel, who worked tirelessly to get this Bill to where it is.

It is important to remember that we are only half way there with the Bill. I wish it a swift journey through the other place, and hope that Members there will debate and consider it in a thoughtful, passionate, detailed and courteous manner, as we have done here. I reassure noble Lords that I remain open to further meetings with them to discuss this important legislation and look forward to picking this up again in what I hope will be a very brief discussion following its passage through the other place. I beg to move.

Baroness Hayman of Ullock Portrait Baroness Hayman of Ullock (Lab)
- Parliament Live - Hansard - - - Excerpts

My Lords, this is a really important Bill and I will briefly say some thank yous. I thank all noble Lords who took part to improve the Bill as it made its passage through this House. I thank, as the Minister did, Grenfell United, Shelter and the residents who suffered most from Grenfell and have worked so hard to bring this new legislation forward, alongside the Government. I thank my noble friend Lady Wilcox for her great support. I also support the Minister; this may have been her first Bill, but we have worked very constructively together and I thank her for her approach to the Bill, her approach to the House and for her time and that of her officials.

Social Housing (Regulation) Bill [Lords]

(Limited Text - Ministerial Extracts only)

Read Full debate
2nd reading
Monday 7th November 2022

(1 year, 5 months ago)

Commons Chamber
Social Housing (Regulation) Act 2023 Read Hansard Text Amendment Paper: HL Bill 54-I Marshalled list for Report - (14 Oct 2022)

This text is a record of ministerial contributions to a debate held as part of the Social Housing (Regulation) Act 2023 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

Michael Gove Portrait The Secretary of State for Levelling Up, Housing and Communities (Michael Gove)
- Parliament Live - Hansard - - - Excerpts

I beg to move, That the Bill be now read a Second time.

The Social Housing (Regulation) Bill, which was, of course, first introduced in the other place, is one of a number of steps that the Government have taken in the aftermath of the dreadful tragedy that occurred at Grenfell in 2017. Everyone in the House was shocked by what happened on that night, when 72 people lost their lives in one of the most horrific civilian tragedies that has ever occurred in these islands. The suffering of the victims of that tragedy is almost impossible to relate, and the testimony, forbearance and endurance of the survivors and the bereaved, of relatives and residents, is very much in all our minds as we consider how we can appropriately learn lessons from the tragedy, put right what went wrong and ensure at last that those who suffered receive justice.

Florence Eshalomi Portrait Florence Eshalomi (Vauxhall) (Lab/Co-op)
- Hansard - - - Excerpts

I welcome the Secretary of State back to his position. I say that because I think he did make some progress on the cladding issue when he was Secretary of State previously. He will be aware that there are still no personal evacuation plans for disabled people, although the former-former Prime Minister confirmed that the Government would take up all the recommendations of the Grenfell inquiry. Will the Secretary of State please look at that?

Michael Gove Portrait Michael Gove
- Hansard - - - Excerpts

I am grateful to the hon. Lady, who, as well as doing fantastic work on the Select Committee in trying to ensure that appropriate progress has been made on matters such as building safety, has been a very effective advocate for her constituents in this regard. Let me emphasise that in the wake of the Grenfell tragedy the Government have to undertake a significant body of work, and the hon. Lady is right to hold us to account for the speed with which we do it. There is work that needs to be done on building safety overall. We have introduced legislation—the Fire Safety Act 2021 and the Building Safety Act 2022—in order to take forward some of the recommendations that were already being generated by the inquiry, and indeed in some cases we did not have to wait for those recommendations to know that we needed to act.

The hon. Lady mentioned a very important factor: the personal evacuation plans. Again, this is a difficult and sensitive question. A number of those affected by the Grenfell tragedy were individuals living with disabilities. It is critical to ensure that the correct regime is in place for those individuals so that they are safe in the homes in which they live—and they deserve to be safe—and also to ensure that were disaster to strike, the fire and rescue services would be able to ensure they could be evacuated safely.

I have heard some of the concerns expressed by residents and others about the Home Office’s response to recommendations on personal evacuation plans. I think it important for me to work with the new Home Office Minister dealing with this issue—the Under-Secretary of State for the Home Department, my hon. Friend the Member for Derbyshire Dales (Miss Dines)—in order to ensure that we listen to what residents have said and, I hope, do better. Listening to what residents have said is critical to our whole approach to what happened in Grenfell, and to broader concerns about the quality of social housing and the safety of those in social housing that that tragedy underlined our need to act on.

None Portrait Several hon. Members rose—
- Hansard -

Michael Gove Portrait Michael Gove
- Hansard - - - Excerpts

I am more than happy to give way to my hon. Friend the Member for Walsall North (Eddie Hughes), who did so much to put these things right when he was a Minister. I will give way to everyone else in due course.

Eddie Hughes Portrait Eddie Hughes (Walsall North) (Con)
- Hansard - - - Excerpts

It was an absolute privilege to work with the Secretary of State and to be tasked with converting the Social Housing White Paper into the robust legislation that we see before us today. Having listened to the podcast on the Grenfell Tower inquiry, may I ask whether the Secretary of State agrees that one of the overriding ambitions of the Bill is to ensure that social housing tenants are treated with respect at all times, and that we remove any stigma that is associated with such tenure?

Michael Gove Portrait Michael Gove
- Hansard - - - Excerpts

As ever, my hon. Friend is 100% spot-on. Even before the Grenfell tragedy, it was clear that the way in which tenants were being treated in social housing in far too many cases, and—it pains me to say this—particularly in Kensington, was simply not good enough. We have vivid documentary evidence of the fact that the tenant management organisation that was responsible for the refurbishment of Grenfell simply did not listen to tenants and behaved in a high-handed fashion. Their safety was not given the importance it deserved. A number of residents, including Ed Daffarn of Grenfell United, a survivor of that night, were very clear about the risks that were being run, but they were not listened to. One of the most powerful lessons of the tragedy is the need for us to ensure that social housing tenants feel that their voice is being heard. As my hon. Friend for Walsall North said, any high-handed and aloof behaviour exhibited by some towards people who are the most deserving of our protection should end, and I hope that it will.

Marsha De Cordova Portrait Marsha De Cordova (Battersea) (Lab)
- Hansard - - - Excerpts

I, too, welcome the Secretary of State back to his position. May I return briefly to the intervention from my hon. Friend the Member for Vauxhall (Florence Eshalomi) about personal evacuation plans for disabled people? As the Secretary of State knows, the Home Office did not expect that recommendation. Is it his view that those plans should be in place for disabled people living in high-rise blocks?

Michael Gove Portrait Michael Gove
- Hansard - - - Excerpts

We do need to look again at the position. I have to be careful because the Home Office is a separate Department and I am not the Secretary of State there, but I do know that the new Home Secretary and the new Minister responsible for fire safety appreciate and understand the need to look closely at the concerns that tenants expressed on the previous position. I have to say that the previous position was taken in good faith, but we need to pay attention to the concerns expressed.

Andy Slaughter Portrait Andy Slaughter (Hammersmith) (Lab)
- Hansard - - - Excerpts

I am sure that we all want social landlords, and indeed all landlords, to be held to account when they fall short. Does the Secretary of State accept that there may be a problem with some financial penalties? We may end up punishing tenants twice: once for having a bad landlord and again by having funds withheld. I can give a specific example from my constituency. A social landlord is failing financially so is penalised by not being able to bid for the building safety fund, with the consequence either that fire safety works do not get done, or that properties are not sold or developed and new properties are not built. Will he look at that specific instance and see whether we can avoid penalising tenants in that way?

Michael Gove Portrait Michael Gove
- Hansard - - - Excerpts

The hon. Gentleman makes the fair point that there are lots of pressures on registered social landlords and housing associations. The Bill is there to ensure that all emulate the best, but I appreciate that with pressures to increase supply, pressures on building safety and pressures to deal with the poor-quality stock that many have inherited, we need to be sensitive. I am sure that the regulator will be, in the application of any fines, if the correct action is not being taken.

Jim Shannon Portrait Jim Shannon (Strangford) (DUP)
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I thank the Secretary of State and welcome him back to his position; I look forward to his significant contribution to this issue. Obviously it is good for lessons to be learned, but it is also good to share them. Northern Ireland does not have the same number of high-rise apartment blocks as London or elsewhere across the United Kingdom, but we have some—Housing Executive, housing association and some private. Has the Secretary of State on his return been able to share the information about better safety with all the regions, particularly Northern Ireland?

Michael Gove Portrait Michael Gove
- Hansard - - - Excerpts

I am grateful to the hon. Gentleman for raising that. This legislation applies to housing associations and social landlords in England, of course, but in my other role as Minister for Intergovernmental Relations, I have talked to Ministers and officials in the devolved Administrations about some of these building safety questions. We all have a shared interest in getting those right. Of course we respect the nature of devolved competence, but we also want to make sure that some of the insights, particularly about how we deal with developers, can be operationalised UK-wide.

Mark Francois Portrait Mr Mark Francois (Rayleigh and Wickford) (Con)
- Hansard - - - Excerpts

Post what the Secretary of State rightly described as the absolute tragedy of Grenfell, if he were to be presented in this debate this evening with evidence that a housing association continues to take a complacent attitude to the fire safety of its tenants, would he regard that as a very serious matter indeed?

Michael Gove Portrait Michael Gove
- Hansard - - - Excerpts

I certainly would. My right hon. Friend is absolutely right that housing associations and other social landlords have to take safety incredibly seriously. This legislation is intended to ensure that they do. If housing associations or other social landlords are not taking safety, and particularly fire safety, seriously, I would be most grateful if he and others would share such information with me. He has been a uniquely assiduous constituency MP and his concern for the vulnerable and voiceless is such that he will raise his voice on their behalf. We will do everything we can to act.

Before going on to the meat of the Bill, I should say that, as a number of Members have rightly pointed out, a range of issues need to be tackled in the wake of the Grenfell tragedy. As well as legislating on building safety, we need to make sure that there is action, particularly from some of those with direct responsibility for fixing the problems that they helped to create. I am grateful to the two Secretaries of State who succeeded and preceded me here, my right hon. Friends the Members for Tunbridge Wells (Greg Clark) and for Middlesbrough South and East Cleveland (Mr Clarke). In office, both accelerated the efforts we were undertaking to ensure that developers who were responsible for buildings that were not safe accept the responsibility for remediating those buildings.

There have been some indications from some speaking apparently on behalf of developers that, because of the global economic headwinds we are all facing—there may be an impact on supply; there may be an impact on their bottom line—they feel that the weight of obligation that has been placed on their shoulders should perhaps be lessened somewhat. Let me make clear from the Dispatch Box that it cannot be the case that economic conditions, which affect us all, are being used by developers, or anyone else, to shuffle off their obligations.

Similarly, there are freeholders who have direct responsibility to the leaseholders in the buildings they ultimately own to remediate those buildings—that is their legal obligation. This Parliament passed laws to ensure that they fulfil that obligation. There are some freeholders—organisations of significant means—that are, again, trying to delay or dilute their responsibilities. That is simply not acceptable. I hope that across the House we make it clear that, yes, these are tough economic times, but they are very tough economic times for the most vulnerable in our society, and there is no way that plcs and other organisations with healthy balance sheets and surpluses, and CEOs who are earning handsome remuneration, can somehow use global economic conditions as an excuse for shuffling off their responsibility. That just will not do. All of us across the House will work to ensure that the work of remediation is done and that there will be no hiding place for those responsible.

In bringing forward the Bill, I want to thank, first of all, all colleagues in the other place who contributed to improving it while it was there. I am sure that in Committee there may well be amendments from Back-Bench colleagues across the House that can contribute to improving it. My colleagues in the other place were grateful to those noble colleagues who contributed to the enhancement of the Bill. In particular, I want to thank Lord Greenhalgh, who, as building safety and fire safety Minister, introduced the Bill and served with such distinction in the Department.

I thank my hon. Friend the Member for Walsall North for all the work he did, and not just on this Bill but on legislation on the private rented sector and on homelessness. I thank my right hon. Friend the Member for Newark (Robert Jenrick) for his work, when Secretary of State, on the White Paper that preceded the Bill. In particular, I also want to thank my right hon. Friend the Member for Maidenhead (Mrs May). Her actions in the immediate aftermath of the Grenfell tragedy, along with the moral leadership she has shown, set in train a programme of reform to ensure that those in social housing got the full attention of the Government. That has ensured the Bill is before us today.

I also want to thank two campaigners who, in the course of the last year, have shone a light on some of the worst conditions in social housing, and have reminded us all how important it is to ensure that our regulator has teeth. First, Kwajo Tweneboa is a young man who I think all of us in this House have seen campaigning with eloquence and passion. Having grown up in social housing, he has acted as a voice for those who may have been overlooked and underserved in the past. Secondly, Daniel Hewitt for ITV News has worked with Kwajo and others to ensure that registered social landlords who have not been performing their duties adequately are held up to proper scrutiny.

It is of course important to acknowledge that there are a number of different aspects of the social housing debate that the Bill does not cover. It does not cover the whole question of future supply. We will have an opportunity to debate that in this House in the weeks and months to come. It is also important to stress that the overwhelming majority of those who work in social housing are doing a fantastic job. The overwhelming majority of those who work in housing associations and in all the arm’s length management organisations that help to provide social housing are dedicated professionals. They have nothing to fear from the Bill and, indeed, everything to gain. It is the case, however, that some 13% of homes in the social rented sector do not meet the decent homes standard, and that is simply too high a figure. We need to make sure action is taken to deal with that. I should say, by contrast, that the proportion of homes in the private rented sector estimated not to meet that standard is 21%, which is why legislation to improve conditions in the private sector is so important and, again, the work of my hon. Friend the Member for Walsall North and others has been so critical.

A series of steps are taken in the Bill to ensure that we can more effectively regulate the sector. First, the Bill makes sure that what has been called the serious detriment test no longer applies. In the past, a very high bar had to be met before the regulator could investigate complaints. We are removing that test, lowering the bar and making it easier for tenants to feel that their concerns are being investigated.

The second significant measure is that we are ensuring that the cap on fines under which the regulator hitherto operated—just £5,000—is lifted so that unlimited fines can be levied. I know that the regulator will take account of the comments made by the hon. Member for Hammersmith (Andy Slaughter) and others to ensure that fines are targeted and proportionate, but the potential for the regulator to levy unlimited fines will concentrate minds as few other things will for some of the significant players in the sector that need to up their game.

We will also shorten to two days the period of time for inspections, which was hitherto four weeks, to ensure that tenants who have concerns can feel that they are being addressed more quickly. We will require performance improvement plans from housing associations and others that are found wanting. Critically, safety will become a fundamental objective for registered social landlords and a named individual in each RSL will be responsible for health and safety, thereby making sure there is clearer accountability where it has been fudged in the past.

Thanks to amendments tabled in the House of Lords, we are introducing a new standard for competence for people who work in the field. There has been a lively and important debate about the need for higher professional standards in housing. I completely agree; evidence from what happened in the run-up to Grenfell showed that some of those who were responsible for safeguarding and improving social housing did not have the basic standards of professionalism that are required.

We need to proceed with sensitivity, because the standard of qualification and degree of professional training required for someone at the heart of a major registered social landlord may of course be different from that for someone who is operating a small alms house or other charity provider, but there is a clear need for greater professionalisation. We will work with colleagues to ensure that we have fit-for-purpose legislation.

Jim Shannon Portrait Jim Shannon
- Hansard - - - Excerpts

I thank the Secretary of State for his comprehensive speech. It has become apparent from things we read in the paper and from television programmes that some of the councils responsible for enforcement in respect of safety in properties are finding themselves financially stretched to deal with the massive issues that come their way. Does the Bill provide some help, whether by financial or other means, to ensure that councils can deal with the enormous issues that they have to deal with? I can understand why they are sometimes overwhelmed.

Michael Gove Portrait Michael Gove
- Hansard - - - Excerpts

The hon. Gentleman makes an important point. Indeed, local authorities have in the past been found wanting when it comes to building control. The most recent spending review included significant additional sums for local government, but we are all aware that inflation and other pressures are putting considerable strain on local government finances. It is my commitment to work with local government, particularly in England but, of course, throughout the United Kingdom, to make sure that the most vital statutory functions can be well funded. I will of course work with the Northern Ireland Local Government Association and others to make sure that we can provide the support that is required.

The legislation will make sure that the voice of tenants is more effectively placed at the heart of regulation and policy making overall. The establishment of an advisory panel will draw widely to ensure that the regulator and the Department understand the concerns of social tenants. Indeed, the regulator will be in the vanguard of a greater level of transparency in respect of the level of service provided by individual social landlords.

Legislation on its own can achieve a lot but not everything, and I am conscious that my Department has a responsibility, as Grenfell United and others have pointed out, to make sure that there is wider awareness of the power, and path, for complaints. I am glad that there has been greater awareness of the way in which complaints can be made, that those complaints are being acted on more quickly, and that registered social landlords such as Clarion, which have been on the receiving end of complaints, have responded more quickly. My Department has been responsible for making sure that there is a wider awareness of how to deal sensitively with examples of anti-social behaviour. It continues to work with local government and with registered social landlords—alongside the work of the ombudsman—to ensure that there is a better appreciation of what tenants require.

The legislation was originally conceived of, generated and brought forward by my right hon. Friend the Member for Maidenhead as one of a number of measures to ensure that we do right by the bereaved, the survivors and the relatives of those in the Grenfell tragedy, but there is still much to do. I am very conscious that more than five years on from that tragedy, work is still in progress and we need to expedite it, but I know that the inquiry, which formally concludes this week, will be in a position—thanks to the testimony of so many brave people—to hold us and future Governments to account.

Across the House, the spirit in which we will take the legislation forward and examine it in Committee will be one of commitment to honour the memory of those who lost their lives and of a determination to ensure, “Never again”.

--- Later in debate ---
Dehenna Davison Portrait The Parliamentary Under-Secretary of State for Levelling Up, Housing and Communities (Dehenna Davison)
- Parliament Live - Hansard - - - Excerpts

I sincerely thank Members across the House for their valuable contributions to the debate, but also for the constructive nature in which they have engaged with this crucial legislation. I was pleased to hear that Members from across the House support the principles of the Bill. It is imperative that we get it on to the statute book quickly, so it can deliver the change the sector needs and the change we all know tenants deserve.

It is right that I add my voice to that of my right hon. Friend the Secretary of State for Levelling Up, Housing and Communities, the shadow Secretary of State, the hon. Member for Wigan (Lisa Nandy), the shadow Minister, the hon. Member for Greenwich and Woolwich (Matthew Pennycook), and many other Members across the House: Grenfell United and the community as a whole have displayed incredible courage and determination over the last five years, turning their own terrible experiences into important and lasting change. Their tireless endeavour has helped to bring this historic legislation before Members today and I wholeheartedly commend them. The Bill is part of their legacy and the legacy of the 72 who sadly lost their lives. The residents in the tower were put in an appalling situation that never should have occurred. We have a duty to ensure that it never happens again.

My hon. Friend the Member for Walsall North (Eddie Hughes) is no longer in his place, but spoke passionately about the fact that all social tenants should be treated with respect, a sentiment that all of us across the House certainly share. I put on record my thanks for all the work he did in this particular policy area.

A few Members spoke about the stigma around social housing. We absolutely need to reduce it. It was mentioned by the hon. Member for Wigan, my right hon. Friend the Member for Maidenhead (Mrs May) and the hon. Member for Vauxhall (Florence Eshalomi). I particularly thank the hon. Member for Vauxhall for sharing her own story. It is clear that she is incredibly passionate about this issue and I hope she will continue to campaign on it with the vigour she has shown to date.

My hon. Friend the Member for Dudley North (Marco Longhi) rightly praised those working in the social housing sector and I share that praise. We have heard tales today of bad practice, but that is very much a minority of people working in the sector. We need to recognise the hard work and dedication of those across the sector to ensure their tenants are in safe and secure housing and are protected. He was also right to say that social landlords must fulfil their obligations. He rightly raised improvement plans and the new fines that will be put in place as part of the Bill.

We have heard from across the House examples of bad practice. My right hon. Friend the Member for Rayleigh and Wickford (Mr Francois), the hon. Member for Strangford (Jim Shannon), the hon. Member for Salford and Eccles (Rebecca Long Bailey), the hon. Member for Battersea (Marsha De Cordova) and the hon. Member for Mitcham and Morden (Siobhain McDonagh) raised examples from the experiences of their own constituents. I must add my voice in praising Kwajo for his tireless campaigning. Stories like his prove why it is so crucial that we pass the Bill today.

The hon. Member for Dulwich and West Norwood (Helen Hayes) spoke of Georgia’s law. I cannot begin to imagine how difficult Georgia and her son’s experience must have been, but I would be grateful for the opportunity to sit down with the hon. Member to discuss that further before we get to the Committee stage.

A number of Members discussed whether we should go further on the professionalisation of the sector, including my right hon. Friend the Member for Maidenhead. I add my sincere thanks to her for her steadfast campaigning since the terrible tragedy occurred in June 2017. The Government firmly believe that the housing sector should have competent and respectful staff who can meet tenants’ needs and deliver high-quality services. That is why we ran a professionalisation review from January to July this year. It brought together tenant representative groups, including Grenfell United, trade bodies such as the Chartered Institute of Housing, landlords, and housing academics to consider the optimum approaches to staff development in the social housing sector. The review was informed by independent research that mapped the current qualifications and training landscape. The review concluded that there was no one-size-fits-all qualification that encompassed every facet of the social housing sector’s requirements, although I note the point raised by my right hon. Friend the Member for Maidenhead about whether it is possible to develop a slightly more detailed set of proposals on those qualifications.

My right hon. Friend also raised a point about potential reclassification by the Office for National Statistics, and rightly outlined a concern we have in Government about the risk that could bring to taxpayers, particularly the fact that £90 billion of debt could be brought on to the public ledger, which is a very real consideration for us. She asked whether it was possible to engage with the ONS, and whether any engagement had already occurred. The ONS will only make a formal classification decision on new policy or regulation once that has already been implemented. In exceptional circumstances, the Government can ask the ONS to perform a policy proposal review, but as the policy is currently still being developed, we are not in a position to request that formal review. The risk assessment that we have undertaken is based on our work with the Treasury classification team, who work closely with the ONS and have in-depth knowledge of the classification framework and its application to the social housing sector. I would be happy to sit down with my right hon. Friend and discuss the issue further before the Bill goes to Committee.

Inspections were raised by a number of hon. Members, including my right hon. Friend the Member for Rayleigh and Wickford and the hon. Member for Battersea. The regulator has committed to delivering regular consumer inspections as part of the new proactive regime. Inspections will help the regulator to hold landlords to account and take action where necessary, ultimately driving up the standard of service delivery to tenants. The Government tabled an amendment in the Lords to put that commitment into law, which gives the regulator a duty to publish and take reasonable steps to implement a plan for regular inspections. The system of inspections will be based on a risk profile to ensure that those landlords at greatest risk of failing, or where failure might have the greatest impact on tenants, are subject to greater oversight. As part of that, the regulator will aim to inspect landlords with more than 1,000 homes every four years. We have had a positive response from stakeholders, including Lord Best and Shelter, since we placed that measure in the Bill.

