Renters’ Rights Bill

Debate between Baroness Bennett of Manor Castle and Baroness Coffey

Monday 12th May 2025 Lords Chamber

[Baroness Bennett of Manor Castle (GP)]

My Lords, all the bright-eyed and bushy-tailed Members of the House who are still here at 12.47 am will note that I am not the noble Baroness, Lady Jones of Moulsecoomb. My noble friend is the Green lark, and I am the Green owl, so you get me after midnight.

I agree with the comments of the noble Baroness, Lady Williams of Trafford. The hashtag I often use is #Nowaytorunacountry. I take the systematic approach to this and suggest that your Lordships’ House urgently needs to think about a reset of our sitting hours.

I rise to move Amendment 206 in the name of my noble friend. This is a very straightforward, positive, friendly amendment aiming to assist the Government to ensure that this legislation can be enforced and can make a real difference. We know that so many renters are trapped in mouldy homes with leaking roofs and heating and hot water systems that are not working. When renters find themselves in those kinds of situations, this amendment would give them the right to pay the rent to a third-party body. My noble friend Lady Jones has suggested the new ombudsman, but we are very open to other suggestions as well. There are other ways of doing it. The amendment is written in a neutral way.

This is to deal with the situation where a landlord refuses to carry out essential repairs, yet the tenant is in a situation where they still have to keep paying for this utterly inadequate accommodation. The arrangements under this amendment would be that, if a landlord carries out the works and ameliorates the problems, the independent third-party would send them the full amount of rent due. If not, the tenant could get a full or partial refund, which they might well otherwise have to go to court to try to recover.

This is both a fair and an effective provision. It punishes the bad landlords and does not impact on the good ones. From the Government’s point of view, this is a constructive suggestion to help make sure that this legislation delivers on its stated aims. With those brief remarks, I beg to move.

[Baroness Coffey (Con)]

My Lords, this in effect creates a formal escrow process. One of my proudest achievements was to organise a student rent strike, admittedly some time ago, as noble Lords may recognise. At the time, the university accommodation was due to be dismantled at the end of the year and as a consequence it felt like the university was not taking various matters very seriously.

I happened not to be a paying student at the time; I was a vice-warden in a hall of residence. So I did help them, but I insisted that, if I was to help them, they would have to pay over their rent to avoid being evicted. We did that by handing the money to the student union, to effectively act in escrow. As a consequence, repairs were made and everyone ended up happy—apart from the university, which did not like my role in that at all.

The reason I tell that story is that it matters that tenants should be able to withhold cash going directly to a landlord when the landlord is, frankly, taking the mickey. Awaab’s law has already been mentioned and Clause 63, which we did not specifically address, is already extending that to the private sector, and I welcome that. We need to work out a much easier way for people to effectively deploy this escrow approach. That is why I am supporting the amendment.

It is fair to say that we need to make sure that any such processes are easy to administer. Going a little bit further, there is a regularly read out statistic that something like 15