Let me touch quickly on supported housing. The Government are investing £20 million in a supported housing improvement programme to drive up quality in that sector. My Department is actively engaging with my hon. Friend the Member for Harrow East (Bob Blackman) and the charity Crisis, which is campaigning passionately on this issue, to see how we can address the problems raised. Social housing supply was raised by the hon. Members for Wigan, for Hammersmith (Andy Slaughter), for Battersea, and for Salford and Eccles. The provision of affordable housing is an existing part of the Government’s plans to build more homes and provide aspiring homeowners with a step on to the housing ladder. Our £11.5 billion affordable homes programme will deliver thousands of affordable homes for both rent and to buy right across the country. The Levelling Up White Paper committed to increasing the supply of social rented homes, and a large number of the new homes delivered through our affordable housing programme will be for social rents.

Mark Francois Portrait Mr Francois
- Hansard - - - Excerpts

I congratulate the new Minister who is admirably summing up what I thought was a remarkably thoughtful, consensual and non-partisan debate. On a slightly lighter note, can we do something about the name of the social housing regulator? It does not have to be off-roof, or even roof-off, but could we have something a bit snappier that might strike fear into the hearts of complacent housing association chief executives, of whom there are sadly still too many?

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I will certainly take that suggestion on board. If my right hon. Friend has any ideas, I will accept them on a postcard or via WhatsApp. He now has a mission to come up with a snappy name.

The hon. Member for North Shropshire (Helen Morgan) raised the subject of energy efficiency. Baroness Hayman tabled a successful amendment in the other place that ties the Government into producing a strategy on energy efficiency in the social rented sector within 12 months of Royal Assent. We are considering how to address that new provision in the Bill and will update the House shortly.

The hon. Members for Vauxhall, for Wigan, for North Shropshire and for Mitcham and Morden touched on the resourcing of the regulator. We are firmly committed to ensuring that the regulator has the resources that it needs not only to deliver the new consumer regulation regime but to ensure that it continues to regulate its economic objectives effectively. We have made an additional £4.6 million available in 2022-23 to support the new regime. We will potentially be introducing changes to the fee regime, which will be subject to consultation to ensure that the regulator is funded appropriately.

The hon. Member for Strangford, as always, adopted a constructive approach, wanting to ensure that those in Northern Ireland learn the lessons of the terrible tragedy of Grenfell and that they can benefit from some of the incredible measures that we are bringing forward in the Bill. He will have heard the Secretary of State speak about his engagement with devolved Administration Ministers and officials; I hope that that has provided him with some assurance.

We have heard today how a Bill with a relatively small number of clauses can have such a large impact. Addressing housing in this country is central to our levelling-up mission. It is essential that social tenants live in safe, good-quality homes provided by responsible, well-run registered providers. I am pleased to be closing this insightful Second Reading debate; seeing how passionately Members across the House feel about the Bill only reinforces its importance. I look forward to taking the Bill through Committee and working with shadow Ministers and all interested Members across the House so that we can bring real, lasting change to the social housing sector.

Question put and agreed to.

Bill accordingly read a Second time.

Social Housing (Regulation) Bill [Lords] (Programme)

Motion made, and Question put forthwith (Standing Order No. 83A(7)),

That the following provisions shall apply to the Social Housing (Regulation) Bill [Lords]:

Committal

(1) The Bill shall be committed to a Public Bill Committee.

Proceedings in Public Bill Committee

(2) Proceedings in the Public Bill Committee shall (so far as not previously concluded) be brought to a conclusion on Tuesday 13 December 2022.

(3) The Public Bill Committee shall have leave to sit twice on the first day on which it meets.

Consideration and Third Reading

(4) Proceedings on Consideration shall (so far as not previously concluded) be brought to a conclusion one hour before the moment of interruption on the day on which those proceedings are commenced.

(5) Proceedings on Third Reading shall (so far as not previously concluded) be brought to a conclusion at the moment of interruption on that day.

(6) Standing Order No. 83B (Programming committees) shall not apply to proceedings on Consideration and Third Reading.

Other proceedings

(7) Any other proceedings on the Bill may be programmed.—(Nigel Huddleston.)

Question agreed to.

Social Housing (Regulation) Bill [Lords] (Money)

King’s recommendation signified.

Motion made, and Question put forthwith (Standing Order No. 52(1)(a)),

That, for the purposes of any Act resulting from the Social Housing (Regulation) Bill [Lords], it is expedient to authorise the payment out of money provided by Parliament of—

(1) any expenditure incurred under or by virtue of the Act by the Secretary of State, and

(2) any increase attributable to the Act in the sums payable under any other Act out of money so provided.—(Nigel Huddleston.)

Question agreed to.

Social Housing (Regulation) Bill [Lords] (Ways and Means)

Motion made, and Question put forthwith (Standing Order No. 52(1)(a)),

That, for the purposes of any Act resulting from the Social Housing (Regulation) Bill [Lords], it is expedient to authorise the charging of fees.—(Nigel Huddleston.)

Question agreed to.

Social Housing and Regulation Bill (First sitting)

(Limited Text - Ministerial Extracts only)

Read Full debate
Committee stage
Tuesday 29th November 2022

(1 year, 4 months ago)

Public Bill Committees
Social Housing (Regulation) Act 2023 Read Hansard Text Amendment Paper: Public Bill Committee Amendments as at 29 November 2022 - (29 Nov 2022)

This text is a record of ministerial contributions to a debate held as part of the Social Housing (Regulation) Act 2023 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

Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

It is a pleasure to begin our line-by-line consideration of the Bill with you in the Chair, Sir Edward, and in a Committee with a considerable amount of housing expertise, which I hope will put us in good stead for further improving the Bill. The Opposition have consistently maintained that the Bill is uncontroversial legislation, and we welcome it and the measures it contains.

We desperately need to build more social homes, but we also need to ensure that our existing stock is of good quality and well managed. Almost half a million social homes fail to meet the Government’s decent homes standard and, as that standard is not a requirement, it is almost impossible to enforce.

The Regulator of Social Housing can and does react to systemic failings among registered providers—for example, the request for evidence issued in relation to damp and mould following the coroner’s report into the death of two-year-old Awaab Ishak in 2020—but at present it has no proactive way of regulating consumer standards. The spotlight of media attention, tenant campaigning or intervention by individual hon. Members should not be required to trigger the appropriate response to substandard conditions in social housing, yet that is all too often the case.

To ensure that tenants are properly protected by a robust, effective system of regulation, major reform is needed. Indeed, it is long overdue, and the Secretary of State was right to concede, in the wake of Awaab’s untimely death, that the Government have been too slow to toughen regulation in this area.

Despite its limited number of clauses, the Bill is therefore of real significance for millions of social housing tenants across the country. That is why the Opposition regret how long it took the Government to bring it forward, and it is why we want to see it on the statute book as soon as possible. To that end, we want to see the Committee to sit no longer than is absolutely necessary. However, we are determined to see the Bill strengthened in a number of areas, so that standards in social housing markedly and rapidly improve, tenants are able in practice to pursue and secure effective redress, the collective voice of tenants is heard more audibly and they have a greater role in shaping national policy, and we are better able to respond to pressing issues affecting some of those living in social housing, such as serious violence.

We owe it to the bereaved and the survivors of Grenfell, Awaab’s family and all those social tenants currently living in appalling conditions to pass the most robust legislation that the House can possibly deliver. To that end, we have tabled a limited number of amendments in key areas, the intention of which is to persuade the Government to reflect sincerely on how the Bill might be improved still further. Although we intend to work constructively with Ministers to secure the Bill’s speedy passage out of Committee, we expect the Government to give serious consideration to the arguments that we make in respect of those amendments.

Amendment 13 and new clause 8 relate to supported exempt accommodation and temporary accommodation. The new clause would provide the Secretary of State with the power to bring properties let at market rents by non-profit making providers of supported exempt or temporary accommodation registered with the regulator into the scope of consumer regulation. It would allow Ministers to do so at a time of their choosing and on an area-by-area basis as required. The amendment would extend the regulator’s fundamental objectives to the care and support services provided by supported exempt and temporary accommodation in relation to properties that already fall within the scope of consumer regulation.

I want to be clear at the outset that these proposals do not seek to extend the scope of the regulatory framework provided for by the Bill to all non-registered supported exempt and temporary accommodation providers in a way that could place unreasonable burdens on the regulator. Rather, they would apply only to those landlords who are registered, or entitled to register, with the regulator as non-profit making providers because they let some properties at below market rents—that is, social housing.

The purpose of these two related proposals is to address an existing loophole that, unless addressed, will remain a problematic gap in the consumer regulatory regime after the Bill has come into force. It is that non-profit making providers of supported exempt or temporary accommodation can let properties at market rents that are eligible for housing benefit support on the basis that “more than minimal” care, support or supervision is being provided, without those properties coming within the scope of consumer regulation.

We know that the regulatory gap is currently being exploited by unscrupulous providers. The three biggest registered providers of non-commissioned exempt accommodation in Birmingham last year, Reliance Social Housing CIC, Ash-Shahada Housing Association Ltd and Concept Housing Association CIC, received £159 million in housing benefit payments for 16,370 market rent properties that fell outside consumer regulation. They were able to operate those properties free from the fear of intervention on consumer standards grounds, because they collectively operate 310 properties—in Reliance’s case, it is just six—at below market rents.

As a result of the regulator being unable to enforce against poor performance by providers in relation to market rent properties that they operate on the basis of consumer standards, the regulator can enforce against bad practice in such cases only on grounds of economic viability. It has done so—for example, it found the large, Birmingham-based Reliance to be non-compliant with the governance and financial viability standard in October last year. However, Opposition Members struggle to understand why the Government have not enabled the regulator to take action against supported exempt and temporary accommodation providers letting units at market rents who fail to meet expected standards, using the tools provided for by the new proactive consumer regulatory regime introduced by the Bill, given that permitting it to do so would simply provide an additional weapon in the regulator’s arsenal when it comes to clamping down on unscrupulous providers.

It is true that clause 8(d) tightens the definition of what constitutes a non-profit making provider. That should help to ensure that some of the most flagrant abuses, such as out-of-balance portfolios, can be clamped down on. However, it will not end all instances of rogue providers gaming the system by letting some properties at below market rents, registering as non-profit making providers on that basis, and then operating far larger numbers of substandard market rent properties outside the scope of consumer regulation. For example, those with more balanced portfolios—presumably even if that were achieved on the basis of a split of 51% of properties let non-profit and 49% for profit—will escape the provisions of clause 8 that I just referred to.

We recognise that the Government support, as we do, the Supported Housing (Regulatory Oversight) Bill introduced by the hon. Member for Harrow East. I am pleased that the hon. Gentleman is on the Committee with us. His Bill will enhance local authority oversight of supported housing and thereby enable local authorities to drive up standards in their areas. However, it does not contain provisions to close the particular loophole that is the focus of amendment 13 and new clause 8. As such, if the Government do not accept our amendments or bring forward their own to tackle the loophole in question, enforcement action on the part of the regulator in these cases will be confined to matters of economic regulation.

One element of our concern about the gap in the proposed consumer regulatory regime that the amendments seek to address is that, once the hon. Gentleman’s Bill has received Royal Assent, rogue providers of supported exempt accommodation will be incentivised to exploit this loophole further, as it will be one of the last remaining loopholes because their operations will be hampered by the range of measures in the hon. Gentleman’s Bill. Using the Bill before us to address the issue of supported exempt and temporary accommodation landlords who are already partially regulated would also close down the loophole more quickly than would be possible by doing so through the Supported Housing (Regulatory Oversight) Bill, because it will be some time before that Bill is in Committee, and the detailed regulations required to give it full effect will take some time to be passed.

If the Government were persuaded of the merits of the argument underpinning amendment 13 and new clause 8, they could determine to deal with supported exempt accommodation and temporary accommodation separately. We ultimately decided that the amendments should cover both, because there is good evidence to suggest that the loophole is being increasingly exploited by private temporary accommodation providers, in particular those providing nightly paid temporary accommodation, who often describe themselves as social landlords but who are exempt from consumer regulation in relation to substandard properties they let at market rents at great cost to the taxpayer.

Dealing with supported exempt accommodation and temporary accommodation together is also an attempt to pre-emptively address the scenario in which the Government accept that properties let at market rents by registered non-profit making providers of supported exempt accommodation should be covered by consumer regulation and legislate to that end, but, by setting aside market rent temporary accommodation let by registered non-profit providers, ensure that that becomes an obvious target for rogue providers seeking to escape consumer regulation standards.

I appreciate fully—I expect that the Minister will respond along these lines—that the Government will be reluctant to re-open at this stage of the Bill’s proceedings what and who falls within the ambit of the new consumer regulatory regime, but surely they cannot believe that the Bill as drafted ensures that support services beyond general management that are provided to residents of supported exempt and temporary accommodation will be of acceptable quality, or that non-profit making registered providers can simply ignore consumer standards when it comes to those properties let at market rents eligible for housing benefit support.

The issues that are the subject of these two amendments will need to be addressed if the Government are serious about clamping down on rogue providers who take public money while failing vulnerable people. I hope that the Minister can signal that the Government are minded to act either by accepting the amendments or by bringing forward their own in due course.

Dehenna Davison Portrait The Parliamentary Under-Secretary of State for Levelling Up, Housing and Communities (Dehenna Davison)
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It is a pleasure to serve under your chairmanship today, Sir Edward. I am incredibly grateful to the shadow Minister, the hon. Member for Greenwich and Woolwich, for the constructive way he has embraced this debate, for the Opposition’s broad support for the Bill, and for his commitment to ensuring that the regulator is as robust as it can be. On that point, we have certainly found some early agreement.

As the hon. Member outlined, amendment 13 would extend the remit of the regulator to the care and support provided to residents in supported exempt accommodation and temporary accommodation, while new clause 8 would extend the remit to those types of accommodation when they are not social housing but are held by a registered provider.

Temporary accommodation and supported housing that meets the definition of social housing is already regulated under the regulator’s standards, and the Care Quality Commission already regulates the provision of personal care in supported housing. The support needs of people in supported housing are wide, varied and often complex compared with those living in general needs accommodation. That is why we are supporting targeted measures in the Supported Housing (Regulatory Oversight) Bill, introduced by my hon. Friend the Member for Harrow East, to tackle the issues we are seeing in supported housing. I echo the shadow Minister’s comments; I am very grateful that my hon. Friend is bringing his incredible expertise to the Committee.

While there are many excellent supported housing providers, the Government recognise that there are some rogue supported housing landlords. Let me be completely clear for the record: any abuse of the supported housing system will not be tolerated. The Supported Housing (Regulatory Oversight) Bill will introduce national standards to be applied to supported housing and to give local authorities new powers to introduce licensing schemes and other enforcement powers.

Temporary accommodation is a key safety net for homeless households in this country. The homelessness code of guidance is clear that, at a minimum, temporary accommodation must be free from all category 1 health hazards, as assessed by the housing health and safety rating system, and it must be suitable for all members of the household. Households have the right to request that the council reviews the suitability of their accommodation.

Siobhain McDonagh Portrait Siobhain McDonagh (Mitcham and Morden) (Lab)
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On temporary accommodation for homeless families and the code of guidance, who enforces the code? Who knows whether councils are living up to it? Who inspects the accommodation with a third eye to see whether it meets the standards?

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Dehenna Davison Portrait Dehenna Davison
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I will follow that up with the hon. Member in writing after our sittings today.

Siobhain McDonagh Portrait Siobhain McDonagh
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The answer is nobody.

Dehenna Davison Portrait Dehenna Davison
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As I have just outlined, I will write to the hon. Member to pick up her point following today’s sittings.

The focus of the Regulator of Social Housing is on regulating the standards for registered providers of social housing. I believe that the regulator should remain focused on that vital role, and that greatly expanding its scope to include temporary accommodation could be a significant risk to its expertise. I do not believe that expanding the scope of the regulator into those areas, as proposed by the amendments tabled by the hon. Member for Greenwich and Woolwich, is the right way to address them. The regulator should continue to focus on ensuring that registered providers provide safe and high-quality social housing for tenants and on delivering the new consumer regime.

On that basis, I ask the shadow Minister to consider withdrawing his amendments today, but with a commitment from me to follow up with him before Report to see whether anything more can be done.

Bob Blackman Portrait Bob Blackman (Harrow East) (Con)
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It is a pleasure to serve under your chairmanship, Sir Edward. I thank the Minister and the shadow Minister for their compliments about me and my Bill. No doubt we will be debating it in one of these Committee Rooms in the not too distant future.

One concern about the position on supported housing is the number of regulators that get involved already. There is almost a confusion of regulation. There is another problem: as we legislators seek to plug gaps, the rogue landlords seek alternative ways of making huge amounts of money. We already know that nearly £1 billion in housing benefit was paid out last year on supported housing in exempt accommodation. Clearly, that was for people who are vulnerable and need help and support. They are from a wide variety of different backgrounds. They might be recovering drug addicts; they might be people who became temporarily homeless or people who have had mental or physical health problems. I could go through a long list of people, but they are vulnerable and need help and support.

However, I have a concern about the proposed amendments. They seek to plug a gap, but are they comprehensive enough? We need more discussion to make sure we have a comprehensive measure that includes everything and makes it clear who the regulator is. Given the interventions by the hon. Member for Mitcham and Morden, we want to make sure, as a Committee and as legislators, that the laws we introduce are actually enforced.

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The Minister said, understandably, that this Bill is not the right vehicle. I understand that the Government do not want to reopen this Bill, but they will have to address this issue either via the Supported Housing (Regulatory Oversight) Bill or another means, because it remains a loophole that is being exploited, and it will continue to be exploited. Actually, we think it will probably be worse once the Supported Housing (Regulatory Oversight) Bill is enforced, because this is one of the significant loopholes that will remain. I will not press this amendment to a Division, but I hope the Minister is sincere in taking this away and finding some other way to plug the gap that these amendments draw attention to.
Dehenna Davison Portrait Dehenna Davison
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Absolutely, we will take this away. I would be grateful for the expertise of all on the Committee, including the hon. Member for Mitcham and Morden, who made an incredibly passionate case. Let us have a roundtable discussion about how best we can take this forward following Committee.

Matthew Pennycook Portrait Matthew Pennycook
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I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Question proposed, That the clause stand part of the Bill.

None Portrait The Chair
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With this it will be convenient to discuss the following:

New clause 2—Regulator duty to report on safety defects

‘(1) In fulfilling its consumer regulation objective under section 92K of the Housing and Regeneration Act 2008, the regulator must report to the Secretary of State on actions taken by registered providers to remediate unsafe external wall systems and other historic fire safety defects in social housing.

(2) A report produced under this section may make recommendations to the Secretary of State on further action required to sufficiently address identified issues.’

This new clause would ensure that in meeting its fundamental objective to support the provision of social housing that is well-managed and of appropriate quality, the regulator would be required to report to the government on the progress of building safety remediation.

New clause 3—Regulator duty to support provision of social housing

‘(1) In fulfilling its economic regulation objective under section 92K of the Housing and Regeneration Act 2008, the regulator must–

(a) within six months of this Act receiving Royal Assent, and

(b) at intervals of no more than three years thereafter

provide a report to the Secretary of State on whether the supply of social housing in England and Wales is sufficient to meet reasonable demands.

(2) A report produced under this section may make recommendations relating to how to ensure that the provision of social housing in England and Wales is sufficient to meet reasonable demands.’

This new clause would ensure that in meeting its fundamental objective to support the provision of social housing sufficient to meet reasonable demands the regulator would be required to report to the government on adequacy of social housing supply.

Dehenna Davison Portrait Dehenna Davison
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Clause 1 relates to the fundamental objectives of the Regulator of Social Housing and adds safety and energy efficiency of tenants’ accommodation and transparency. New clauses 2 and 3 seek to take that further and expand the role of the regulator into new areas.

New clause 2 relates to monitoring the remediation of unsafe cladding and other fire safety defects in the social housing sector. I want to make clear from the outset that nothing is more important to this Government than making sure people are safe in their homes. The tragic, horrendous case of Awaab Ishak, which we are all unfortunately now familiar with, has highlighted the crucial role of registered providers of social housing in making sure that happens.

The Bill sits alongside other key reforms that we have introduced in response to the Grenfell Tower fire, including the Building Safety Act 2022 and the Fire Safety Act 2021. New clause 2 is incredibly well intentioned, given what it seeks to achieve, but the Bill is not the correct vehicle for it. A duty should be placed on the Regulator of Social Housing to undertake such monitoring. The regulator is not a specialist fire or building safety body. The proposed new clause would be a significant expansion of the regulator’s remit. Currently, the regulator does not have the expertise to fulfil that function effectively.

The question of who should undertake that kind of role is, however, an important one for Government. The Department is evaluating options on how best to monitor and report on the progress made in remediating unsafe cladding and other fire-safety defects. It is important that the work is done at pace, but thoroughly. I understand that hon. Members will be keen to study its outcomes and implications for future policy, but I must reiterate that it would be improper to pre-empt it while it is ongoing by allocating responsibility for that highly important function without the benefit of fully understanding the options. We need to ensure that that work is undertaken by those with the correct skills, expertise and capacity. My concern with new clause 2, therefore, is that it would make for a hasty decision that might mean we do not achieve the desired outcomes in the optimal way.

I turn to new clause 3. The hon. Member for Greenwich and Woolwich is right to draw attention to the importance of increasing the supply of social housing. In the levelling-up White Paper, we made it clear that we want to

“increase the amount of social housing available over time to provide the most affordable housing to those who need it.”

Our £11.5 billion affordable homes programme will play an important role in achieving that aim, as will the measures we have taken to support increased council house building.

For its part, the regulator has an objective to support the provision of sufficient social housing. It discharges that role through its work to ensure that private registered providers are financially viable, efficient and well governed. In turn, that helps providers to obtain funding to enable them to deliver more social housing. However, I do not agree that we should make the regulator responsible for assessing the adequacy of social housing provision in England or, indeed, in Wales. I am concerned that such an additional role could divert resources away from the activities that should be the focus for the regulator, which is setting standards for social housing so that landlords are clear about expectations on them to deliver quality of housing, to monitor compliance with those standards and, where necessary, to undertake relevant enforcement action.

Organisations outside Government often publish their own analysis of the level of need for social housing. There are a number of different approaches to assess that, and not necessarily a single right answer. I am therefore not convinced that the regulator stepping in to provide its own assessment is the right approach. It should focus on the task at hand and on standards, quality and enforcement. On that basis we would not want to accept new clauses 2 and 3.

Matthew Pennycook Portrait Matthew Pennycook
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I thank the Minister for her explanation of the clause and for the response to the two new clauses tabled by the Opposition. As the Minister has made clear, with a view to providing for a stronger and more proactive consumer regulatory regime, the clause expands the regulator’s fundamental objectives as set out in the Housing and Regeneration Act 2008 to include those of safety, transparency and—following the well-deserved success of Baroness Hayman’s amendment in the other place on standards relating to energy demand—energy efficiency.

My response to the case that the Minister made against new clauses 2 and 3 has, thankfully, pre-empted a number of the points she has just made. New clause 2 seeks to ensure that in meeting its fundamental objective to support the provision of social housing that is well managed and of appropriate quality, under proposed new subsection (3)(a) of the amended 2008 Act the regulator would also be required to report to the Government on the progress of building safety remediation in the social housing sector.

According to the Department’s own figures, every one of the 160 social sector buildings identified as having unsafe aluminium composite material—ACM—cladding, similar to that which covered Grenfell Tower, have been remediated through the social sector ACM cladding remediation fund. When it comes to buildings in the social sector with unsafe non-ACM cladding systems, we know that, as of 31 October, 251 have applied for Government funding for remediation. Alarmingly, as things stand, not a single one of those 251 buildings has been remediated.

Perhaps more worryingly, we have no estimate of the total number of social sector buildings with unsafe non-ACM cladding systems, because social landlords can apply for Government funding only if the costs of remediation are unaffordable or if there is a threat to their financial viability. We have no idea whatsoever how many social sector buildings have other non-cladding building safety defects.

There is a wider debate to be had outside this Committee about social landlords’ restricted access to funding for non-ACM remediation work, given the impact that has on social tenants, whose rent payments are contributing to the costs of the works required, and on providers in terms of upgrade and maintenance works, services provided such as welfare advice and the supply of new social homes.

However, all new clause 2 seeks to achieve is to make the regulator—which, as a result of the Bill will now have to perform its functions with a view to supporting the provision of social housing that is safe—report to the Secretary of State on the progress of remediating unsafe external wall systems and other historical fire safety defects in social housing, and provides it with the opportunity to make recommendations to the Secretary of State on further action required.

Speaking for the Government in the other place in response to a similar amendment in the name of Baroness Pinnock, Baroness Scott of Bybrook argued, as the Minister just has, that the type of monitoring sought by new clause 2 would not be “appropriate” for the regulator to undertake because

“it is not a specialist health and safety body.”—[Official Report, House of Lords, 6 September 2022; Vol. 824, c. 114.]

I am afraid that we find that argument wholly unconvincing.

New clause 2 does not seek to impose a duty on the regulator to carry out inspections of social sector buildings that are either potentially unsafe or identified as unsafe and in need of remediation or to physically monitor the progress of remediation works. As such, it does not require the regulator to possess the relevant professional skills, expertise and capacity necessary for assessments of that nature. All it would require is that the regulator be responsible for reporting to the Government on the progress of remediation in respect of social sector buildings—on the overall number of such buildings identified as having defects and the progress of whether they have started and completed remediation.

Given that the regulator already collects data from registered providers to inform its regulation of standards, and that the Bill ensures that one of the regulator’s new fundamental objectives will be the safety of buildings, we believe it is entirely reasonable and appropriate to task it with reporting to the Government along these lines.

As the Minister made clear, the Government have been at pains over recent months to stress they are examining options for monitoring and reporting remediation progress in future. Yet, as we consider the Bill today, neither the Department nor the new Building Safety Regulator is providing accurate data with regard to the scale of the building safety challenge in the social housing sector, or progress toward meeting it; no firm proposals have been brought forward by the Government to address that gap; and we have no guarantees that appropriate measures will be forthcoming any time soon, although I take at face value what the Minister has just said.

The Bill rightly ensures that the provision of safe, high-quality social housing will be integral to the function of the regulator’s role. There can be no more important task in respect of social housing—I think we are agreed on this point—than to ensure that buildings that are either covered in combustible material or riddled with other non-cladding safety defects are made safe. New clause 2 would ensure the regulator monitors progress to that end and reports to Government. I urge the Minister to rethink. If the Government are not minded to amend the Bill as new clause 2 seeks, I urge them to bring forward other proposals for monitoring this important element of the remediation drive in the near future.

I turn to new clause 3. In a similar way to how new clause 2 seeks to place additional requirements on the regulator in relation to its fundamental objective to support the provision of social housing that is well-managed and of appropriate quality, new clause 3 seeks to ensure that, in meeting its fundamental objective under the 2008 Act to support the provision of social housing that is sufficient to meet reasonable demands, the regulator would also be required to report to the Government on the adequacy of social housing supply.

The problem to which this new clause relates is well known. While more people than ever are struggling to afford a secure place to live, nowhere near enough social homes are being built. Almost 1.2 million households in England are now languishing on a housing waiting list. The Green Paper that foreshadowed the Bill stated:

“Social housing remains central to our supply ambitions.”

Despite that, the Government are doing nowhere near enough to deliver the volume of social homes our country needs.

Not only are the Government failing to build the volume of social homes that we need, but by means of reduced grant funding, the introduction of the so-called affordable rent tenure, increased right-to-buy discounts and numerous other policy interventions, we would argue that they have actively engineered the decline of social housing over the past 12 years. The result is that not only were fewer than 6,000 social homes constructed last year but over 21,000 were sold or demolished—a net loss of 15,000 desperately needed genuinely affordable homes.

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Dehenna Davison Portrait Dehenna Davison
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I will be brief and just say that I recognise the arguments made by the shadow Minister, but I hope he recognises the arguments that I made in my opening statement. I have made a commitment to my hon. Friend the Member for Harrow East that before Report we will sit down to discuss the issues further and make sure the regulator has the teeth it really needs.

Question put and agreed to.

Clause 1 accordingly ordered to stand part of the Bill.

Clause 2

Advisory panel

Matthew Pennycook Portrait Matthew Pennycook
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I beg to move amendment 14, in clause 2, page 1, line 18, at end insert—

“(2A) The Panel may provide information and advice to the Secretary of State about, or on matters connected with, the regulator’s functions and wider issues affecting the regulation of social housing (whether or not it is requested to do so by either the regulator or the Secretary of State).”

This amendment would enable the Panel to provide information and advice and to proactively raise issues affecting social housing regulation more generally directly to the Secretary of State.

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The advisory panel will rightly also contain those representing the interests of resident providers, local housing authorities and other organisations listed in clause 2(4). But if the Government are truly committed to putting tenants at the heart of the Bill, we believe they should think again about how the advisory panel will be constituted and function, with a view to ensuring that tenants are at the centre of the national conversation about how we drive up standards in social housing. I look forward to hearing the Minister’s view on the amendments.
Dehenna Davison Portrait Dehenna Davison
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I am grateful to the shadow Minister for making his case for amendments 14 and 15. Amendment 14 seeks to enable the advisory panel to provide information and advice and to raise issues affecting social housing regulation directly with the Secretary of State. The social housing White Paper made it clear that the purpose of the advisory panel was to provide independent and unbiased advice specific to the regulator on matters connected to regulation. Clearly, the views of tenants are central to that objective.

As the hon. Gentleman outlined, in parallel we also established the social housing quality resident panel, which will provide an opportunity for us to hear from tenants. The aim of the resident panel is to enable tenants to share their views directly with Government and Ministers on their approach to improving the quality of social housing, and on whether the Government’s interventions will deliver the changes that they want to see.

The resident panel is made up of 250 social housing residents from across the country and from diverse backgrounds. They met for the first time last week on 26 November, and will meet approximately monthly over the coming year, with opportunities for the agenda to be shaped by panel members. At that meeting, residents told the Secretary of State for Levelling Up, Housing and Communities, my right hon. Friend the Member for Surrey Heath (Michael Gove), that the most important issues to them were how repairs are dealt with, how landlords are held to account and how complaints are handled by their landlords and the housing ombudsman. The Department’s resident panel and the regulated advisory panel have a specific role and remit to ensure that tenants’ views are properly represented to both Ministers and the regulator.

Amendment 15 seeks to require a social housing tenant to chair the advisory panel and have responsibility for setting the agenda that the panel considers. It also seeks to ensure that social housing tenants comprise the majority of panel members. We share the notion that it is vital that tenants’ voices are heard, but it is important that the advisory panel considers the full range of regulatory issues that the regulator has to tackle. That means that we need to allow a diverse collection of voices to share their knowledge and opinions with the regulator.

Consumer matters are rightly at the forefront of the Bill but, equally, working to resolve some of the economic issues should not be diminished. Legislating for a tenant to chair and set the agenda and requiring the majority of the panel members to be tenants would not support what we are trying to achieve with the advisory panel. I am concerned that being too prescriptive in legislation about how the advisory panel must operate may prevent the panel from having the flexibility to decide how it best operates. In practice, I expect that all members of the advisory panel, along with the regulator, will shape how it works and what it considers.

We are committed to ensuring that tenants can effectively engage with the Department and the regulator, and that tenant voices are at the heart of social housing regulation and policy, but we do not feel that amendments 14 and 15 are necessary to achieve that so I ask the shadow Minister to withdraw them.

Matthew Pennycook Portrait Matthew Pennycook
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I thank the Minister for that helpful response, and I take on board the concerns she raised about the amendments.

I am slightly concerned about the lack of what we would consider to be true tenant empowerment. The quality resident panel is important, but it only lasts a year, so how will we get ongoing tenant engagement with the work of the regulator to inform how it operates, to shape future regulation, which is part of its remit, and to raise future issues of concern to tenants nationally, in terms of social housing regulation and policy? We do not think the Bill allows for that, and in all honesty I cannot understand the Government’s objection to allowing the advisory panel to notify Ministers directly, rather than the regulator, in certain rare circumstances. As the Minister said, the panel is at present constituted by the regulator, which appoints its membership, and it can only provide views directly to the regulator. We think there are some circumstances in which it may need to do otherwise. I hope the Minister takes away those points.

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Question proposed, That the clause stand part of the Bill.
Dehenna Davison Portrait Dehenna Davison
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Clause 2 makes it a requirement that the regulator will engage with a wide range of stakeholders, including tenants and landlords. It also sets out expectations about who should be represented on that panel. It is not just about the regulator asking a group of people for views once it has already made up its mind about what it wants to do. The panel is designed to be used to test and shape the regulator’s thinking. For example, we expect the regulator to engage the panel on the design and implementation of new consumer standards. The clause also empowers the panel to raise issues directly with the regulator that its members consider important. I hope the Committee will support the clause.

Question put and agreed to.

Clause 2 accordingly ordered to stand part of the Bill.

Clause 3 ordered to stand part of the Bill.

Clause 4

Power to charge fees

Dehenna Davison Portrait Dehenna Davison
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I beg to move amendment 1, in clause 4, page 3, line 40, leave out “follows” and insert

“set out in subsections (2) to (6)”.

This amendment is consequential on Amendment 2.

None Portrait The Chair
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With this it will be convenient to discuss the following:

Government amendment 2.

Clause stand part.

Dehenna Davison Portrait Dehenna Davison
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Clause 4 and Government amendments 1 and 2 deal with the regulator’s fee-charging powers. As we heard from a number of hon. Members on Second Reading, the Regulator of Social Housing must be provided with the necessary funding to enable it to deliver the outcomes the Bill is designed to achieve.

Once the new consumer regime is implemented, the regulator will see substantial growth in its regulatory activity, which means its costs will increase significantly. It is Government policy to maximise the recovery of costs of arm’s length bodies, so clause 4 will refine the existing fee-charging power to allow for the cost of some additional functions to be recovered, and to charge fees that cover costs of activities that may not be connected to the specific fee payer, such as the cost of investigation and enforcement. Any significant changes to the design of the regime will be consulted upon and require ministerial approval.

Government amendments 1 and 2 also address the regulator’s fee-charging powers. The amendments remove specific provision allowing the regulator to charge following the completion of inspections, if authorised by the Secretary of State by order. The existence of that special provision relating to fees for inspections is no longer necessary given the changes we are making to the regulator’s general power to charge fees. That power will now allow it to cover the cost of inspections in its fees for initial and continued registration.

Leaving the provision in legislation erroneously risks causing confusion and casting doubt on the regulator’s ability to set fees to cover inspections as part of its general fee-setting power. As such, the change serves to ensure that there is greater clarity and consistency in this legislation.

Clause 4 establishes the parameters to the regulator’s fee-charging powers and makes clear that it can charge the sector for costs that may be unconnected to the specific fee payer. Government amendments 1 and 2 support clause 4 by delivering a technical change that will ensure there is no confusion over the powers available to the regulator to deliver maximum cost recovery. On that basis, I commend the clause to the Committee and beg to move the amendments.

Matthew Pennycook Portrait Matthew Pennycook
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I thank the Minister for that explanation of Government amendments 1 and 2. As she makes clear, clause 4 amends section 117 of the Housing and Regeneration Act 2008 to clarify the extent of the regulator’s fee-charging powers. New subsection (4A) adds to the 2008 Act and makes it clear that the regulator has the power to recover the cost of activities it does not currently charge social housing providers for.

If I understood the Minister correctly, Government amendment 2 revises section 202 of the 2008 Act because the powers in new subsection (4A) are sufficiently broad to cover charging providers fees for inspections. In short, as I hope she agrees, this is just a tidying-up exercise, the rationale for which is that the power is being omitted from section 202, concerning inspections only, because it more properly fits within section 117, concerning fees generally, to ensure that references to fee charging are all in one place in the 2008 Act. If that is the case, and amendment 2 in no way prevents the regulator from charging fees for inspections, we take no issue with it, because it is important that the regulator is able to charge fees to cover the significant costs involved in overseeing the comprehensive and rigorous Ofsted-style inspections regime that the Bill introduces.

The amendment raises wider issues relating to the resourcing of the regulator. Since the Bill’s publication, we have consistently expressed concern about the very real risk that the regulator will struggle to discharge its new functions and that it will not be adequately resourced to perform its enhanced role, in particular in relation to inspections. Prior to the Bill’s publication there were already concerns, expressed by the Select Committee and others, as to whether the regulator had the resourcing, skills and capacity to continue to regulate economic standards adequately, given the complex financial and corporate structures proliferating in the sector.

The new consumer regulatory regime will impose significant burdens on the regulator. The Minister stated on Second Reading that the Government are

“firmly committed to ensuring that the regulator has the resources that it needs not only to deliver the new consumer regulation regime but to ensure that it continues to regulate its economic objectives effectively.”—[Official Report, 7 November 2022; Vol. 722, c. 83.]

She also suggested that the Government were potentially minded to introduce changes to the fee regime to ensure that the regulator is funded appropriately. We accept that the Government have made limited additional funding available this financial year to support the new regime, but we are concerned that there may still be a resourcing challenge for the regulator. I would welcome any further assurances from the Minister that the regulator will have all the resources it needs to discharge the enhanced functions that the Bill requires of it.

Dehenna Davison Portrait Dehenna Davison
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I am grateful to the shadow Minister for raising the question of resourcing. We touched on this on Second Reading, as he highlighted. He is right that in this financial year we are providing £4.8 million to aid the regulator in its vital work, but this is why it is so important that we get the fee charging regime right—to ensure that the regulator is properly resourced. As we have discussed today, on Second Reading and in the other place, the regulator needs the teeth to be able to do its job, and a huge part of that is resourcing. He is right that, effectively, we are tidying the legislation up to make it a bit neater and ensure further clarity, so I hope he will support these amendments.

Amendment 1 agreed to.

Amendment made: 2, in clause 4, page 4, line 16, at end insert—

‘(7) In section 202 of the Housing and Regeneration Act 2008 (inspections: supplemental) omit subsections (4) to (7).’—(Dehenna Davison.)

This amendment repeals the provisions of the Housing and Regeneration Act 2008 which provide specific powers to enable the regulator to charge registered providers of social housing fees for inspections.

Clause 4, as amended, ordered to stand part of the Bill.

Clause 5

Relationship between regulator and housing ombudsman

Question proposed, That the clause stand part of the Bill.

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Matthew Pennycook Portrait Matthew Pennycook
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I thank the hon. Gentleman, and I fully understand his point. I met with senior staff from the housing ombudsman yesterday, and we were talking precisely about the ways in which the respective roles operate and how they could be clarified. What these examples seek to illustrate is that there is still an obvious risk of overlap and duplication of roles in respect of these two bodies. One could argue, as the hon. Gentleman just has, that those issues can be resolved by means of updating the non-statutory memorandum of understanding that already sets out the functions of both organisations and how they work together, but that throws up two distinct issues in and of itself.

First, is it appropriate for us to leave these matters to the two bodies themselves to resolve, rather than clarifying on the face of the Bill the precise role of each body in the new regulatory regime, so as to avoid the duplication of functions and potential gaps in coverage—even if only in the short term, before they update that memorandum of understanding to reflect the new regulatory system of proactive consumer regulation?

Secondly, I am sure that hon. Members have been contacted by tenants who are aware that the Bill is progressing through the House. The expectations around the Bill are such that, after it receives Royal Assent, tenants who feel that they have not secured appropriate redress by means of a standard complaint to their landlord and believe that their grievance might be systemic in nature will understandably be uncertain about whether they should approach the ombudsman or the regulator with their complaint. I appreciate that the Department is alive to the risk, has produced guidance in the form of a fact sheet and is apparently delivering a communications campaign to tenants so that they know where to go and are well informed but, without greater clarity prior to Royal Assent about the precise roles of each body in the regime established by the Bill, I fear that neither will be sufficient to prevent a large degree of confusion. When debating this matter in the other place, Baroness Scott of Bybrook conceded that fears about confusion of the kind that I alluded to are legitimate, and that greater clarity is required as a result; yet, despite her promise to take the matter back to the Department, the Government are not amending the Bill to provide greater clarity or committing to take any further concrete steps—that I am aware of, at least—to ensure that confusion will be avoided.

As Shelter and others have argued, it is essential that the roles of the regulator and the housing ombudsman are clearly defined, that tenants and tenant groups understand the appropriate way to make complaints and that any complaints process or system is easy to use, accessible and effective. I would be grateful if the Minister provided greater clarity today and, if not today, in writing. I hope that, in general terms, she will assure me that the issues that I have highlighted will be both considered and acted on by the Department before the Bill receives Royal Assent.

Dehenna Davison Portrait Dehenna Davison
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I am grateful to the shadow Minister for raising his concerns and giving me the opportunity to provide some clarity. We will take it from the experience of one particular tenant, if we may. If a tenant has a complaint, they should first go to their landlord but, if that complaint cannot be resolved between tenants and the landlord, it can be escalated to the housing ombudsman to investigate individual complaints from tenants. If the ombudsman’s investigation finds instances of maladministration on the part of the landlord, the ombudsman can issue orders to that landlord to put things right for the complainant. That can include requiring the landlord to pay compensation to the complainant or to undertake repairs.

If an investigation raises a potential breach of a regulatory standard or there is evidence of systemic failure by the landlord, the ombudsman can refer the matter to the regulator. In situations where the regulator has concerns that the provider is failing to maintain the premises in accordance with the regulatory standards, it can conduct a survey and, following the implementation of this Bill, arrange for emergency repairs to remediate the issue in cases where there is a risk of serious harm to tenants that is not being addressed by the landlord.

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Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

We are testing the patience of Sir Edward and the rules, but the point my hon. Friend highlights is a genuine one about the complication of legal matters and whether tenants abandon complaints at whatever point, which I hope adds to the weight of the point that I have just made. It is not immediately clear, and we have to be clear with, most importantly, tenants once this Bill is in force about where they go and how they can seek redress under the provisions of the Bill as quickly as they need to. As I said, in the case of clause 31, the process the Minister has described does not seem like it is fast enough to ensure that emergency remedial action of the kind provided for by clause 31 will happen. I hope the Government will take this and those other points away.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

Again, I am grateful to the shadow Minister and to the hon. Member for Mitcham and Morden. On the shadow Minister’s point about communications ensuring that tenants know where to go and how this process works, we have been working with organisations that represent landlords, social housing residents and the housing ombudsman service. We delivered communications and marketing campaigns in 2021 and this year to ensure that social housing residents were aware of how to make a complaint and how to seek redress where appropriate. We are putting in the work through communications to ensure that tenants understand the process, but I have heard his points on timeliness and I will endeavour to take that away.

Question put and agreed to.

Clause 5 accordingly ordered to stand part of the Bill.

Clauses 6 to 9 ordered to stand part of the Bill.

Clause 10

Appointment of health and safety lead by registered provider

Question proposed, That the clause stand part of the Bill.

Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

Clause 10 is not contentious, and we broadly welcome it, but I would appreciate some clarification from the Minister on a specific issue arising from it. At present, proposed new section 126B ensures that

“The functions of the health and safety lead”

are to

“monitor the provider’s compliance with health and safety requirements”

and to notify the provider’s responsible body of any material risk to or failures of compliance, and to advise on steps to ensure the provider addresses them.

As Ministers may be aware, the Local Government Association, among others, has inquired what—if any—channels of communication or reporting mechanisms will exist between the health and safety leads of registered providers and the regulator itself. The LGA also highlighted the obvious need for sufficient new burdens funding in the case of local authority landlords. Will the Minister provide answers today or in writing to the following questions? First, did the Government intend to establish any direct permanent relationship between the regulator and RP health and safety leads? Secondly, what is the rationale for not requiring health and safety leads to report any material risks or failures of compliance directly to the regulator, as well as the responsible body, as a matter of course? Thirdly, can the Minister guarantee that the Government will make sufficient new burdens funding available to local authorities to fully implement the provisions in the clause?

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I will follow up in writing with a bit more clarity and specific detail on the questions the shadow Minister has raised.

Question put and agreed to.

Clause 10 accordingly ordered to stand part of the Bill.

Clause 11

Electrical safety standards

Question proposed, That the clause stand part of the Bill.

Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

We welcome the Government’s decision, in response to concerns raised during the passage of the Building Safety Act 2022, to carry out a consultation on the introduction of mandatory checks on electrical installations for social housing at least once every five years and to include measures within this Bill to partially implement such checks—only partially, because the section of the Housing and Planning Act 2016 that this clause seeks to amend is concerned with properties let by landlords, not owner-occupier leaseholders. That is an important distinction, for reasons I will explain.

As we know, there is currently no legal requirement in England for social landlords or leaseholders to undertake electrical safety checks of their dwellings. The situation is distinct from that in the private rented sector, where the Housing and Planning Act introduced mandatory safety checks on electrical installations at least once every five years.

We know that fires in numerous tower blocks, including Grenfell, Shepherd’s Court, and Lakanal House, were caused by electricity. Home Office fire data shows a consistently high level of accidental electrical fires in high-rise buildings with 10 or more flats. Campaign groups such as Electrical Safety First have been at pains to stress that those buildings were mixed-tenure buildings containing an assortment of owner-occupier leasehold and social rented units and that there is therefore a case, given that the fire safety of a building depends on the safety of all the units within it, for ensuring parity in electrical safety standards across all tenures in high-rise residential blocks.

The Government’s own consultation on this issue noted that the National Federation of ALMOs supported introducing electrical safety requirements for owner-occupiers in mixed-tenure blocks and highlighted that properties being considered by authorities for London’s right to buy-back programme often have electrical installations that are

“in a state of significant disrepair.”

Given that we know that many high-rise social housing blocks contain owner-occupied flats owned on a leasehold basis, it surely cannot be right that a leaseholder living next door to a social renter will not have their electrical installations mandated to be checked every five years. To put it another way, what good is having the electrical installations of two thirds of a building checked every five years if the other third is not? The risk of a potentially life-threatening fire obviously does not discriminate by tenure.

Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

I thank the hon. Gentleman for that point—it is a point well made. I do not have a comprehensive answer to hand. There are provisions in this clause that apply to mandatory electrical safety checks for social rented properties. There are similar requirements in place for the private rented sector. My instinct is that it would seem obvious that those could be applied to the owner-occupier sector in a way that the provisions in the clause perhaps could not be. Whatever way we cut it, what we want to see are mandatory checks on all electrical installations in all units in high-rise buildings, because, as I said, fire does not discriminate between tenure. I hope the Minister will take the points away for further consideration.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

The shadow Minister is right to highlight the consultation, which concluded in August. It included a call for evidence seeking views on whether leasehold properties in mixed tenure social housing blocks should have mandatory five-year checks. My hon. Friend the Member for Harrow East was right to say that we need to get this mechanism right to ensure that people living in mixed-use blocks are protected. I am grateful to the shadow Minister for his pragmatism on this point. We are still assessing the responses to the consultation, so it is a bit too early to say what the outcome will be and we do not wish to pre-empt it. However, we will announce further details as the work progresses, and I will endeavour to keep the shadow Minister informed.

Question put and agreed to.

Clause 11 accordingly ordered to stand part of the Bill.

Clauses 12 and 13 ordered to stand part of the Bill.

Schedule 1 agreed to.

Clause 14 ordered to stand part of the Bill.

Schedule 2 agreed to.

Clauses 15 to 20 ordered to stand part of the Bill.

Ordered, That further consideration be now adjourned.—(Julie Marson.)

Social Housing and Regulation Bill [ LORDS ] (Second sitting)

(Limited Text - Ministerial Extracts only)

Read Full debate
Committee stage
Tuesday 29th November 2022

(1 year, 4 months ago)

Public Bill Committees
Social Housing (Regulation) Act 2023 Read Hansard Text Amendment Paper: Public Bill Committee Amendments as at 29 November 2022 - (29 Nov 2022)

This text is a record of ministerial contributions to a debate held as part of the Social Housing (Regulation) Act 2023 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

None Portrait The Chair
- Hansard -

With this it will be convenient to discuss new clause 4—Persons engaged in the management of social housing to have relevant professional qualifications

“After section 217 of the Housing and Regeneration Act 2008 (accreditation) insert—

217A Professional qualifications and other requirements

(1) The Secretary of State may, by regulations, provide that a person may not engage in the management of social housing or in specified work in relation to the provision of social housing unless he or she—

(a) has appropriate professional qualifications, or

(b) satisfies specified requirements.

(2) Regulations specifying work for the purpose of subsection (1) may make provision by reference to—

(a) one or more specified activities, or

(b) the circumstances in which activities are carried out.

(3) Regulations made under this section may, in particular, require—

(a) the possession of a specified qualification or experience of a specified kind,

(b) participation in or completion of a specified programme or course of training, or

(c) compliance with a specified condition.

(4) Regulations may make provision for any of the following matters—

(a) the establishment and continuance of a regulatory body;

(b) the keeping of a register of qualified social housing practitioners;

(c) requirements relating to education and training before and after qualification;

(d) standards of conduct and performance;

(e) discipline and fitness to practise;

(f) removal or suspension from registration or the imposition of conditions on registration;

(g) investigation and enforcement by or on behalf of the regulatory body, and appeals against the decisions or actions of the regulatory body.”’

This new clause would require managers of social housing to have appropriate qualifications and expertise.

Dehenna Davison Portrait The Parliamentary Under-Secretary of State for Levelling Up, Housing and Communities (Dehenna Davison)
- Hansard - - - Excerpts

As I said on Second Reading, the Government are fully committed to driving up housing management standards by improving the professional behaviours, skills and capabilities of all staff in the sector. The Grenfell tragedy and our subsequent social housing Green Paper consultation highlighted the fact that many staff did not listen to or treat residents with respect, provide a high-quality service or deal appropriately with complaints. The circumstances surrounding the death of Awaab Ishak have once again shown the tragic consequences that can occur when staff lack empathy and when tenants are not listened to. That is why clause 21 makes provision to enable the Secretary of State to direct the regulator of social housing to set standards for the competence and conduct of social housing staff. Registered providers will be required to comply with specified rules concerning the knowledge, skills and experience of social housing staff. They will also be required to comply with specified rules concerning the conduct expected of such individuals when dealing with tenants. Those factors are crucial in determining the quality of services provided to tenants.

Our approach offers a holistic solution to the issue of professionalisation. It champions the value of skills, knowledge and experience, and maintains landlords’ flexibility in choosing the most appropriate training programmes and qualifications to equip their workforces. The standards set under this clause will ensure that social housing staff develop the core skillsets and behaviours required to treat tenants with the empathy and respect that they deserve. They will also empower staff to take appropriate action to support tenants.

New clause 4, tabled by the shadow Minister, takes a different approach to achieving professionalisation. It gives the Secretary of State the power to stipulate, through regulations, that a person

“may not engage in the management of social housing or in specified work in relation to the provision of social housing unless he or she—

(a) has appropriate professional qualifications, or

(b) satisfies specified requirements.”

As both myself and the Secretary of State set out on Second Reading, there is a real risk that mandating qualifications for all housing management staff would lead to the reclassification of housing associations to the public sector. The sector is close to the threshold for reclassification, and we saw that happen in 2015. Since then, a number of deregulatory measures have had to be taken before housing associations could be reclassified back to the private sector.

To make this point very clear, reclassification would bring around £90 billion of debt and all housing association annual spending on to the public ledger, and would likely reduce the ability of housing associations to improve the quality of their stock and build new homes. We have to be mindful of that risk and that outcome, which could be harmful to tenants.

However, we have listened carefully to the arguments made both in this House and the other place in support of mandatory qualifications. As I committed to do on Second Reading, I met with my right hon. Friend the Member for Maidenhead (Mrs May) to discuss this issue before the Bill reached Committee stage. We are continuing to look at whether there is any scope to include qualifications requirements in the competence and conduct standards without triggering reclassification. If we can identify a solution, then we will be able to bring that forward on Report.

We continue to believe that the existing provisions in the Bill, which will enable us to direct the regulator to set standards for the competence and conduct of all staff, will be an effective means of professionalising the sector. Our approach has been informed by the findings of our professionalisation review, which we will publish in full early next year. There is no doubt that housing management qualifications are an important aspect of professional development for some staff. Our review heard no clear evidence that such qualifications in and of themselves lead to better staff behaviours or improved tenant experiences. Qualifications such as those offered by the Chartered Institute of Housing will be an important part of how landlords ensure their staff have the skills, knowledge, experience and behaviours they need to deliver professional services, as required by the competence and conduct standards. Qualifications will sit alongside external and in-house training and more informal developmental tools such as staff supervision, mentoring and reflective practice.

Our review findings echoed what we heard after the Grenfell tragedy and more recently in relation to the death of Awaab Ishak—that what tenants most want and need is for all of the staff they deal with, whether housing managers, officers, or contact centre staff, to treat them with respect and empathy, to listen carefully and take appropriate and timely actions in response to their issues and concerns. We heard that these behaviours, and the interpersonal skills and attitudes that underlie them, are more likely to be achieved through a combination of organisational culture change led by senior executives and boards, adoption of codes of ethics and values, delivery of bespoke on-the-job training and effective supervision by experienced staff, than they are necessarily by formal qualifications.

The review also highlighted how important flexibility is in designing staff development programmes, given the sector’s diverse structures, operating models, role types, and breadth of service provision. Mandating qualifications for all housing management staff could hinder landlords in delivering the right mix of qualifications, training and development for their staff. Through the review we also heard that mandating qualifications for all staff would likely add to the recruitment and retention challenges faced by many landlords. Recruiting staff who have the right attitudes and aptitudes is more important to building a caring and empathetic workforce than employing people who possess formal qualifications. So we are concerned about the recruitment issues in that regard.

The standards that we are bringing forward will drive a holistic and organisation-wide approach to professional development, and deliver the empathetic, forward-looking and professional housing services the sector deserves, with staff who treat tenants with respect and act swiftly to remedy issues.

Bob Blackman Portrait Bob Blackman (Harrow East) (Con)
- Hansard - - - Excerpts

Will my hon. Friend give way?

Eddie Hughes Portrait Eddie Hughes (Walsall North) (Con)
- Hansard - - - Excerpts

Will my hon. Friend give way?

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

Two to choose from—I give way to my hon. Friend the Member for Harrow, East.

Bob Blackman Portrait Bob Blackman
- Hansard - - - Excerpts

The clause refers to the standards and competence that we expect to be achieved in this sector, and the amendment goes further and expands on them. However, it is silent on sanctions when they are not achieved. It is all very well having qualified people, but, if they do not perform properly, sanctions have to be available and directions by the Secretary of State should be possible. I wonder whether my hon. Friend will look at how we might strengthen the position when we get to Report stage.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I am grateful to my hon. Friend. I will respond to him and then perhaps I will have answered the question that my hon. Friend the Member for Walsall North wanted to ask. It is right that the regulator must have the right powers in place to deal with breaches of its standards. With regard to competence and conduct, the Bill enables the regulator to require providers to produce and implement a performance improvement plan to be approved by the regulator. If a provider fails to implement a plan, the regulator can issue an enforcement notice and levy an unlimited fine if that notice is not complied with. So the regulator will have teeth to ensure the kind of conduct that we expect. I hope that that answers the question from one hon. Friend.

Eddie Hughes Portrait Eddie Hughes
- Hansard - - - Excerpts

Anyone who has listened to the Grenfell Tower inquiry—especially the podcast, which provides a great summary of the challenges that were faced—will know that a number of tenants encountered members of staff who simply were not appropriately qualified to carry out their role. As a result, the tenants did not get the experience, support and help that they so rightly deserved. So, while I fully appreciate that it is appropriate to recruit for aptitude—this is a vocational area for many—it is incredibly appropriate to make sure that staff are trained for their role.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I am grateful to my hon. Friend. His expertise on this matter is welcome to all of us, and I thank him for all the work that he did as Minister on this really important body of work. He is right. That is why we have taken this away and are looking at what more we can do around professional qualifications, without that risk of reclassification. I hope that, following Committee stage, I will be able to report on what progress we have made before we reach Report stage.

It is important that we get this process right. We will continue the dialogue that we have already started with key stakeholders such as Grenfell United, Shelter and the CIH before we issue a statutory consultation on the direction itself. The regulator will then also consult on its draft standard before it comes into force. This Committee can be assured of our intent to take on board fully the views of both tenants and providers in developing the way forward. I have already spoken a little about compliance and sanctions if standards are not complied with, so I will leave that point there.

To summarise, the Government’s ambition is to build an empathetic, qualified and skilled social housing workforce. We want to bring about a wholesale organisational and cultural change, which we all recognise is desperately needed. We remain firm in our belief that our approach and the clause will deliver the professionalisation of the social housing sector, but we will of course continue to explore options for qualification requirements that would not trigger reclassification and would deliver the right outcomes for tenants. I commend the clause to the Committee and, on the basis of what I have outlined, I ask the shadow Minister not to move his new clause.

--- Later in debate ---
Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

I do not want to engage the hon. Member in a prolonged discussion about “may” and “must”—we had enough of that with his private Member’s Bill. We are open to a discussion about how to proceed, but what we need at this stage is a commitment from the Minister that the Government are going to move on objective professional qualifications and training, rather than leaving the Bill as is. If that requires regulations to be moved in due course, we would be open to that, but let us see what the Government bring back on Report.

We will press our new clause to a vote at the appropriate moment to underscore how strongly we feel that this is one of the areas on which the Government must move by Report stage, to ensure that the legislation is as robust as it can possibly be.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I will keep this brief. I am grateful to the shadow Minister for outlining his concerns, which were mentioned on Second Reading. The commitment I can give is that we are seriously looking at the issue and seeing how far we can go without that risk of reclassification. I appreciate his reasoning behind wanting to push the new clause to a vote; I hope in the meantime that he will be inclined to change his mind before we get to that point.

Question put and agreed to.

Clause 21 accordingly ordered to stand part of the Bill.

Clause 22

Standards relating to information and transparency

Question proposed, That the clause stand part of the Bill.

None Portrait The Chair
- Hansard -

With this it will be convenient to discuss new clause 9—Application of Freedom of Information Act 2000 to registered providers

“(1) Within six months of this Act receiving Royal Assent, the Secretary of State must by order designate registered providers of social housing as public authorities for the purposes of the Freedom of Information Act 2000.”

This new clause would bring registered providers of social housing within the scope of the Freedom of Information Act 2000.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

It is essential that social housing tenants should be able to access relevant information about their landlords and their homes. Greater transparency will empower tenants and drive providers to improve service delivery. Clause 22 extends the standard-setting powers of the Regulator of Social Housing to cover information and transparency. The clause will enable the regulator to deliver key social housing White Paper commitments, including setting standards relating to the new access to information scheme. We also expect information and transparency standards to include requirements for registered providers to share information on how landlords spend their income, executive pay and breaches of the standards.

When a provider is failing to meet these standards, the clause ensures that the regulator can take strong enforcement steps, including penalties, compensation and requiring changes in the management of the provider. Extending the regulator’s power to set regulatory standards to include standards on information and transparency will empower tenants to hold their landlord to account and strengthen overall consumer regulation.

New clause 9 seeks to require the Secretary of State to extend the Freedom of Information Act 2000 to registered providers of social housing, via statutory instrument, within six months of Royal Assent. I do not believe the amendment is necessary or advisable. The Government have worked closely with stakeholders to agree plans to deliver the access to information scheme for tenants of housing associations and other private registered providers, as promised in the social housing White Paper.

The new scheme will enable tenants of private registered providers and their representatives to request information from their landlords in a way similar to that available under the 2000 Act. It will also impose similar obligations on private registered providers. Tenants of private registered providers will be able to request information from their landlord on anything relating to the management of their homes. The new scheme will be integrated into the regulatory environment, tailored to the needs of tenants, and enforced as part of the regulator’s consumer standards.

If a tenant is unhappy with how a landlord has dealt with their request for information, they will be able to take their complaint to the housing ombudsman. The process will be the same as for other complaints, ensuring ease of use and accessibility for tenants. The ombudsman also has a strong understanding of the social tenant and landlord relationship, and an established relationship with the Regulator of Social Housing. Additionally, local authority providers, which would fall under the new clause, are already subject to the Freedom of Information Act 2000 as public bodies.

Finally, extending freedom of information to registered providers would increase the level of Government control exercised over the sector. We are back to the potential argument around reclassification, which we are keen to avoid. The access to information scheme that we have laid out does not carry the same reclassification risk. On that basis, although I commend the excellent clause, I ask the hon. Member for Greenwich and Woolwich to consider not pressing his new clause to a vote.

Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

At the outset, I should thank the Greater Manchester Law Centre for its support in drafting the new clause, the purpose of which is to probe the Government’s rationale for not using the Bill to bring registered providers of social housing within the scope of the Freedom of Information Act—other than local authorities, which, as the Minister rightly said, are already subject to it—and to press the Government to reconsider.

As the Minister is no doubt aware, this matter has been a perennial cause of concern. In 2011, the coalition Government announced that they would consult housing associations on bringing them within the scope of the Act; however, no further action was taken—almost certainly as a result of housing associations objecting. The issue resurfaced in the wake of the Grenfell Tower fire as a result of the Information Commissioner’s Office reporting to Parliament that it had experienced difficulties in accessing information relating to social housing and to the Kensington and Chelsea Tenant Management Organisation because the information was not covered by the Freedom of Information Act. The Information Commissioner at the time, Elizabeth Denham, made it clear that

“housing Associations are currently not subject to Freedom of Information Act because the Act does not designate them as public bodies. It is clear to me that this is a significant gap in the public’s right to know”.

We believe that she was right to highlight that gap, which remains to this day.

It is not simply that the public do not enjoy rights that they have never had; in the cases of housing associations that have had local authority stock transferred to their management, tenants and the public have lost freedom of information rights that they previously enjoyed when those homes were under local authority control. As I expected, the Minister has made the case that the issues are addressed by the provisions in clause 22 relating to information and transparency; however, those provisions are limited both in scope and specificity in terms of who may request the disclosure of information—it would appear that only tenants themselves have access to it, while journalists and others would not—and how the scheme will operate in practice.

--- Later in debate ---
Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

Before we suspended, the hon. Member for Walsall North pressed me on what he felt was an inaccuracy in my statement that journalists were not covered by the provisions. The Division has given me a chance to look at both the Bill and the explanatory notes. Unless he can find one, I see no mention of tenants or their representatives in the Bill. The provision in question, on page 18 of the Bill, merely states:

“the provision of information to their tenants of social housing”.

If it is the case that tenant representatives, including a broad definition of what that entails—including journalists—can access the information in question, that would be welcome.

However, not only is clause 22 limited to tenants themselves, but it provides no guarantees that an information and transparency scheme will be established. All it specifies is that the regulator “may set standards” for RPs in relation to those matters.

Although we can debate the efficacy of clause 22 in terms of whether the regulator’s ability to set standards relating to the provision of information and transparency will significantly increase RP accountability, it is clear that the clause does not provide for anything akin to that facilitated by the freedom of information regime. As the Information Commissioner’s Office put it, on welcoming the commitment to provide some information to tenants, the scope of the proposed access to information scheme

“appears narrower than FOI in a number of significant ways”.

The arguments against bringing housing associations within the Bill’s scope have been that it would inevitably result in reclassification by the Office for National Statistics and that RPs would be overwhelmed with FOI requests. However, the Scottish Government’s decision to extend coverage of Scotland’s freedom of information legislation to registered social landlords there, following a 2017 consultation—despite opposition from a majority of the housing associations affected—appears to undermine both those counter-arguments. A 2021 report by the Scottish Information Commissioner following the changes made there found that social landlords had responded well to being covered by the legislation, with a significant majority of organisations surveyed making it clear that they were responding effectively, were publishing more information as a result of FOI and were not overwhelmed with requests, with 57% reporting a small impact on staff workload. Importantly, despite being subject to the Freedom of Information Act, Scottish providers remain classified as private non-financial corporations by the ONS.

There are numerous examples from across the country of RPs either ignoring or refusing outright to respond to reasonable requests from tenants for information on a range of issues, including fire safety and health hazards, on the basis that they are not covered by the Freedom of Information Act. I note what the Minister said about tenants’ ability to take such concerns to the housing ombudsman, but we have already discussed what a lengthy and time-consuming process that is. Given that local authority RPs are already covered by FOI, we cannot understand why non-local authority RPs are not brought within the scope of that Act. Given that one of the central aims of the White Paper and the Bill is to engender a culture of transparency and accountability among RPs and that clause 22 is far narrower in scope than FOI, we believe it would be beneficial to the public if housing associations that are not publicly owned are brought within the scope of the 2000 Act. The UK Information Commissioner’s Office agrees, stating as recently as January 2022:

“The ICO believes that housing associations that provide social housing should be covered by the Freedom of Information Act 2000 in the same way as housing provided by local authorities. We believe access to information laws should remain relevant and appropriate to how public services are delivered.”

I hope that the Minister has listened carefully to the arguments about the new clause, in particular the Scottish experience, and I look forward to her response. I will not press the new clause to a Division at this stage. Depending on her reply, we may return to it on Report.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I am grateful to the shadow Minister for outlining his case so coherently. I go back to points that I made earlier. On the point about tenant representatives, it is certainly the intent that they will be able to make those requests on behalf of tenants. In some cases, that could include journalists—the hon. Member specifically commented on them. I hope that provides some assurance about intent. I am grateful to the hon. Member for not pressing the new clause to a Division for now.

Question put and agreed to.

Clause 22 accordingly ordered to stand part of the Bill.

Clause 23 ordered to stand part of the Bill.

Clause 24

Standards relating to energy demand

None Portrait The Chair
- Hansard -

The Government indicated an intention to vote against the Question that the clause stand part of the Bill by tabling an amendment to leave out the clause.

--- Later in debate ---

Division 1

Ayes: 7

Noes: 9

Clause 24 disagreed to.
--- Later in debate ---
Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

The proposed tenant satisfaction measures scheme, as outlined in the social housing White Paper and underpinned by the provisions in the clause, has the potential to be an extremely useful tool for tenants, both in gaining a better understanding of their landlords’ performance and in providing feedback that can assist in driving up standards. We support it.

Given the diversity of providers across the social housing sector, however, a sufficient degree of standardisation of the collecting, processing and presenting of the information relating to the new tenant satisfaction measures is crucial. If steps are not taken to ensure a prescribed collection method for obtaining the information in question so that, when published, it allows for rigorous like-for-like comparison, the obvious risk is that the TSM scheme will struggle to facilitate an accurate and fair comparison of performance between RPs, and its use as a means of informing regulation will be compromised. The regulator itself has acknowledged the potential limitations of the scheme, owing to the variation in methods of data collection and sampling across different organisations.

The question, therefore, is what might be done to address those potential pitfalls to ensure that the TSM scheme works as effectively as it can. I will be grateful if the Minister could give us a sense of how the Government believe that a degree of standardisation might be imposed upon the TSM process to facilitate an accurate and fair comparison of performance between providers. Also, she might ask her officials to consider whether it would be appropriate for the Government to commit to asking the regulator to review the method of collecting, processing and presenting the information in question within a certain timeframe, following any directions issued under proposed new section 198C coming into effect.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I will write to the shadow Minister following our sitting to give him further clarity about the clause.

Question put and agreed to.

Clause 27 accordingly ordered to stand part of the Bill.

Clause 28

Surveys

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I beg to move amendment 4, in clause 28, page 22, leave out lines 3 to 8 and insert—

“(8) Equipment or materials taken onto premises by virtue of subsection (7) may be left in a place on the premises until the survey has been carried out provided that—

(a) leaving the equipment or the materials in that place does not significantly impair the ability of an occupier to use the premises, or

(b) leaving the equipment or the materials on the premises is necessary for the purposes of carrying out the survey and it is not possible to leave it or them in a place that does not significantly impair the ability of an occupier to use the premises.”

This adjusts the power to leave equipment etc on premises so that it can only be left in a place that significantly impairs the ability of occupiers to use the premises if there is no other place on the premises it can be left which doesn’t impair such use.

None Portrait The Chair
- Hansard -

With this it will be convenient to discuss the following:

Government amendments 5 to 11.

Clause stand part.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

The regulator has an existing power to arrange for a survey of a premises where it suspects that a landlord may be failing to maintain the premises in accordance with its standards. The clause takes steps to ensure that those important surveys can take place more promptly by reducing the notice period required from 28 days for landlords and seven days for tenants to 48 hours for both parties. These are minimum requirements, and in the majority of cases the regulator would seek to give more than the minimum notice period, but the changes ensure that the regulator can act quickly in the most serious cases.

The clause also includes a power for the regulator to seek a warrant for entry when necessary, meaning that surveys can take place when required to ensure that the regulator can identify problems and take appropriate action. In the most serious cases, following a survey the regulator will be able to arrange for emergency remedial action to take place, as set out under clause 31, to address an imminent risk to the health and safety of tenants if the provider fails to take action required by the regulator.

Committee members may be aware that we have stipulated in the Bill that equipment or materials can be left on the premises only if it is necessary for the survey or emergency remedial action to go ahead, or otherwise if that does not significantly impair an occupier when using the premises.

Government amendments 4 to 11 are common-sense amendments designed to ensure that regulatory activities do not unnecessarily obstruct or inconvenience residents of social housing. Our changes are slight and intend to strengthen the Bill’s provisions to the benefit of tenants. They require that even if it is necessary to leave equipment or materials on the premises for surveys or emergency remedial action, they must not be left in a way that causes significant inconvenience to occupiers if they can be left in another place where this inconvenience does not occur. This means that thought must be given to minimising the impact of a survey or works on occupiers, including the impact on a tenant’s use of the common parts.

Those small, technical changes are intended to ensure that a survey or emergency remedial action can be conducted, but in such a way that is mindful of the impact on tenants and courteous to them. I commend the amendments to the Committee.

Amendment 4 agreed to.

Amendments made: 5, in clause 28, page 22, line 8, at end insert—

“(9) Where the premises include common parts of a building, references in subsection (8) to the ability of an occupier to use the premises include the ability of an occupier of a dwelling that has use of the common parts to use those parts or the dwelling.

(10) In this section, “common parts”, in relation to a building, includes the structure and exterior of that building and any common facilities provided (whether or not in the building) for persons who occupy the building.”

Where a survey is carried out on premises which include common parts of a building this amendment requires the effect on the ability of occupiers to use their dwellings and the common parts to be considered in determining whether equipment or materials can be left on the premises while the survey is carried out.

Amendment 6, in clause 28, page 22, leave out lines 31 to 36 and insert—

“(5) Equipment or materials taken onto premises by virtue of subsection (4) may be left in a place on the premises until the survey has been carried out provided that—

(a) leaving the equipment or the materials in that place does not significantly impair the ability of an occupier to use the premises, or

(b) leaving the equipment or the materials on the premises is necessary for the purposes of carrying out the survey and it is not possible to leave it or them in a place that does not significantly impair the ability of an occupier to use the premises.”

This adjusts the power to leave equipment etc on premises so that it can only be left in a place that significantly impairs the ability of occupiers to use the premises if there is no other place on the premises it can be left which doesn’t impair such use.

Amendment 7, in clause 28, page 22, line 36, at end insert—

“(5A) Where the premises include common parts of a building (as defined in section 199A), references in subsection (5) to the ability of an occupier to use the premises include the ability of an occupier of a dwelling that has use of the common parts to use those parts or the dwelling.”—(Dehenna Davison.)

Where a survey is carried out on premises which include common parts of a building this amendment requires the effect on the ability of occupiers to use their dwellings and the common parts to be considered in determining whether equipment or materials can be left on the premises while the survey is carried out.

Clause 28, as amended, ordered to stand part of the Bill.

Clause 29

Inspection plan

Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

I beg to move amendment 16, in clause 29, page 23, line 36, leave out lines 36 to 39 and insert—

“(a) the inspection of every registered provider within four years of the commencement of this Act,

(b) the inspection of every registered provider at intervals of no longer than four years thereafter, and”.

This amendment would ensure that the regulator is required to carry out regular inspections of every registered provider.

Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

We strongly support the introduction of routine inspections of social landlords. We therefore welcome clause 29. I would like to take the opportunity once again to commend the efforts of Lord Best in the other place and the perseverance of Grenfell United, which ensured that the Bill was strengthened.

Routine inspections of social housing landlords must be central to the new consumer regulatory regime introduced by the Bill if tenants are to have confidence that landlords will be monitored appropriately and deterred from risking breaches that could undermine health and wellbeing. The welcome removal of the serious detriment test in its entirety through the provisions in clause 26 legally allows the regulator to adopt a proactive approach to monitoring and enforcing consumer standards.

In our view, such an approach should be premised on inspections that are at short notice, rigorous, thorough and that include direct engagement with tenants who can highlight issues of concern, thereby helping the regulator determine whether a given provider is meeting the enhanced consumer standards introduced by the Bill.

Clause 29 amends section 201 of the Housing and Regeneration Act 2008, adding a new section 201A to require the regulator to make, and take appropriate steps to implement, a plan for carrying out inspections. The plan must be published, kept under review, and revised or replaced where appropriate. However, the nature of the plan and issues such as the types of RPs that should be subject to regular inspections, the frequency of those inspections, and the circumstances in which RPs should be subject to ad hoc inspections are not prescribed on the face of the Bill, instead being left to the regulator to determine in due course.

While we recognise the need for the regulator to have a significant degree of discretion when it comes to formulating the inspections plan, we believe that the Bill should be more prescriptive in two important respects. First, we believe it is essential that the Bill make clear that all RPs, large or small, will be subject to inspections by the regulator. Secondly, we believe it is essential that the Bill ensures that each RP will be subject to routine inspections.

Amendment 16 seeks to achieve both those objectives by specifying which landlords will be inspected and the maximum duration of time between each inspection they are subject to. It does so by replacing proposed new section 201A(1)(a) and (b) of the Housing and Regeneration Act 2008, as inserted by clause 29—for those following in the Bill, that is lines 36 to 39 on page 23—with a requirement that every RP must be inspected within four years of the commencement of the Act and then inspected at intervals of no longer than four years thereafter.

We believe it is entirely reasonable to detail in the Bill the minimum expectations for the regulator’s inspections plan. The policy paper published alongside the Bill in June made clear that it would enable Ofsted-style inspections of social housing providers by the regulator. The Education Act 2005 that introduced those inspections specified that every school in England would be subject to them and that they would be inspected on a routine basis at least once every three years. Amendment 16 takes that arrangement and applies it to RPs, subject to the enhanced consumer standards introduced by the Bill.

The amendment deliberately does not specify the precise frequency of inspections, merely requiring that they take place at least once every four years—the timeframe proposed by the Government in their 2020 White Paper in relation to the largest landlords. In doing so, the amendment would allow the regulator to determine the precise frequency and nature of individual inspections based on the size of the landlord and its risk profile as determined by means of desktop review.

We believe amendment 16 would preserve the regulator’s operational independence and flexibility when it comes to formulating and implementing the inspections plan now required by clause 29, while strengthening the clause to ensure that key minimum expectations are specified and that tenants can have real confidence in the new inspections regime as a result. I hope the Minister will consider accepting it.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

Clause 29 commits the regulator to the delivery of regular inspections by providing it with a duty to publish, and take reasonable steps to implement, a plan for regular inspections. The clause will reinforce the regulator’s commitment to deliver the policy objective set by the social housing White Paper, while ensuring the regulator has the freedom to design the inspections regime following engagement with the sector.

As members of the Committee know, a key part of our efforts to drive consumer standards is the introduction of routine inspections by the regulator for the largest landlords. Inspections will help the regulator to hold landlords to account and intervene where necessary, ultimately driving up the quality of homes and services provided to tenants. That measure is integral to the success of the proactive consumer regime facilitated by the Bill.

However, I cannot accept amendment 16, which seeks to introduce a specific duty for the regulator to conduct inspections of all RPs every four years. As I have said, clause 29 puts the Government and the regulator’s shared commitment to inspections into legislation, through requiring the regulator to publish and take reasonable steps to implement an inspections plan. The clause also ensures that the regulator maintains a level of operational flexibility to allow it to respond on a risk basis to significant developments in the sector.

The regulator is committed to developing a robust approach to inspections, and continues to develop the details of how it will manage consumer inspections via a process of targeted engagement with the sector and social housing tenants. I do not feel that we should bind the regulator’s hands by putting into legislation detailed requirements about inspections that would pre-empt the work it is currently undertaking.

The system of inspections will be based on a risk profile to ensure that those landlords at greatest risk of failing, or where failure might have the greatest impact on tenants, are subject to greater oversight. As part of that provision, the regulator will aim to inspect landlords with more than 1,000 homes every four years. We will, of course, hold the regulator to account to deliver and implement its inspections plan, and the regulator continues to be accountable to Parliament for the delivery of its statutory objectives.

Bob Blackman Portrait Bob Blackman
- Hansard - - - Excerpts

Clearly, the providers with the most complaints against them to the regulator will be placed most at risk. In my view, some could be subject to an annual inspection, while providers that are doing a really good job and do not warrant an inspection could be left, although, clearly, if there were complaints, the inspection could be brought forward. Is that my hon. Friend’s understanding of how this will work? Obviously, the regulator will have limited resources to ensure that standards are improved.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

Absolutely—this is all about driving up standards. The plan is that the regulator will aim to inspect landlords with over 1,000 homes at least every four years, and those at highest risk could be subject to more frequent inspections. As I say, the regulator is doing detailed work to see how best to implement the measure, and it is important that we let it get on with that work before putting anything into the Bill. On that basis, I hope that the shadow Minister will withdraw the amendment.

Siobhain McDonagh Portrait Siobhain McDonagh (Mitcham and Morden) (Lab)
- Hansard - - - Excerpts

I rise to support amendment 16 on the basis of 17 years’ experience of Ofsted. We know that unless a school knows that Ofsted is coming, problems begin. A substantial proportion of outstanding schools that were not inspected for five years have recently been graded as needing improvement. Organisations need to know that somebody is coming, and coming in a reasonable time.

I simply do not understand why we would oppose registered providers being inspected once every four years, or why we would choose to inspect large housing associations but not smaller ones. Are housing associations with 1,000 tenants or fewer not just as susceptible to poor standards, and are those residents not entitled to live under the same inspection regime?

If regulation just requires looking at the paperwork, things can be made to look brilliant. Who here has not been told by their housing provider that it does not have a problem because 80% of tenants say that its repairs system is fantastic? When we dig into the detail, we appreciate how few people respond to customer service requests and just how hard some of our constituents find it to complain or get themselves heard. We need a clear and strong inspection regime.

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Siobhain McDonagh Portrait Siobhain McDonagh
- Hansard - - - Excerpts

I have been an MP for 25 years and a member of the Labour party for 42 years. I am really interested in political communication and getting people to respond. I have to tell the hon. Member that a substantial number of people will never respond, and it is often those who live in the most dire circumstances. If we are serious about improving standards, we need the most structured inspection system that we can afford—I appreciate that it is public money.

I do not deny that anything done in the Bill is a step forward and an improvement, but if we are going to spend public money on behalf of some of our most vulnerable constituents, we want to make it the best-spent money that we can. Let us get it right. We are not starting with a clean piece of paper; we are starting with 17 years of experience with Ofsted and years of experience with the Care Quality Commission. We know a great deal about how inspection regimes work.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

On the point about making sure we get the system right, the hon. Lady mentioned public funds, which is clearly a crucial issue. That is precisely why the regime is being designed so that those who are most at risk will be inspected more frequently. That includes not just larger landlords but smaller landlords where there is a clear indication of issues that have been found previously. Inspections can also be done on a more reactive basis. If a report goes to the regulator to suggest that there is a specific issue with a smaller landlord, the risk profile will be there and the landlord could be inspected much more frequently.

Siobhain McDonagh Portrait Siobhain McDonagh
- Hansard - - - Excerpts

I am glad that there will be reactive inspections. I am not suggesting that there should not be. What I am saying is that, along with reactive inspections, there should be a regular and rigid routine of inspections. That way, everybody knows that they will have an inspection once during a four-year period. That does not seem to me to be over-regulation, certainly given recent events in social housing stock.

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Division 2

Ayes: 7

Noes: 9

Clause 29 ordered to stand part of the Bill.
--- Later in debate ---
Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

We welcome the introduction of performance improvement plans as a sensible measure to drive up standards where registered providers are falling short. I would, however, like to raise a few issues in relation to how these plans will work in practice.

We note that the tenant is provided with a copy of the performance improvement plan, which is drawn up where a registered provider has failed to reach a statutory standard for properties under their responsibility, only if the tenant makes a written request for one. Given the strong case for ensuring that all affected tenants know how their landlord is performing and what decisions they are making, we question whether that is sufficient. We note that this matter was also explored during Committee stage in the other place.

In the material it supplied in relation to consideration of the Bill, the Chartered Institute of Housing argued:

“Consideration should be given as to how tenants will be alerted should any poor performance lead to the regulator requiring a performance improvement plan”.

The Local Government Association has also put on record its desire to see the publication of guidance on the regulator’s requirements and timescales for preparing and implementing performance improvement plans.

In the light of these points, I hope the Minister could clarify, either today or in writing—I am happy to take another letter from her—the operation of the provisions in this clause in relation to the following. First, how will tenants be notified if the poor performance of their registered provider leads to the regulator initiating the process of preparing an improvement plan? Will tenants, for example, have the chance to input their views about the problems identified and the measures specified for improvement in these plans?

Secondly, what is the rationale for specifying that tenants can only request a copy of the plan if they require one, rather than being provided with the plan as a matter of course along with any information about what it is, why it came about and what changes they can expect to see as a result—an arrangement that strikes us as more in keeping with the aims outlined in the Government White Paper? Thirdly, is the Minister able to tell us when the guidance on the regulator’s requirements and timescales for preparing and implementing performance improvement plans will be published? Lastly, does the Minister expect that performance improvement plans will be used as a first resort to give underperforming landlords the chance to improve before the regulator considers more punitive measures?

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I am grateful to the shadow Minister for his questions. I will follow up in writing and provide some more clarity. Where there is a performance improvement plan in place, the provider is required to publish that, so it will be freely available to tenants and, indeed, to members of the public.

Question put and agreed to.

Clause 30 accordingly ordered to stand part of the Bill.

Clause 31

Emergency remedial action

Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

I beg to move amendment 17, in clause 31, page 27, line 28, leave out “may” and insert “must”.

This amendment would ensure that emergency remedial action takes place on every occasion where the conditions in subsections (2) to (4) of section 225B inserted by clause 31, are met rather than being discretionary.

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Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

It is the responsibility of every registered provider of social housing to ensure that they provide safe and decent housing to their tenants. That means maintaining properties in accordance with the Regulator of Social Housing’s standards and addressing problems issues quickly where problems are identified.

Where a provider cannot or will not address issues that risk the health and safety of tenants, it is essential that the regulator can act. The clause therefore allows the regulator to authorise persons to enter a property and conduct emergency remedial works in cases where failings risk causing serious harm to tenants. For the regulator to do so, it must first conduct a survey of the premises, be satisfied that the provider has failed to maintain the premises in accordance with relevant standards and that the failure poses a serious health and safety risk, and give an enforcement notice requiring those failures to be addressed. If those grounds are met, the regulator may step in and take emergency remedial action. The amendment moved by the shadow Minister would mean that the regulator must take emergency remedial action when the relevant grounds are met.

I have made it clear several times that nothing is more important to the Government than keeping people safe in their homes. Sadly, however, I cannot accept the amendment, because we feel it is essential that the regulator retains the independence and flexibility to determine where it is appropriate to use the power set out in the clause. That reflects regulatory best practice, whereby the regulator has the operational independence to regulate the sector effectively by deciding which of its enforcement powers to use in any given case.

Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

If a provider has failed all the tests in the clause, what other powers might the regulator use if it did not feel that emergency remedial action was necessary? What other things might it do to address a series of failings that triggered its ability to act along the lines we have discussed?

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

We have talked, for example, about enforcement notices and possible fines, which are clearly measures available to the regulator. One of the things that we are concerned about at this stage—this has been drawn out at various points today—is binding the hands of the regulator. We do not want to commit it to one course of action.

Maggie Throup Portrait Maggie Throup (Erewash) (Con)
- Hansard - - - Excerpts

Does the Minister agree that we are providing the framework for the regulator? As politicians, we should not be telling it how to do its job. If we make the regulations and powers strong enough and give the regulator teeth, whether the word is “may” or “must” becomes irrelevant, because it will take action anyway.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

My hon. Friend makes the point extremely well and much more strongly than I did. She is absolutely right. We are setting out the framework of what the regulator can use and will have access to. It will have a full suite of powers available to ensure that it is looking out for tenants and that they are in the best possible housing.

To summarise, we do not wish to bind the hands of the regulator too stringently. We want to give it a suite of powers and the operational independence to choose which powers to use. On that basis, I ask the hon. Member for Greenwich and Woolwich to consider withdrawing his amendment.

Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

I appreciate the Minister’s concern about binding the regulator too rigidly. I push back slightly against the point made by the hon. Member for Erewash: I think it is wrong to say—the experience of recent years shows this—that just because we give a regulator a power, it necessarily uses it, and certainly not in a proactive way. At this stage, however, I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Amendments made: 8, in clause 31, page 29, line 41, leave out from beginning to end of line 6 on page 30 and insert—

“(5) Equipment or materials taken onto premises by virtue of subsection (4)(b) may be left in a place on the premises until the emergency remedial action has been taken provided that—

(a) leaving the equipment or the materials in that place does not significantly impair the ability of an occupier to use the premises, or

(b) leaving the equipment or the materials on the premises is necessary for the purposes of taking the emergency remedial action and it is not possible to leave it or them in a place that does not significantly impair the ability of an occupier to use the premises.”

This adjusts the power to leave equipment etc on premises so that it can only be left in a place that significantly impairs the ability of occupiers to use the premises if there is no other place on the premises it can be left which doesn’t impair such use.

Amendment 9, in clause 31, page 30, line 6, at end insert—

“(6) Where the premises include common parts of a building (as defined in section 225C), references in subsection (5) to the ability of an occupier to use the premises include the ability of an occupier of a dwelling that has use of the common parts to use those parts or the dwelling.”

Where emergency remedial action is taken on premises which include common parts of a building this amendment requires the effect on the ability of occupiers to use their dwellings and the common parts to be considered in determining whether equipment or materials can be left on the premises while the work is carried out.

Amendment 10, in clause 31, page 30, leave out lines 29 to 36 and insert—

“(5) Equipment or materials taken onto premises by virtue of subsection (4) may be left in a place on the premises until the emergency remedial action has been taken provided that—

(a) leaving the equipment or the materials in that place does not significantly impair the ability of an occupier to use the premises, or

(b) leaving the equipment or the materials on the premises is necessary for the purposes of taking the emergency remedial action and it is not possible to leave it or them in a place that does not significantly impair the ability of an occupier to use the premises.”

This adjusts the power to leave equipment etc on premises so that it can only be left in a place that significantly impairs the ability of occupiers to use the premises if there is no other place on the premises it can be left which doesn’t impair such use.

Amendment 11, in clause 31, page 30, line 36, at end insert—

“(5A) Where the premises include common parts of a building (as defined in section 225C), references in subsection (5) to the ability of an occupier to use the premises include the ability of an occupier of a dwelling that has use of the common parts to use those parts or the dwelling.”—(Dehenna Davison.)

Where emergency remedial action is taken on premises which include common parts of a building this amendment requires the effect on the ability of occupiers to use their dwellings and the common parts to be considered in determining whether equipment or materials can be left on the premises while the work is carried out.

Clause 31, as amended, ordered to stand part of the Bill.

Clauses 32 to 35 ordered to stand part of the Bill.

Schedule 3 agreed to.

Clauses 36 to 38 ordered to stand part of the Bill.

Schedule 4 agreed to.

Clauses 39 and 40 ordered to stand part of the Bill.

Schedule 5 agreed to.

Clauses 41 to 43 ordered to stand part of the Bill.

Clause 44

Short title

Amendment made: 12, in clause 44, page 37, line 10, leave out subsection (2).—(Dehenna Davison.)

This amendment removes the privilege amendment inserted by the Lords.

Clause 44, as amended, ordered to stand part of the Bill.

New Clause 1

Regulator duty to ensure continuity of secure tenancy in cases of threat to safety

“(1) The Housing and Regeneration Act 2008 is amended as follows.

(2) After section 92K insert—

92KA Duty to ensure continuity of secure tenancy in cases of threat to safety

(1) This section applies where—

(a) a registered provider of social housing has granted a secure tenancy of a dwelling-house in England to a person (whether as the sole tenant or a joint tenant), and

(b) the registered provider is satisfied that there is a threat to the personal safety of that person or of a member of that person’s household which means there is a risk to their personal safety unless they move.

(2) When subsection (1) applies, the regulator must ensure that the registered provider grants the tenant a new secure tenancy which is–

(a) on terms at least equivalent to the existing tenancy; and

(b) in a dwelling where the threat to the tenant’s personal safety does not apply.

(3) In this section, a “threat to personal safety” means any threat of violence, including in circumstances of—

(a) domestic abuse where the perpetrator does not live at the same address as the victim;

(b) an escalating neighbour dispute;

(c) a threat of targeted youth or gang violence.

(4) In assessing the threat under subsection (1)(b), the registered provider must act in accordance with any relevant police advice provided to–

(a) the registered provider,

(b) the tenant, or

(c) any member of the tenant’s household.

(5) In the event that a registered provider is unable to ensure the provision of an appropriate new secure tenancy pursuant to subsection (2), the regulator must ensure that the registered provider concerned co-operates with other registered providers to ensure an appropriate new secure tenancy is provided in a timely manner.’”—(Helen Hayes.)

This new clause would require the regulator to ensure that tenants whose safety is threatened are granted alternative accommodation by their housing provider on equivalent terms to their existing tenancy. It also requires the regulator to ensure that a provider which is unable to provide appropriate alternative accommodation co-operates with other providers to do so.

Brought up, and read the First time.

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Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

I rise briefly to support my hon. Friend’s new clause, Georgia’s law. She made an extremely powerful case for it. I believe that it is sensible and proportionate, and will have a significant impact. I am sure that many hon. Members present have dealt with the kind of cases that she outlined—I certainly have. We are talking about a small but significant minority of tenants in England, but they find themselves, as the hon. Member for Harrow East said, in the exceptional circumstances of a police referral. All the new clause asks for is the protection of their tenancy rights, which should not be lost when they are forced to move, and greater co-operation between registered providers.

It is no surprise that the new clause is supported by organisations such as the NHF and Shelter. I think this is a very strong new clause, and I very much hope that the Government are minded to act on this issue, if not today then on Report. It is a crucial provision and will benefit the lives of many of our constituents.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I am grateful to the hon. Member for Dulwich and West Norwood for tabling the new clause and for her engagement on the issue some weeks ago when we met to discuss it. I am grateful to her for raising the case of Georgia and her boys, and that of CJ. They are both horrendous cases, which give us all food for thought. I thank her for her words on the need to reduce violence more widely. That is something I am incredibly passionate about on a personal level too.

Before I begin, I want to clarify some technicalities. The new clause would provide protection where registered providers have granted their tenants secure tenancies. Secure tenancies are only granted by local authorities, so we will talk to the intention of the new clause, which is I believe around assured tenancies, as well as those in secure tenancies given by local authorities that are registered with the regulator.

We do not expect anyone who is threatened with violence to feel like they cannot move to safety for fear of losing their security of tenure. There are already a number of policies in place that seek to protect people at risk of violence who are in need of urgent rehousing. If a local authority grants a victim of domestic abuse, for example, a new tenancy for reasons connected with the abuse, it is required to give them a secure lifetime tenancy, rather than a tenancy with a fixed term.

Local authorities are also required to give people who need to move for their safety reasonable preference for social housing under section 166A(3) of the Housing Act 1996. Chapter 4 of the statutory guidance encourages local authorities to give additional preference or high priority to those fleeing violence, including intimidated witnesses, those escaping serious antisocial behaviour and people fleeing domestic violence.

By extension, those protections can be applied to private registered providers through duties to co-operate with their local authority in housing people with priority. Most private registered providers let 50% to 100% of their tenancies via nominations from their local authority. The current approach, which considers applicants for social housing on a case-by-case basis, and retains some flexibility, is the most appropriate means of determining whether a household should be granted a new tenancy.

The new clause would have the effect of requiring registered providers to relocate tenants and provide them with a new tenancy agreement. As we know, there are sadly many people with urgent housing needs who need to move immediately—for example, families who are living in conditions that pose a serious risk to their health. Going further than the existing protections by requiring registered providers to prioritise people fleeing violence above others would undermine some of the flexibilities given to housing providers to respond to the specific requirements of those in urgent need of social housing locally.

It is a fundamental right of the landlord to determine who they grant a tenancy to and who lives in their property. Retaining that right is key to registered providers being able to achieve their goal of creating safe and stable communities. It is therefore important to retain some flexibility for social landlords to decide their policy on allocations and who to house. That is integral to the effective functioning of the wider system.

Finally, as I am sure the hon. Member for Dulwich and West Norwood will be aware, we are taking steps to reform tenancy law to protect the security of tenure for social tenants. After section 21 is removed, all tenancies given by private registered providers will have greater security of tenure.

On that basis, I ask the hon. Lady to withdraw the new clause. I am very willing to work with her to see what more can be done in this area to prevent any more cases like that of Georgia and her boys emerging.

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Division 3

Ayes: 6

Noes: 9

New Clause 5
--- Later in debate ---
I was glad to hear the Secretary of State, in his appearance before the Select Committee on Monday 21 November, recognise that the role of local representatives and tenants in the management and governance of providers was a “live issue” and that improvements were needed with regard to it. In proposing this amendment, we simply wish to ascertain the Government’s view as to the potential merits of enabling the regulator to set standards in relation to the representation of both tenant and local councillors on boards of registered providers. I look forward to the Minister’s response.
Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

As the shadow Minister rightly outlined, new clause 5 seeks to ensure representation of tenants and councillors on the board of registered providers. While I agree with the sentiment behind the amendment—that we must ensure that the voice of social housing tenants is heard loud and clear in matters that affect them—I am afraid I must disagree that it is the best approach to take. 

Tenants speak from their lived experience, which can bring a different and valuable perspective to that of other board members. They should be listened to at all stages of decision making. However, we do not think that mandating the inclusion of a tenant board member is necessarily the best way to achieve that aim.

Eddie Hughes Portrait Eddie Hughes
- Hansard - - - Excerpts

I have some experience of this, having been a councillor representative on the board of Walsall Housing Group at a time when it was a prescribed position. I distinctly remember a couple of instances prior to my being on the board when the Conservative spot was decided by random voting or people having been coerced into filling it. That seemed completely inappropriate.

When I became chair of the board of that group, we took a different view—to adopt a skills-based approach, determining that some of the skills would be best met by those who had experience of being a tenant. It was not prescribed that we were saving places for tenants; it just became a natural order of business that they would have the appropriate skills and experience to fill some of the vacancies on the board. Speaking from personal experience, too prescriptive an approach can sometimes lead to unintended consequences: people filling a place just because they need somebody under a certain heading to fill it.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I thank my hon. Friend for setting out his own experience. It is an area the Government are very concerned about, and it comes back to the Committee’s debate today about how prescriptive we should be in the Bill.

Some housing providers already have tenants on boards, and they have been effective in championing residents’ voices, but this is not the case for everyone. Tenant board members are required to put their legal duties as a board member before their role as the representative for residents, which can cause confusion and conflict. Other structures can be just as successful and involve a more diverse range of tenants in decision making. That can range from formal consultations, focus groups and local events to appointed board observers and membership of panels focused on scrutiny, procurement or complaints that feed in at all stages of the decision-making process. We want to retain a flexible approach that promotes tenant empowerment and engagement for all tenants without forcing the statutory duties of a board member on a single individual.

The Regulator of Social Housing already sets standards for the outcomes that landlords must achieve in respect of tenant engagement. It will review, consult and update them as part of the new consumer regulation regime. The regulator will also ask landlords to demonstrate how they engage with tenants and require them to report on tenant satisfaction measures, as part of their assessment and inspection of landlords in the new regime. That is important because for the first time it makes tenants’ experiences a measure by which housing providers will be judged and held to account by the regulator.

There will also be improved transparency measures for tenants to be able hold their landlord to account. They need to know how it is performing and what decisions it is making. That information needs to be easily available. Earlier today we touched on the access to information scheme that we will introduce. That will enable tenants of private registered providers to request information from their landlords.

In addition, we have made funding available for a residents’ opportunities and empowerment programme, which will provide training to residents across the country on how to engage effectively and hold landlords to account. I hope that I have provided enough reassurance for the shadow Minister to withdraw his new clause.

Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

I thank the Minister for that useful response and the hon. Member for Walsall North for his contribution. The Minister touched on an interesting issue when exploring the details of the Bill before today. There is not only potential for confusion but potential conflict about the role of a board member, particularly in the case of an elected councillor.

I was interested to read when looking into the death of Awaab Ishak that two councillors were removed by the board of Rochdale Boroughwide Housing for drawing attention to their concerns about buildings being pulled down—I am not saying that was anything specifically related to his death, but it related to concerns they had about a particular decision by the provider that was in conflict with their role.

In general terms, I understand the concern about being too prescriptive. This area should perhaps be kept under review. Whether it is best practice by some registered providers, guidance or whatever it might be, it is important to keep under review how to ensure that we can get the most representative and effective board of registered providers. As I said, this is a probing new clause. I beg to ask leave to withdraw the motion.

Clause, by leave, withdrawn.

New Clause 6

Standards relating to consumer matters

‘(1) Section 193 of the Housing and Regeneration Act 2008 is amended as follows.

(2) In subsection (2)—

(a) after paragraph (d) insert—

“(da) major repair or improvement works,

(db) estate regeneration,

(dc) service charges,”

(b) after paragraph (ga) insert—

“(gb) advice and assistance in relation to the prevention of homelessness,”

(c) after paragraph (h) insert—

“(ha) provision for urgent transfer of tenancies in relation to tenants affected by domestic abuse or other violence”’.—(Matthew Pennycook.)

This new clause would allow the regulator to set standards in relation to major repair or improvement works, estate regeneration, service charges, homelessness prevention, and urgent moves for residents at risk of violence.

Brought up, and read the First time.

--- Later in debate ---
Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

Absolutely right.

We finish with an important new clause. It relates to what comes under the rubric of consumer standards as defined by the Bill. Since its initial publication in June, the Bill has been improved in several important respects. Today we have urged the Government to go further in relation to some areas and we will continue to do so, but we welcome the introduction of the consumer standards in relation to safety, transparency, competence and conduct.

However, there are other matters of real importance to social tenants that the Bill, as drafted, does not extend new consumer standards to. They include major repairs or improvement works, estate regeneration, service charges, advice and assistance in relation to the prevention of homelessness and urgent moves resulting from the risk of domestic abuse or serious violence.

New clause 6 simply seeks to ensure that the regulator has the freedom to set standards for registered providers in respect of each of those areas of housing management by amending section 193 of the Housing and Regeneration Act 2008 to include them within the scope of what is considered a consumer matter.

There is arguably a need for the regulator to carry out a thorough consultation about consumer standards to better understand what housing management issues currently matter most to tenants. However, we know both from organisations providing housing support, guidance and expert advice services and, I would argue, from our own postbags, that the issues covered by new clause 6 are important to tenants. There is an arguable case for placing them in the Bill to at least allow the regulator, which has probably consulted and developed them, to set consumer standards in relation to some of these issues at a later date. I look forward to the Minister’s response.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

As the shadow Minister outlined, the new clause seeks to amend the Regulator of Social Housing’s powers to set consumer standards in a number of ways. All the issues that he raised are important. Although I cannot accept the amendment, I will seek to address the issues raised in turn.

On major repairs and improvements, all social housing landlords should be delivering decent social housing and prioritising repairs and improvements that need to be made to ensure that housing is up to standard. The regulator is already able to set standards relating to the nature, extent and quality of accommodation, and the facilities and services, provided. That can include specified rules about maintenance, which would cover major repairs.

The regulator’s current homes standard already requires registered providers to provide a repairs and maintenance service that meets the needs of tenants, with the objective of getting repairs and improvements right the first time. The regulator will consult on and revise the standards following the passage of legislation and the issuance of Government directions.

On estate regeneration, let me be clear that I agree that landlords should be adequately planning for major regeneration projects and delivering planned maintenance. However, including that area as part of the regulator’s standard-setting remit is not necessary. As I have noted before, the regulator already has the powers required to set standards required relating to maintenance and repairs. Those standards apply to all homes, regardless of whether they are part of a regeneration project.

Existing legislation also enables the regulator to set standards relating to the contribution of landlords to the environmental, social and economic wellbeing of the areas in which their property is situated, which relates closely to the intended outcomes of regeneration projects. The regulator already sets expectations about neighbourhood management in its consumer standards and will be consulting on revised expectations under the proposed new standards, once the Bill has been passed.

It remains the responsibility of landlords to effectively manage their stock and deliver decent housing for their residents. We believe that a specific standard-setting power for regeneration is unnecessary. Effective asset management is already a focus of the in-depth assessments that the regulator conducts, which mean that landlords have to demonstrate to the regulator that they are able to maintain adequate levels of investment in the homes that they are responsible for.

I turn to service charges. The Government’s policy statement on rents for social housing encourages registered providers of social housing to keep any service charge increases within the consumer prices index plus 1% per year—the current limit on annual increases in social housing rents—in order to help ensure that charges stay affordable. Following our recent consultation on social housing rent increases, the Chancellor announced as part of his autumn statement that the Government will cap the increase in social rents at a maximum of 7% in 2023-24. In line with the proposal set out in our consultation, we will amend the policy statement to encourage providers to apply the 7% limit to any service charge increases in 2023-24.

Our policy statement also states that tenants should be supplied with clear information on how service charges are set; in the case of social rent properties, providers are expected to identify service charges separately from the rent charge. The new clause is not necessary to facilitate the regulator’s requiring that transparency from providers.

Furthermore, service charges are already governed by legislation in the Landlord and Tenant Act 1985, which states that service charges can be charged only to the extent that they are reasonably incurred and that enforcement of that is via the courts. Consequently, it is not appropriate or necessary to add to the Bill a specific standard-setting power relating to service charges.

I move on to the issue of homelessness. Let me be crystal clear: the Government are committed to preventing homelessness, and I commend my hon. Friend the Member for Walsall North on the incredible work he did on that as a Minister. Since the introduction of the Homelessness Reduction Act 2017, more than half a million households have been supported into secure accommodation. We are investing £2 billion over the next three years into addressing homelessness and rough sleeping, and in September we published our bold new strategy “Ending rough sleeping for good”. We have also provided £316 million this year for the homelessness prevention grant, which local authorities can use flexibly to meet their homelessness objectives—including to work with providers to prevent evictions.

I am not in a position to accept the new clause, as I believe the existing legislation is sufficient to achieve the outcome that the hon. Member for Greenwich and Woolwich is seeking. The regulator’s existing tenancy standard already requires social landlords to develop and provide services that will support tenants to maintain their tenancy and prevent unnecessary evictions. The regulator’s standards will be consulted on and updated following the passage of legislation and the issuance of Government directions. Consequently, homelessness prevention is already a priority for providers; the regulator plays a vital role in support.

I move on to the urgent transfer of tenancies in cases of domestic abuse and violence. Again, to be absolutely clear we do not expect anyone who is threatened with violence to feel that they cannot move to safety for fear of losing their security of tenure. A range of measures are therefore already in place to protect people at risk of violence and in need of urgent rehousing, some of which I have already outlined that in earlier contributions.

Chapter 4 of the statutory guidance encourages additional preference to be given to those fleeing violence, including people fleeing domestic violence, and private registered providers have a role in housing such people through their duties to co-operate, as I outlined earlier.

I will not rehash any more of the arguments that I made in response to the hon. Member for Dulwich and West Norwood and her new clause 1. However, I should add that in schedule 5 to the Bill, we are already amending the regulator’s standard-setting powers to include policies and procedures in connection with behaviour that amounts to domestic abuse within the meaning of the Domestic Abuse Act 2021.

For all the reasons I stated, I do not believe that the amendments to the regulator’s standard-setting powers are necessary. I ask the hon. Member for Greenwich and Woolwich to withdraw his new clause.

Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

I thank the Minister for that response. I am somewhat reassured by it, to the extent that she has laid out—in considerable detail, in some cases—the ways in which some of the issues of concern flagged in the new clause are appropriately covered by the standards, guidance, policies and procedures. My reservation is about whether those existing processes have the effect that would be achieved by allowing the regulator itself to set standards and consumer standards.

Given how complex an issue this is, I will take away the Minister’s response and look at it in more detail, but I reserve the right to come back to the issue on Report. We think it is important that some of these real issues of concern to tenants be given due consideration when it comes to whether they are brought within the new regulatory regime to be established by the Bill. I beg to ask leave to withdraw the motion.

Clause, by leave, withdrawn.

Question proposed, That the Chair do report the Bill, as amended, to the House.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I have my Oscars-style speech of thanks to give before we finish today. First, a huge thank you to you, Sir Edward, for chairing the Committee so successfully and professionally, and for keeping us all in check. We are MPs; we always need someone to keep a good gaze over us to ensure that we are behaving.

I thank all members of the Committee for a constructive debate. One of the most reassuring things has been that there is such cross-party consensus in recognising that the Bill is absolutely needed and that we can all very much get behind its aims.

I thank the Clerks for their stellar work and my officials, who have been brilliant at speedily giving me all the information that I need. I thank the fabulous Whip, my hon. Friend the Member for Hertford and Stortford, again for keeping us in check on the Government Benches.

I also say a huge thank you to Grenfell United, Shelter and others for their engagement on this important legislation. As the Minister, I feel grateful to have had the opportunity to take the Bill through Committee. I look forward to its coming back on Report; as I said, I will engage with Members before that point.

In my final breath, I say a massive good luck to both teams tonight. I am sure most people know which one I am supporting.

Matthew Pennycook Portrait Matthew Pennycook
- Hansard - - - Excerpts

Briefly, Sir Edward, I thank you for your chairmanship of the Committee and the Clerks for all their work to prepare us. I thank the Minister for the constructive tone in which she approached the debate, and all hon. Members for the considerable amount of expertise and insight put forward in our debates. I, too, thank all the organisations, not least Grenfell United, that sent us their views and engaged with us on what they see as important in how the Bill could be strengthened.

As I said at the start, the Bill is uncontroversial and we welcome the vast majority of measures. We want to see it strengthened and we have made the case for that today. We will continue to make the case on Report for those areas of the Bill where we want to see further improvement, but I am glad that it can make swift progress to its next stage.

Social Housing (Regulation) Bill [Lords]

(Limited Text - Ministerial Extracts only)

Read Full debate
Report stage
Wednesday 1st March 2023

(1 year, 1 month ago)

Commons Chamber
Social Housing (Regulation) Act 2023 Read Hansard Text Amendment Paper: Consideration of Bill Amendments as at 1 March 2023 - large print - (1 Mar 2023)

This text is a record of ministerial contributions to a debate held as part of the Social Housing (Regulation) Act 2023 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

Rosie Winterton Portrait Madam Deputy Speaker (Dame Rosie Winterton)
- Hansard - - - Excerpts

With this it will be convenient to discuss the following:

Amendment (a) to new clause 1, after “Social housing leases:” insert “prescribing and”.

Amendment (b) to new clause 1, after “comply with all the prescribed requirements” insert

“under regulations made under this section and section 10B”.

Amendment (c) to new clause 1, after “regulations under subsection (3) insert “or section 10B”.

Amendment (d) to new clause 1, after “sections 68 and 72 of that Act).”, insert—

“(8) Any provision of a lease or of any agreement relating to a lease (whether made before or after the grant or creation of the lease) is void to the extent that it purports—

(a) to exclude or limit the obligations of the lessor under the covenant implied by section 10A(2), or

(b) to authorise any forfeiture or impose on the lessee any penalty, disability or obligation in the event of the lessee enforcing or relying upon those obligations.

(9) Where in any proceedings before a court it is alleged that a lessor is in breach of an obligation under the covenant implied by section 10A(2), the court may order specific performance of the obligation (regardless of any equitable rule restricting the scope of that remedy).

(10) 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.”

Amendment (e) to new clause 1, leave out line 50.

Amendment (f) to new clause 1, leave out lines 79 to 81.

These amendments seek to strengthen Gov NC1 by clarifying the relevant prescribed requirements at 10A(2), making clear the extent of their application, inserting non-avoidance and non-penalisation provisions and detailing where courts may order specific performance of certain obligations.

Government new clause 2—Power of housing ombudsman to issue guidance to scheme members.

Government new clause 3—Action after inspection.

Government new clause 4—Secretary of State’s duty to give direction about providing information to tenants.

New clause 5—Persons engaged in the management of social housing to have relevant professional qualifications

‘After section 217 of the Housing and Regeneration Act 2008 (accreditation), insert—

“217A Professional qualifications and other requirements

(1) The Secretary of State may, by regulations, provide that a person may not engage in the management of social housing or in specified work in relation to the provision of social housing unless he or she—

(a) as appropriate professional qualifications, or

(b) satisfies specified requirements.

(2) Regulations specifying work for the purpose of subsection (1) may make provision by reference to—

(a) one or more specified activities, or

(b) the circumstances in which activities are carried out.

(3) Regulations made under this section may, in particular, require—

(a) the possession of a specified qualification or experience of a specified kind,

(b) participation in or completion of a specified programme or course of training, or

(c) compliance with a specified condition.

(4) Regulations may make provision for any of the following matters—

(a) the establishment and continuance of a regulatory body;

(b) the keeping of a register of qualified social housing practitioners;

(c) requirements relating to education and training before and after qualification;

(d) standards of conduct and performance;

(e) discipline and fitness to practise;

(f) removal or suspension from registration or the imposition of conditions on registration;

(g) investigation and enforcement by or on behalf of the regulatory body, and appeals against the decisions or actions of the regulatory body.”’

This new clause would require managers of social housing to have appropriate qualifications and expertise.

New clause 6—Application of Freedom of Information Act 2000 to registered providers

‘Within six months of this Act receiving Royal Assent, the Secretary of State must by order designate registered providers of social housing as public authorities for the purposes of the Freedom of Information Act 2000.’

This new clause would bring registered providers of social housing within the scope of the Freedom of Information Act 2000.

New clause 7—Regulator duty to ensure continuity of secure and assured tenancy in cases of threat to safety

‘(1) The Housing and Regeneration Act 2008 is amended as follows.

(2) After section 92K insert—

“92KA A Duty to ensure continuity of secure and assured tenancy in cases of threat to safety

(1) Duty to ensure continuity of secure and assured tenancy in cases of threat to safety

(a) a registered provider of social housing has granted a secure tenancy or assured tenancy of a dwelling-house in England to a person (whether as the sole tenant or a joint tenant), and

(b) the registered provider is satisfied that there is a threat to the personal safety of that person or of a member of that person’s household which means there is a risk to their personal safety unless they move.

(2) When subsection (1) applies, the regulator must ensure that the registered provider grants the tenant a new secure tenancy which is—

(a) on terms at least equivalent to the existing tenancy; and

(b) a threat of targeted youth or gang violence.

(3) In this section, a “threat to personal safety” means any threat of violence, including in circumstances of—

(a) domestic abuse where the perpetrator does not live at the same address as the victim;

(b) an escalating neighbour dispute;

(c) a threat of targeted youth or gang violence.

(4) In assessing the threat under subsection (1)(b), the registered provider must act in accordance with any relevant police advice provided to—

(a) the registered provider,

(b) the tenant, or

(c) any member of the tenant’s household.

(5) In the event that a registered provider is unable to ensure the provision of an appropriate new secure tenancy pursuant to subsection (2), the regulator must ensure that the registered provider concerned co-operates with other registered providers to ensure an appropriate new secure tenancy is provided in a timely manner.”’

This new clause would require the regulator to ensure that tenants whose safety is threatened are granted alternative accommodation by their housing provider on equivalent terms to their existing tenancy. It also requires the regulator to ensure that a provider which is unable to provide appropriate alternative accommodation co-operates with other providers to do so.

New clause 8—Regulator duties relating to supported exempt and temporary accommodation

‘(1) The Housing and Regeneration Act 2008 is amended as follows.

(2) In section 192 (Overview), in paragraph (a), after “social housing” insert “, supported exempt accommodation and temporary accommodation”.

(3) In section 193 (Standards relating to consumer matters), in paragraph (a), after “social housing” insert “, supported exempt accommodation and temporary accommodation”.

(4) After section 195 (Code of practice) insert—

“195A Regulation of codes of guidance issued by the Secretary of State

The regulator shall have a duty to inspect local housing authorities as to their compliance with any code of guidance issued by the Secretary of State under section 182 of the Housing Act 1996”’.

This new clause would enable the regulator to set standards for the provision of supported and temporary accommodation, make the regulator responsible for enforcing any Code of Guidance issued by the Secretary of State relating to local authorities’ duty to provide temporary accommodation, and give the regulator the ability to inspect local authorities for compliance.

New clause 9—Review of impact of this Act

‘(1) The Secretary of State must, within one year of the passing of this Act, carry out a review of the impact of this Act.

(2) A review under this section must make an assessment as to whether the Act has improved the safety and quality of social housing both in its own terms, and in comparison to the safety and quality of housing in the private rented sector.’

This new clause would require the Government to undertake a review of the impact of this Act.

Amendment 41, in clause 1, page 1, line 10, at end insert—

“(d) after paragraph (d) insert—

‘(da) to safeguard and promote the interests of persons who are or who may become homeless in relation to the provision of social housing.”’

This amendment would add to the regulator’s remit an additional objective of safeguarding and promoting the interests of persons who are or who may become homeless in the context of the provision of social housing.

Amendment 42, page 1, line 10, at end insert—

“(2) In section 92K of the Housing and Regeneration Act 2008 (fundamental objectives), after subsection (3) insert—

‘(3A) In undertaking its objective under subsection (2)(b) the regulator must report to the Secretary of State at least every three years on whether the provision of social housing in England and Wales is sufficient to meet reasonable demands, and must make recommendations to the Secretary of State on how to ensure that the provision of social housing is so sufficient.

(3B) The Secretary of State must lay before Parliament a copy of any reports prepared by virtue of subsection (3A).

(3C) In undertaking its objective under subsection (3)(a) the regulator must report to the Secretary of State on the progress of the removal of unsafe cladding and the remediation of other fire safety defects in social housing, and may make recommendations to the Secretary of State on further action required.”’

This amendment would include in the regulator’s objective a requirement to report to the Government on the removal of cladding. It would also require the regulator to report to the Government on the adequacy of the stock of social housing, and lay a copy of any such report before Parliament.

Amendment 37, in clause 2, page 1, line 18, at end insert—

“(2A) The Panel may provide information and advice to the Secretary of State about, or on matters connected with, the regulator’s functions and wider issues affecting the regulation of social housing (whether or not it is requested to do so by either the regulator or the Secretary of State).”

This amendment would enable the Panel to provide information and advice and to proactively raise issues affecting social housing regulation more generally directly to the Secretary of State.

Amendment 38, page 1, line 19, leave out “subsection (2)” and insert “subsections (2) and (2A)”.

This amendment is consequential on Amendment 37.

Amendment 36, page 2, line 17, at end insert—

“(8) The Panel must be chaired by a tenant of social housing.

(9) The Chair is responsible for setting Panel meeting agendas.

(10) The majority of persons appointed to the Panel must be tenants of social housing.”

This amendment would ensure that tenant representation on the advisory panel is mandatory and that tenants are able to influence effectively what information and advice is presented to the regulator in respect of issues affecting social housing regulation.

Government amendments 4 to 10.

Amendment 39, page 17, line 16, leave out clause 21.

Government amendments 44 to 47, 11 and 12.

Amendment 40, in clause 28, page 23, leave out lines 23 to 26 and insert—

“(a) the inspection of every registered provider within four years of the commencement of this Act,

(b) the inspection of every registered provider at intervals of no longer than four years thereafter, and”.

This amendment would ensure that the regulator is required to carry out regular inspections of every registered provider.

Amendment 43, in clause 30, page 28, line 39, leave out “24” and insert “48”.

This amendment is intended to probe why an authorised person must only give 24 hours’ notice to tenants under this section, whereas providers are given 48 hours’ notice.

Government amendments 13, 2, 15 to 34, 14, 35, 1 and 3.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I am proud to be here today opening the Report stage of the Social Housing (Regulation) Bill. The Bill has been long awaited, but I hope we can all agree that the time we have taken to engage with tenants and stakeholders has helped us to ensure that the Bill is as robust as possible. I am grateful that Grenfell United, Shelter and others are able to join us today as the Bill reaches its Report stage. I must pay tribute to them for their steadfast campaigning on this crucial legislation. I am also grateful to Members from across the House for the incredibly constructive way in which they have approached this legislation. Thanks to the strength and breadth of engagement, we have tabled a number of amendments and new clauses to reinforce the Bill even further, and I will begin with new clause 1, on Awaab’s law.

Chris Clarkson Portrait Chris Clarkson (Heywood and Middleton) (Con)
- Hansard - - - Excerpts

As one of Rochdale borough’s two MPs, I thank the Minister’s Department for the speedy and sensitive way it has dealt with this, and I am sure that that would be echoed by the hon. Member for Rochdale (Tony Lloyd), who sadly cannot be here for this debate. Can I ask my hon. Friend to give an assurance that once this legislation is passed, social housing tenants can have confidence that the homes they are provided with are fit for habitation in a way that simply has not been the case up to now?

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I am grateful to my hon. Friend not just for his contribution today but for the way in which he engaged with us following this incredibly tragic case. This legislation is designed specifically to ensure that terrible cases like that faced not only by Awaab but by the Grenfell United community do not happen again, and that tenants have the protection and the respect they deserve from social housing providers.

I know I am not alone in saying that I was deeply shocked by the tragic death of Awaab Ishak. The death of a child is always heartbreaking, and its having been entirely preventable makes it even more devastating. My thoughts remain with Awaab’s family in the difficult time that they have been going through. This terrible case has thrown into sharp relief the need for this Government to continue steadfastly in their mission to drive up the quality of this country’s social housing and, crucially, to rebalance the relationship between tenants and landlords. Within the Government we are well aware that, unfortunately, damp and mould are not the only hazards that can pose a threat to social residents’ health. For example, excessive cold and falls caused by disrepair in homes are among the top five hazards found in homes in England.

That is why the Secretary of State has tabled the Government new clause for Awaab’s law, which not only addresses the concerns underpinning the Awaab’s law proposals but goes further by enabling the Government to introduce new requirements on landlords to act on a broader range of hazards. We will take a power for the Secretary of State to set out in secondary legislation requirements for landlords to rectify hazards or rehouse residents within a certain time. Our new clause will empower tenants to challenge their landlords for inaction. It inserts an implied covenant into tenancy agreements that landlords will comply with the requirements prescribed in regulations. This will empower landlords to deal with hazards such as damp and mould in a timely fashion, knowing that if they fail to do so they can face a legal challenge from residents.

It is crucial that any new measures to address the issues of damp, mould and other hazards putting residents’ health at risk are proportionate and evidence-based and deliver the right outcomes for social residents in the long term. That is why we intend to consult on these new requirements, including time limits, within six months of Royal Assent and to lay the secondary legislation as soon as possible thereafter.

We are also tabling new clause 4 and Government amendments 1 and 11 to 14, which will ensure that the Regulator of Social Housing sets standards for landlords and provides tenants with information about how to make complaints and about their rights as tenants. To demonstrate our commitment to this, we have included a duty for the Secretary of State to issue a direction to this effect within six months of the Bill receiving Royal Assent.

I turn now to the important matter of professional standards in the sector. Grenfell United has long campaigned for mandatory qualifications to be introduced in the sector to ensure that professional standards are consistently high across the sector and to bring social housing into line with other frontline services such as social work, teaching and health and social care. At the earlier stages of the Bill I made it clear that we had to proceed cautiously on mandatory qualifications, as there was an identified risk that requirements could lead to housing associations being reclassified by the Office for National Statistics to the public sector, which in turn would hamper their ability to invest in improving the quality of existing homes and in building new stock.

However, I have made it clear in this process that we are here to listen and take on board comments from stakeholders and Members from across the House. We took heed of the arguments made by Grenfell United and Shelter and by those who spoke so passionately in both Houses on this matter. The tragic death of Awaab Ishak also underlined how vital it is that we use every lever at our disposal to deliver the consistently high level of professional standards that tenants deserve. Since the Commons Committee stage, we have worked incredibly hard to find a solution. I am grateful to Grenfell United and Shelter for their ongoing work with us on this issue and to my right hon. Friend the Member for Maidenhead (Mrs May) and my noble Friend Baroness Sanderson. I am proud to stand here today having tabled Government amendments 44 to 47 to deliver qualification requirements to improve the experience of social housing tenants.

We agree with the Government that the regulator should retain a high degree of operational independence and flexibility in formulating and implementing the inspections plan now required by clause 28, but we believe the Government are making a mistake in refusing to mandate the two basic requirements that we have proposed: namely, an inspection for all landlords irrespective of size at least once every four years.

--- Later in debate ---
Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I am grateful to my hon. Friend not only for his intervention but for the constructiveness and diligence with which he conducted himself in Committee, which we can all agree was done with the best of intentions to get the best for social housing tenants. He is right that we need to make sure the process is done correctly, which is why we will be working with the sector and key stakeholders to get this absolutely right, while committing to ensuring that professional qualifications are required for the executives and managers of social housing providers to make sure that tenants get the experience they deserve.

The qualification requirements will be delivered through the competence and conduct standards, for which we have already made provision in the Bill. The new provision will require housing managers and senior housing executives to have, or to be working towards, a housing management qualification at levels 4 and 5 respectively. Qualifications must be independently regulated by Ofqual or, in the case of senior housing executives, can be a foundation degree. Relevant staff who are not already qualified will have to enrol on and complete the appropriate qualification within a specified timescale, which will be set following consultation.

We are setting qualification requirements for housing managers and executives because they are responsible for, and are best placed to drive, the delivery of high-quality professional services through their management of frontline housing officers, repairs and maintenance staff and customer service staff; through the day-to-day decisions they make about the delivery of services to tenants; and, crucially, through their ability to drive culture and change across their organisations. It was imperative that we found a way to introduce requirements that will not increase the risk of reclassification. By tightly defining the roles in scope and the qualifications that will be required, and by enabling staff to gain qualifications in post, we have been able to achieve that.

Importantly, the new requirement for managers and senior executives will work in tandem with the competence and conduct standards, which already require that the standards will have a broad application, requiring landlords to take appropriate steps to ensure all their staff involved in the provision of housing management services, including housing officers and repairs and maintenance staff, have the skills, knowledge, experience and behaviours needed to deliver professional, high-quality services to tenants.

The combination of competence and conduct standards for all staff and qualification requirements for all housing managers and senior executives will drive change throughout organisations. Together, they will deliver the transformation of the sector’s culture, staff professionalism and service standards that we all want to see.

New clause 3 adds requirements relating to the production and publication of an inspector’s report following the completion of an inspection. Currently, following the completion of an inspection carried out under section 201 of the Housing and Regeneration Act 2008, the inspector is required to produce a report and the regulator is required to share that report with the registered provider. The new clause provides that, instead, the inspector must produce a summary of findings, as well as a report, on any matters specified by the regulator. The regulator will then be required to share the summary and any report with the provider, and it may also publish all or part of these documents.

Crucially, new clause 3 gives the regulator the flexibility to decide, on a case-by-case basis, whether a full inspector’s report is necessary or whether a shorter summary of the inspector’s findings is sufficient. The changes also allow the regulator to specify matters for the inspector to report on, allowing it to use its expertise and understanding of a provider’s risks to determine the nature of inspections that should be carried out. The regulator continues to develop its approach to inspections and will work closely with the sector in this process.

New clause 2 and Government amendments 2 and 3 will give the ombudsman explicit statutory power to issue and publish guidance on good practice, alongside the power to order landlords to complete a self-assessment if the ombudsman has received a relevant complaint about the landlord. We believe these amendments are necessary in the light of the recent tragic case of Awaab Ishak. The housing ombudsman can play an important role in raising awareness of the key issues it sees within the complaints it receives, such as on damp and mould. This power will enable the ombudsman, following a complaint, to challenge social landlords to consider and improve their service to residents by ordering them to complete a self-assessment against the good practice guidance. This provides greater weight to the good practice guidance and should prevent further issues from arising. It will also mean that a great number of issues should be resolved at an earlier stage.

Government amendments 4 to 10 and 15 to 34 concern housing moratorium procedures, as set out in the 2008 Act, and restrictions on insolvency procedures imposed by the Housing and Planning Act 2016. The powers of the Regulator of Social Housing in the event of a provider experiencing financial difficulty offer important protections for the social housing sector and protect social housing tenants by helping to ensure they can remain in their home. The housing moratorium provides time for the regulator to work with a provider and secured creditors to produce the best outcome in such a scenario.

It is essential that the legislation works as effectively as possible, and that we use this opportunity to make some technical changes that will help to ensure this. Amendment 4 will ensure there is no gap between the occurrence of an insolvency-related event and the beginning of a moratorium so that a provider cannot dispose of land. Amendments 6 and 8 make it clear that the regulator can both extend the moratorium and impose a further moratorium where it has made inquiries but has been unable to locate any secured creditors of the registered provider.

Amendment 9 relates to the process by which proposals about the future management of a registered provider made during a moratorium are put in place. It clarifies how the process works in a scenario where the regulator is unable to locate any secured creditors to agree the proposals. Not every registered provider will have secured creditors and, as such, the amendments will ensure that legislation continues to work effectively and that processes are clear in those cases.

Amendments 15 to 34 concern the giving of notices. They contain provisions on the signature and content of notices, and they provide powers for the regulator to deal with notices that have not been validly signed. Amendment 35 is a technical amendment relating to data protection, and it introduces a provision that clarifies the relationship between data protection legislation and part 2 of the 2008 Act.

I hope hon. Members see the importance of all the Government amendments before the House today and will support them, because I firmly believe they will make the Bill even stronger to deliver the high standards that we are all looking for in social housing and that we know all tenants deserve.

--- Later in debate ---
Mike Amesbury Portrait Mike Amesbury
- Hansard - - - Excerpts

As always, I have the utmost respect for the Chair of the Select Committee, and I look forward to the Minister’s reply on that powerful and informed point.

We are in a social housing crisis. Tenants deserve so much better—the very best public housing that this country could provide. That is where we should be going, whether the Government of today or a Labour Government in the not-too-distant future. Tenants deserve so much better. We should not hold back when it comes to the safety, health and wellbeing of tenants and residents. We must make the most of the Bill and act collectively with key stakeholders so that we do not have a repetition of the disasters of the not-too-distant past, such as the 72 people who lost their lives in the Grenfell tragedy and the most recent tragic death of Awaab, which has been referred to across this Chamber—my heart goes out to his family.

Everyone should feel safe in their home. It should be a place of sanctuary, not anxiety and worry. Let us not waste this opportunity as the Bill goes through its passage in the House. Let us be bold. Let us work together in this place.

Dehenna Davison Portrait Dehenna Davison
- Parliament Live - Hansard - - - Excerpts

With the leave of the House, I will try to address the concerns raised by Members across the House. First, I thank hon. Members with all sincerity for their thoughtful and considered debate, not just today but throughout the passage of the Bill. We have dealt with things in a constructive manner, ultimately to try to strengthen the Bill to its fullest extent and provide the maximum protection for social housing residents.

I will seek to answer as many questions as I can, starting with Awaab’s law. I am grateful to the hon. Member for Salford and Eccles (Rebecca Long Bailey), my hon. Friend the Member for Heywood and Middleton (Chris Clarkson), and the hon. Member for Rochdale (Tony Lloyd), who is not here today, for their constructive engagement following the devastating case of Awaab, which touched them and many of us in this House incredibly personally.

I thank the hon. Member for Greenwich and Woolwich (Matthew Pennycook) for amendments (a) to (f) to Government new clause 1 relating to Awaab’s law. However, we are clear that our current proposals already sufficiently achieve what the hon. Member is seeking to do. Prescribed requirements are already defined in new clause 1 and therefore do not need to be defined in the alternative way proposed. Moreover, new clause 1 already gives us the power to make provision ensuring that social housing providers’ duty to meet requirements cannot be overridden or circumvented by the terms of the lease. We also think it important to be able to make provision enabling the landlord to inspect the property to ascertain whether there are any hazards present, provided reasonable notice is given if it is to be under an obligation to rectify prescribed hazards.

As I have made clear, we will consult on Awaab’s law within six months of the Bill achieving Royal Assent. The consultation will inform the detail of the regulations that the Secretary of State will set for Awaab’s law, including timescales and details on the prescribed hazards themselves. I hope that will reassure the hon. Member for Salford and Eccles, who raised concerns on that point. I reiterate the importance of setting requirements that deliver the best outcomes for residents, while being achievable, proportionate and evidence-based. I assure the House that with new clause 1, landlords will have no choice but to comply with new regulations and to take action to ensure homes are free of hazards that pose health risks to their residents. I therefore hope the hon. Member for Greenwich and Woolwich will withdraw his amendment.

On professionalisation, on which many Members expressed their concerns and passion, I am incredibly grateful for the broad support across the House for our amendment. I believe our approach is the right way to drive up professional standards in the sector, but we will of course carry out further engagement with the sector, including landlords, tenants and professional bodies, as we develop our approach to implementation. I hope that will reassure my hon. Friend the Member for Harrow East (Bob Blackman), who is no longer in his place but who raised that point earlier.

New clause 6, tabled by the hon. Member for Greenwich and Woolwich, seeks to extend the Freedom of Information Act 2000 to registered providers of social housing. I am grateful to him, and to the hon. Members for Hammersmith (Andy Slaughter) and for Salford and Eccles for raising their concerns. I think we can all agree that increasing transparency in the sector is hugely important, but I do not believe that new clause 6 is necessary or advisable at this stage. Development of the access to information scheme, one of the Government’s commitments in the social housing White Paper, is already well under way. Through the scheme, private registered providers will have similar obligations as they would under the Freedom of Information Act. The tenants of providers, and their representatives, will be able to request information from their landlords in much the same way. I am also concerned—I am sorry to raise this point on another issue—that extending FOI to registered providers would increase the level of Government control exercised over the sector and may lead to the Office for National Statistics reclassifying housing associations. That is something we are incredibly concerned about.

On new clause 7, relating to Georgia’s law, I want to put on the record my thanks to the hon. Member for Dulwich and West Norwood (Helen Hayes) for campaigning on this matter and for raising the really sad case of Georgia and her family. I am grateful to her for engaging with me in a really constructive fashion as we sought to find a middle road that the Government could accept in line with the new clause she is proposing. Unfortunately, we are unable to support it today, and I will explain why that is the case. I note the hon. Lady’s additions to bring assured tenancies within the scope of her new clause, but I reiterate my concern, raised in Committee, about the new clause itself—if not its intent, which I think we can all agree is incredibly admirable. I remain concerned that binding housing providers with policies that remove flexibility to choose who they give tenancies to is not the right course of action. Those decisions are devolved for good reason.

Helen Hayes Portrait Helen Hayes
- Hansard - - - Excerpts

Does the Minister accept the facts of the situation, which are as follows: the tenants who would benefit from this provision remain social housing tenants for the first six months that they are in temporary accommodation? We really are not talking about a shifting of priority among people who are on the housing waiting list; we are talking about rehousing existing tenants. The home that they vacate would then become available much more quickly precisely for those people who are genuinely on the housing waiting list.

Dehenna Davison Portrait Dehenna Davison
- Parliament Live - Hansard - - - Excerpts

The hon. Lady raises a really strong point. As I outlined, our concern is about removing flexibility from social housing providers. Every social housing provider and every area faces very different challenges. We want to ensure that they have the maximum flexibility to deal with those challenges. That is why, unfortunately, we cannot support new clause 7, but I thank her again for campaigning on this issue.

New clause 8 was tabled by the hon. Member for Mitcham and Morden (Siobhain McDonagh), and I am grateful to her for meeting me to discuss her proposal further following Committee. I know how passionate she is about this issue, and her expertise has certainly brought a great deal to my knowledge and understanding of some of the problems faced by residents of temporary accommodation. She is right to say that we must drive up standards for all tenants, but what concerns me, as it did in Committee, is that this measure would be outside the scope of the Bill. We will certainly explore it with her to make sure that we drive up standards in temporary accommodation as well, but this Bill deals specifically with social housing, and we want to keep it tight to ensure that it achieves its desired aims.

Amendments 36, 37 and 38 deal with the advisory panel that will advise the regulator on a wide range of matters relating to social housing. As I said in Committee, I do want to see tenants at the heart of the changes we are delivering through the Bill—I am firmly committed to that—but I do not necessarily think the amendments are the best way to achieve that. The purpose of the advisory panel is to provide independent and unbiased advice to the regulator. I believe the separate resident panel that we have established is better placed to share views directly with the Government and Ministers. Its members have been asked to tell us what they think about our approach to improving the quality of social housing, and whether our interventions will deliver the changes that they want to see. We think that our approach is the right one.

A number of Members spoke about inspections, including the hon. Member for Weaver Vale (Mike Amesbury) and the shadow Minister, the hon. Member for Greenwich and Woolwich. The introduction of regular consumer inspections will be a key part of the proactive consumer regulation regime. It will strengthen the regulator’s oversight of the sector, ensuring that he or she can identify issues early and take effective action when necessary. The system that we propose will be based on a robust risk profile, ensuring that when landlords are at the greatest risk of failure, or when such failure would have the greatest impact on tenants, they are subject to greater oversight. As the shadow Minister knows, we have already amended the Bill to require the regulator to publish, and take reasonable steps to implement, a plan for regular inspections. When developing the plan, the regulator will engage closely with the sector, including tenants, and it is right that we do not pre-empt that process.

Let me turn briefly to amendment 41, tabled by the hon. Member for North Shropshire (Helen Morgan). The Government are absolutely committed to preventing homelessness. Significant work has already been done to address this important issue, including the publication of the Government’s bold new strategy “Ending rough sleeping for good”. We are investing £2 billion in measures to deal with homelessness and rough sleeping over the next three years, and our work in this area is already making an impact. Since the introduction of the Homelessness Reduction Act 2017, more than half a million households have been helped to move into secure accommodation. I cannot accept the amendment, as I believe that the existing legislation can achieve the outcome that the hon. Lady is seeking.

Clive Betts Portrait Mr Betts
- Hansard - - - Excerpts

In an earlier intervention I mentioned the Select Committee’s report and the fact that we are still waiting for a Government response, several months later. One of the issues that arose was the need to address problems such as damp and mould in properties. Some housing associations and councils will need to regenerate whole estates substantially and probably rebuild them, but in doing so they will be hit by Homes England’s “no net additionality” rule. Homes England cannot fund any scheme that replaces poor homes with good ones if more homes are not provided. Will the Minister agree to look into that? It can be an obstacle to many important ways of addressing these problems.

Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I am grateful to the hon. Gentleman for raising this issue, and for bringing his intense expertise to the debate. I will certainly do that, and I will chase up the response to the Select Committee’s report as well.

My hon. Friend the Member for Ruislip, Northwood and Pinner (David Simmonds) also brought considerable expertise to the debate, and I thank him for his support for the Bill. He asked about unscrupulous providers seeking loopholes. I hope I can reassure him by saying that we have deliberately designed the Bill to tighten the existing economic regulatory regime in order to prevent new types of provider from taking advantage of possible loopholes in the system and to ensure that we are future-proofing it against such issues.

I would like to thank hon. Members across the House who have spoken here today and particularly those who have been involved in the earlier stages of the Bill. Cross-party, this shows that we are all committed to driving up standards in social housing and to empowering tenants to ensure that we never again see an incident like the tragedies of Grenfell and Awaab Ishak. Together we have strengthened the Bill substantially, and with our amendments today will do so even further.

Question put and agreed to.

New clause 1 accordingly read a Second time, and added to the Bill.

New Clause 2

Power of housing ombudsman to issue guidance to scheme members

“(1) The Housing Act 1996 is amended as follows.

(2) In the italic heading before section 51, for ‘complaints’ substitute ‘ombudsman’.

(3) After section 51 insert—

‘51ZA Power of housing ombudsman to issue guidance to scheme members

(1) This section applies where a scheme is approved by the Secretary of State under Schedule 2.

(2) The housing ombudsman may issue to the members of the scheme guidance as to good practice in the carrying on of housing activities covered by the scheme.

(3) Before issuing, revising or replacing guidance under this section, the housing ombudsman must consult—

(a) the Regulator of Social Housing,

(b) members of the scheme, and

(c) individuals who may make complaints under the scheme.

(4) If the housing ombudsman issues, revises or replaces guidance under this section, the housing ombudsman must publish the guidance, the revised guidance or (as the case may be) the replacement guidance.

(5) Subsection (7) applies if—

(a) an individual makes a complaint against a member of the scheme,

(b) the complaint is made under the scheme or the conditions in subsection (6) are met in relation to the complaint, and

(c) it appears to the housing ombudsman that the complaint relates to a matter to which guidance issued by the ombudsman under this section relates.

(6) The conditions referred to in subsection (5)(b) are that—

(a) the complaint is made to the member of the scheme,

(b) the complaint is one that the individual could subsequently make under the scheme, and

(c) the individual has notified the ombudsman about the complaint.

(7) The housing ombudsman may order the member of the scheme to—

(a) assess whether the member’s policies and practices in relation to the matter mentioned in subsection (5)(c) are consistent with the guidance issued by the ombudsman under this section in relation to that matter, and

(b) within a period specified in the order, submit to the ombudsman a written statement of the results of the assessment.

(8) If a member of the scheme fails to comply with an order under subsection (7) within the period specified in the order, the housing ombudsman may order the member to publish in such manner as the ombudsman sees fit a statement that the member has failed to comply with the order.

(9) If a member of the scheme fails to comply with an order under subsection (8), the housing ombudsman may—

(a) take such steps as the ombudsman considers appropriate to publish what the member ought to have published, and

(b) recover from the member the costs of doing so.

(10) In this section, “the housing ombudsman” means the housing ombudsman appointed in accordance with the scheme.’”—(Dehenna Davison.)

This new clause confers a power on a housing ombudsman to issue to scheme members guidance as to good practice in the carrying on of housing activities. The new clause also provides that in certain circumstances where a complaint is made against a scheme member the housing ombudsman may order the scheme member to assess whether its policies and practices in relation to a matter to which the complaint relates are consistent with the guidance.

Brought up, read the First and Second time, and added to the Bill.

New Clause 3

Action after inspection

“(1) The Housing and Regeneration Act 2008 is amended as follows.

(2) In section 202 (inspections: supplemental), omit subsections (1) to (3).

(3) In section 203(12) (definition of ‘inspector’), after ‘this section’ insert ‘and section 203A’.

(4) After section 203 insert—

‘203A Action after inspection

(1) After an inspection of a registered provider is carried out by an inspector under section 201, the inspector must produce—

(a) a written summary of the inspector’s findings, and

(b) a written report about any matters specified by the regulator.

(2) The summary and any report must be in the form specified by the regulator.

(3) The regulator may specify matters, or the form of a summary or report, for the purposes of inspections generally or for the purposes of a particular inspection or description of inspection.

(4) The regulator must give the registered provider a copy of the summary of the inspector’s findings.

(5) The regulator must also give the registered provider—

(a) a copy of the inspector’s report, or

(b) a notice confirming that no matters were specified for the purposes of subsection (1)(b).

(6) The regulator may publish—

(a) all or part of the summary of the inspector’s findings,

(b) (where relevant) all or part of the inspector’s report, and

(c) related information.’”—(Dehenna Davison.)

This new clause replaces and changes provision about what the inspector and the regulator must do after an inspection. It enables the regulator to determine whether the inspector must produce a report (rather than just a summary of findings) and, if so, what matters the report must cover.

Brought up, read the First and Second time, and added to the Bill.

New Clause 4

Secretary of State’s duty to give direction about providing information to tenants

“(1) The Secretary of State must give a direction to the Regulator of Social Housing under section 197(2A) of the Housing and Regeneration Act 2008 about setting a standard under section 194B of that Act (standards relating to information and transparency) for the purpose of securing that registered providers of social housing are required to provide their tenants of low cost rental accommodation with information about—

(a) their tenants’ rights in connection with the low cost rental accommodation and with facilities or services provided in connection with that accommodation, and

(b) how their tenants can make a complaint against them.

(2) The Secretary of State must give the direction before the end of the period of six months beginning with the day on which this Act is passed.

(3) In this section—

‘low cost rental accommodation’ means accommodation which—

(a) is low cost rental accommodation (as defined in section 69 of the Housing and Regeneration Act 2008) provided by a registered provider of social housing, and

(b) is not low cost home ownership accommodation (as defined in section 70 of that Act);

‘tenant’, in relation to low cost rental accommodation, includes other occupiers.”—(Dehenna Davison.)

This new clause requires the Secretary of State, within 6 months of Royal Assent, to give a direction to the regulator for the purpose of securing that registered providers of social housing are required to provide their tenants of low cost rental accommodation with information about the tenants’ rights and about making complaints against their landlord.

Brought up, read the First and Second time, and added to the Bill.

New Clause 7

Regulator duty to ensure continuity of secure and assured tenancy in cases of threat to safety

‘(1) The Housing and Regeneration Act 2008 is amended as follows.

(2) After section 92K insert—

“92KA A Duty to ensure continuity of secure and assured tenancy in cases of threat to safety

(1) Duty to ensure continuity of secure and assured tenancy in cases of threat to safety

(a) a registered provider of social housing has granted a secure tenancy or assured tenancy of a dwelling-house in England to a person (whether as the sole tenant or a joint tenant), and

(b) the registered provider is satisfied that there is a threat to the personal safety of that person or of a member of that person’s household which means there is a risk to their personal safety unless they move.

(2) When subsection (1) applies, the regulator must ensure that the registered provider grants the tenant a new secure tenancy which is—

(a) on terms at least equivalent to the existing tenancy; and

(b) a threat of targeted youth or gang violence.

(3) In this section, a “threat to personal safety” means any threat of violence, including in circumstances of—

(a) domestic abuse where the perpetrator does not live at the same address as the victim;

(b) an escalating neighbour dispute;

(c) a threat of targeted youth or gang violence.

(4) In assessing the threat under subsection (1)(b), the registered provider must act in accordance with any relevant police advice provided to—

(a) the registered provider,

(b) the tenant, or

(c) any member of the tenant’s household.

(5) In the event that a registered provider is unable to ensure the provision of an appropriate new secure tenancy pursuant to subsection (2), the regulator must ensure that the registered provider concerned co-operates with other registered providers to ensure an appropriate new secure tenancy is provided in a timely manner.”’—(Helen Hayes.)

This new clause would require the regulator to ensure that tenants whose safety is threatened are granted alternative accommodation by their housing provider on equivalent terms to their existing tenancy. It also requires the regulator to ensure that a provider which is unable to provide appropriate alternative accommodation co-operates with other providers to do so.

Brought up, and read the First time.

Question put, That the clause be read a Second time.

--- Later in debate ---
16:32

Division 180

Ayes: 179


Labour: 161
Liberal Democrat: 11
Independent: 4
Alliance: 1
Social Democratic & Labour Party: 1
Green Party: 1
Democratic Unionist Party: 1

Noes: 273


Conservative: 270
Independent: 4

Clause 1
--- Later in debate ---
16:46

Division 181

Ayes: 180


Labour: 160
Liberal Democrat: 11
Independent: 4
Social Democratic & Labour Party: 1
Alliance: 1
Green Party: 1
Democratic Unionist Party: 1

Noes: 273


Conservative: 269
Independent: 4

--- Later in debate ---
16:57

Division 182

Ayes: 180


Labour: 160
Liberal Democrat: 12
Independent: 4
Social Democratic & Labour Party: 2
Alliance: 1
Green Party: 1
Democratic Unionist Party: 1

Noes: 276


Conservative: 272
Independent: 4

Clause 42
--- Later in debate ---
Dehenna Davison Portrait Dehenna Davison
- Hansard - - - Excerpts

I beg to move, That the Bill be now read the Third time.

I thank the Department’s Bill team, its policy and legal officials, and my amazing private office team, who have worked hard to deliver this legislation through both Houses. I also thank the House authorities, parliamentary staff, Clerks, Doorkeepers and hon. Members on both sides of the House who have participated in the debate today and at previous stages.

In particular, I sincerely thank the hon. Member for Greenwich and Woolwich (Matthew Pennycook) for his time and his thoughtful contributions. Although we have disagreed about one or two aspects on the path to Third Reading, I hope that he will agree that the Bill delivers welcome change for millions of residents across the country by strengthening the powers of the regulator and empowering social housing tenants to hold their landlord to account.

The Bill is integral to this Government’s ongoing commitment to learning lessons from the Grenfell Tower fire and ensuring that such an appalling tragedy never happens again. I remain incredibly grateful for all the contributions from the community throughout, as well as their ongoing engagement with the Department. Specifically, I know that Grenfell United has long campaigned for mandatory qualifications to be introduced to the sector, bringing it in line with other sectors that provide frontline services. We have been listening, including to those in both Houses who spoke so passionately on the matter, and have been working hard to find a solution. I am very proud to stand before the House today having amended the Bill to deliver that critical change in the sector in order to benefit the experience of tenants.

At this point, it would be remiss of me to not acknowledge the coroner’s report that shone a light on the heartbreaking case of two-year-old Awaab Ishak in Rochdale. Words alone cannot help his family to hear from such an unimaginable and inexcusably preventable loss, but I hope they can find some degree of comfort in the amendment to the Bill made in his name, which will make clear to landlords that hazards such as damp and mould have absolutely no place in their tenants’ homes. We must do more to ensure that people are safe in their own home, and that starts with landlords providing high-quality accommodation and a high-quality service to all of their tenants. I sincerely hope that the residents and families of Grenfell, including Grenfell United, as well as the Ishak family can look on this Bill as part of their own legacy of delivering real change in the social housing sector for the people living in that sector, because they really need it.

I commend the Bill to the House.

Social Housing (Regulation) Bill [HL]

(Limited Text - Ministerial Extracts only)

Read Full debate
Consideration of Commons amendments
Tuesday 27th June 2023

(9 months, 3 weeks ago)

Lords Chamber
Social Housing (Regulation) Act 2023 Read Hansard Text Amendment Paper: HL Bill 109-I Marshalled list for Consideration of Commons Amendments - (26 Jun 2023)

This text is a record of ministerial contributions to a debate held as part of the Social Housing (Regulation) Act 2023 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

Moved by
Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook
- Parliament Live - Hansard - - - Excerpts

That this House do agree with the Commons in their Amendments 1 to 12.

1: Clause 4, page 3, line 40, leave out “follows” and insert “set out in subsections (2) to (6)”
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Baroness Scott of Bybrook Portrait The Parliamentary Under-Secretary of State, Department for Levelling Up, Housing & Communities (Baroness Scott of Bybrook) (Con)
- Hansard - - - Excerpts

My Lords, with the leave of the House, as well as moving that this House do agree with the Commons in their Amendments 1 to 12, I will also speak to all the other Commons amendments.

I am pleased to bring the Bill back to the House and to see the progress that it has made since it left. This legislation seeks to drive the change that we know is so desperately needed in the social rented sector. It is vital that everyone learns from the mistakes that led to the Grenfell Tower tragedy, and the Bill will ensure that social housing tenants receive the protection and respect that they deserve. The Grenfell community’s tireless campaigning will leave a legacy of real change to social housing in this country.

The need to drive up the quality of social housing and rebalance the relationship between tenants and landlords was also thrown into sharp relief by the tragic death of Awaab Ishak. I know that Awaab’s father is watching today, and I know that I speak for all of us when I say that my thoughts remain with the Ishak family. I thank the family, along with Shelter and the Manchester Evening News, for their steadfast campaigning on Awaab’s law. This law will make a real difference to people’s lives, and I hope that it brings some degree of comfort to all those who knew and loved Awaab.

As I shall set out, the Government have listened carefully to the points raised, both in this House and in the other place, and tabled amendments in the other place to strengthen the legislation to its fullest extent. Commons Amendments 10, 11, 12, and 13 amend the clauses added by this House on competency and conduct standards and make provision for them to require that senior housing managers and senior housing executives have, or are working towards, appropriate level housing management qualifications.

We have also tabled a further amendment to the Bill to ensure that relevant managers employed by organisations which deliver housing management services on behalf of a registered provider are captured by the legislation, as was our original intention. I thank the noble Baroness, Lady Hayman of Ullock, for bringing the need for this amendment to my attention. This amendment will require registered providers to take steps to secure that relevant managers of these delegated services providers are qualified.

Our amendment also introduces implied terms into the contractual agreements between registered providers and delegated services providers and relevant sub-agreements, stipulating that their relevant managers should have, or be working towards, a specified qualification in housing management. This enables registered providers to take action against delegated services providers who are not compliant. These amendments, which have been welcomed by Grenfell United and Shelter, will drive up professional standards and the quality of housing services across the sector.

I turn to the amendments that we tabled in the other place on Awaab’s law. I am sure that I am not alone in saying that I was deeply shocked and saddened by the tragic death of Awaab Ishak. Commons Amendment 28 takes a power for the Secretary of State to set out requirements for landlords in secondary legislation to investigate and rectify hazards within a certain time. The amendment also inserts an implied covenant into tenancy agreements that landlords will comply with the requirements prescribed in regulations; this will impel landlords to deal with hazards such as damp and mould in a timely fashion, knowing that, if they fail to do so, they can face legal challenge from residents.

We have also introduced Amendments 14, 15, 17 and 29, which will ensure that the regulator sets standards for landlords to provide tenants with information about how to make complaints, and about their rights as tenants.

Commons Amendment 27 will give the ombudsman explicit statutory power to publish guidance on good practice, alongside the power to order landlords to complete a self-assessment if the ombudsman has received a relevant complaint about a landlord.

Amendments 1 and 2 repeal the provisions in the Housing and Regeneration Act 2008 which provide a specific power to enable the regulator to charge fees for inspections. Those fees will be recoverable under the regulator’s fee-charging powers under Section 117 of the Housing and Regeneration Act 2008, so the specific inspections power is now unnecessary.

Amendments 3 to 9 are technical amendments concerning moratorium procedures when the regulator is unable to locate any secured creditors.

Amendment 16 removes Clause 24 relating to energy demand, which was inserted into the Bill by this House. Although we are sympathetic to the aims of the clause, and we agree with the need to continue progress on making social homes warmer and more energy efficient, we do not believe it is appropriate to set consultation parameters without ministerial oversight. We recognise that the sector would benefit from clear standards to support energy efficiency improvements: that is why we announced that we will consult on standards for improving energy efficiency in the sector within six months of the Bill receiving Royal Assent. We remain committed to this, and officials have already begun work on this consultation. I am able to give noble Lords here today an indication of some of the areas for consultation. We will ask what the appropriate compliance date is for meeting an energy efficiency standard, what energy performance metric this should be measured against and what, if any, exemptions are appropriate.

Amendments 18 to 21 and 23 to 26 deliver technical changes that will ensure that, during a survey or emergency remedial action, any decision to leave equipment or materials on the premises takes into account the impact of that on tenants.

Amendment 22 amends requirements relating to the production and publication of an inspector’s report following the completion of an inspection. These amendments provide that the inspector must produce a summary of findings, as well as a report on any matters specified by the regulator. Amendment 31 was tabled to remove the Lords privilege amendment in Committee in the other place.

Amendments 32 to 51 deal with notices under Sections 104 to 108 of the Housing and Planning Act 2016. These amendments ensure that technical requirements relating to notices do not prevent the legislation working effectively, and help make provisions relating to insolvency easier for the regulator to operate.

Finally, Amendment 53 introduces a provision to clarify the relationship between the data protection legislation and Part 2 of the Housing and Regeneration Act 2008. I beg to move.

Lord Best Portrait Lord Best (CB)
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My Lords, I welcome the Commons additions to this important Bill. As a prelude, I thank the Minister for the earlier amendment she promised and delivered before the Bill left your Lordships’ House. This created the duty for the social housing regulator to carry out regular, routine inspections rather than just looking at the social landlord’s accounts and paperwork. This amendment had been earnestly requested by the Grenfell United group, which has campaigned tirelessly to improve key aspects of social housing regulation. If only the regulator’s team had made an inspection visit to the social landlord of Grenfell Tower and talked to residents, it would have been obvious that all was not well. The Minister has taken a close personal interest in the aftermath of the Grenfell tragedy, and I congratulate her on the amendment she brought forward which will now ensure routine inspections are a key part of the regulator’s future role.

I now welcome Commons Amendment 17, Awaab’s law, which will strengthen the role of the regulator in requiring social housing landlords to deal swiftly with problems of disrepair. Sadly, some housing associations and some councils have not been on top of these issues, with tragic consequences. There is a need now for some serious investment in the upgrading of outdated public housing, mostly from the 1960s and 1970s. As well as encouraging social landlords to listen more attentively to the matters raised by their residents, I hope we are moving to an extension of the ombudsman role, which will cut down the need for some of the sharp practices of the no-win, no-fee lawyers, who can exploit tenants’ predicaments. There is more to do here.

In particular, I greatly welcome the new Amendment 13B, which covers standards relating to competence and conduct. This amendment is of particular concern to the Grenfell United group and is intended to achieve greater professionalism of the social housing sector, requiring senior housing managers and executives to have or to work towards relevant qualifications. The noble Baroness, Lady Sanderson, raised these issues on behalf of Grenfell United when the Bill was in this House. We have had to wait until conclusions were reached in the other place to amend the Bill accordingly, but the wait has been worth while and I pay tribute to the noble Baroness.

These Commons amendments to Clause 21 will, over time, see the social housing sector properly “professionalised”. This approach was advocated for personnel managing privately rented and leasehold properties by the Government’s working group on the regulation of property agents, which I was pleased to chair. That badly needed change has yet to come about for the private rented sector, although the matter may be raised in the forthcoming Renters (Reform) Bill or the leasehold reform Bill. In the meantime, measures akin to those proposed for managers of privately rented homes will now be applied by this Bill to the management of the social housing sector. This enhancement of the skills of social housing personnel will greatly increase the role and responsibilities of the Chartered Institute of Housing, which is well able to play a vital role here.

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Baroness Hayman of Ullock Portrait Baroness Hayman of Ullock (Lab)
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My Lords, this is a really important Bill. I am pleased to see it reach this stage; we have supported it all the way through. It has been a pleasure to work on a Bill that I think is the kind of Bill we ought to be doing. It is short, it is focused and it has a Minister who listens. That has been extremely good to work with. I am really pleased to see the government amendments that have been put forward, in particular those around professionalisation. I also pay tribute to the noble Baroness, Lady Sanderson; her work during the passage of the Bill was exceptional and is, I am sure, one of the main reasons why we have these amendments before us today. On Awaab’s law, I join the Minister and other noble Lords in paying tribute to his family.

I am pleased that the Government have listened to the concerns raised by the arm’s-length management organisations and tenant management organisations, as well as the National Housing Federation, in bringing forward the amendments that dealt with the concerns there.

The noble Lord, Lord Best, welcomed the promised amendment on inspections that was so important to Grenfell United. We are absolutely delighted that the Minister has brought forward those amendments today. I want to thank Grenfell United, Shelter and the Ishak family for their work and support during the passage of this Bill; it has helped us to keep the important issues at the centre and as the focus of what we need to achieve.

I thank the noble Baroness, Lady Hayman, for pushing the energy efficiency amendments, which are really important. It is good that we did not lose sight of them during the Bill’s passage and that we have made some progress. I also thank the noble Baroness, Lady Pinnock, for bringing forward her amendment on that.

I thank the Minister and her officials for their time and their constructive approach to working with us, the Opposition, and other noble Lords during the Bill’s progress through the House. It has enabled us to make what was a good Bill a much better Bill—one that is more fit for purpose.

Finally, I thank my noble friend Lady Wilcox for her invaluable help and support. I am sure that we are now both looking to see the Bill go on to the statute book, so that we can raise our eyes up and look forward to the Renters (Reform) Bill.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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My Lords, I am grateful to all noble Lords who have contributed and for the wide-reaching support for this important Bill. In particular, I thank my honourable friend the Member for Bishop Auckland for steering the Bill so ably through the other place. I also thank the department’s Bill team, all the policy and legal officials, and my private office team, who have worked hard over the past year to deliver this legislation through both Houses. I especially thank the House authorities, parliamentary staff, clerks and doorkeepers, and all noble Lords who have contributed to the evolution of this Bill.

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Moved by
Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook
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That this House do disagree with the Commons in their Amendment 13 but do propose Amendment 13B in lieu—

13: Clause 21, page 17, line 29, at end insert—
“(3) Standards under subsection (1) may require registered providers to secure that their relevant managers—
(a) have a specified qualification in housing management or type of qualification in housing management, or (b) are working towards such a qualification or type of qualification. (4) A “relevant manager” means—
(a) a senior housing executive, or (b) a senior housing manager. (5) A qualification or type of qualification specified for a senior housing executive may only be— (a) a foundation degree, or
(b) a qualification or type of qualification regulated by the Office of Qualifications and Examinations Regulation which is of a level not exceeding level 5. (6) A qualification or type of qualification specified for a senior housing manager may only be a qualification or type of qualification regulated by the Office of Qualifications and Examinations Regulation which is of a level not exceeding level 4.
(7) Except as provided by subsections (3) to (6), standards under subsection (1) may not require registered providers to comply with rules about the qualifications to be required of relevant individuals.
(8) In this section, “senior housing executive” means a relevant individual who—
(a) is an employee or officer of the registered provider, (b) has responsibility (solely or jointly) for the day to day management of the provision of services in connection with the management of social housing provided by the provider, and (c) is part of the provider’s senior management. (9) For the purposes of this section, an individual is part of a registered provider’s senior management if the individual plays a significant role in—
(a) the making of decisions about how the whole or a substantial part of the activities of the provider which relate to social housing are to be managed or organised, or (b) the management or organisation of the whole or a substantial part of such activities. (10) In this section, “senior housing manager” means a relevant individual who— (a) is an employee of the registered provider, and
(b) is a senior housing and property manager for the registered provider. (11) For the purposes of subsection (10)(b), whether an individual is a senior housing and property manager is to be determined by reference to the description of the occupation of senior housing and property management published by the Institute for Apprenticeships and Technical Education under section ZA10(5) of the Apprenticeships, Skills, Children and Learning Act 2009.
(12) The references in subsections (5) and (6) to the level of a qualification are to the level assigned to a qualification by virtue of general conditions set and published by the Office of Qualifications and Examinations Regulation under section 134 of the Apprenticeships, Skills, Children and Learning Act 2009.
(13) For the purposes of this section, “employee” includes a person employed under a contract of apprenticeship.”
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Moved by
Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook
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That this House do agree with the Commons in their Amendments 14 to 55.

14: Clause 22, page 17, line 36, at end insert “, including standards requiring information to be published”

Social Housing (Regulation) Bill [Lords]

(Limited Text - Ministerial Extracts only)

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Consideration of Lords message
Monday 17th July 2023

(9 months ago)

Commons Chamber
Social Housing (Regulation) Act 2023 Read Hansard Text Amendment Paper: Commons Consideration of Lords Message as at 17 July 2023 - (17 Jul 2023)

This text is a record of ministerial contributions to a debate held as part of the Social Housing (Regulation) Act 2023 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

Dehenna Davison Portrait The Parliamentary Under-Secretary of State for Levelling Up, Housing and Communities (Dehenna Davison)
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I beg to move,

That this House does not insist on its amendment 13 to which the Lords have disagreed, and agrees with the Lords in their amendment 13B in lieu.

We are bringing the Bill back to the House for what I hope is the final time, to get this vital legislation on to the statute book. It seeks to enable the biggest change in social housing regulation in a decade and to drive the change that is so desperately needed in the social rented sector.

When the Bill was last before the House, we made important amendments to clauses on competency and conduct standards in relation to mandatory qualifications. They made provision to require senior housing managers and senior housing executives of registered providers to have, or be working towards, appropriate-level housing management qualifications. We subsequently tabled amendment 13B in the other place to ensure that relevant managers employed by organisations that deliver housing management services on behalf of a registered provider are also captured by the legislation, as was our original policy intention.

Jim Shannon Portrait Jim Shannon (Strangford) (DUP)
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I have no doubt that we all welcome and support professionalism from those who check the regulations. I am always perplexed that we do not have the same regulations in Northern Ireland. Is it the Minister’s intention to ensure with the appropriate body in Northern Ireland that professionalism can also be effective there?

Dehenna Davison Portrait Dehenna Davison
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The hon. Gentleman is, as ever, a fantastic champion for Northern Ireland and its people. We will, of course, continue to have conversations with the relevant bodies in Northern Ireland, because it is important that social housing, wherever it is provided within the United Kingdom, is up to the appropriate standard. I know he will continue to champion that cause.

In closing, I would just like to put on record one final time my and my Department’s heartfelt thanks to Grenfell United and all other stakeholders for their strong constructive engagement on this critical legislation. I hope that, following today, we will see it on the statute book incredibly soon.

Matthew Pennycook Portrait Matthew Pennycook (Greenwich and Woolwich) (Lab)
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I intend to be brief, because the sole amendment we are considering is entirely uncontentious.

As you will no doubt recall, Madam Deputy Speaker, the Opposition welcomed the concession the Government made in the other place last year with regard to professional training and qualifications, and the resulting addition of clause 21 to the Bill. Having pressed in Committee for that clause to be strengthened, we also welcomed the Government’s amendment to it, which was tabled on Report earlier this year on the basis that it largely assuaged our concerns. We support Lords amendment 13B in lieu of Commons amendment 13, as do the relevant trade bodies and tenant groups including Grenfell United and Shelter, whom we once again commend for the role they played in convincing the Government to incorporate qualification requirements in the Bill.

Lords amendment 13B is a technical amendment that has three main effects. First, it will ensure that the qualification requirements in clause 21 capture relevant managers working for organisations which deliver housing management services on behalf of a registered provider. Secondly, it will ensure that contractual agreements between registered providers and delegated services providers and relevant sub-agreements contain terms stipulating that their relevant managers should have, or be working towards, a specified qualification in housing management, thus enabling registered providers to take action against delegated services providers that are not compliant. Thirdly, the amendment expands on definitions of services providers and specific roles, and provides for consultation before setting a standard and before giving a direction to set a standard.

We agree with their lordships that the changes are necessary if we are to ensure that the sector as a whole delivers high-quality professional services of the kind social tenants deserve and rightly expect. I want to put on record our thanks to my noble Friend, Lady Hayman of Ullock for bringing the need for this amendment to the Government’s attention and for her efforts more generally to improve the Bill in the other place.

It is our sincere hope that once the House has agreed this minor but necessary change today, this important and urgently needed piece of legislation can quickly receive Royal Assent so that we can overhaul the regulation of social housing and better protect the health, safety and wellbeing of social tenants across the country.

Question put and agreed to.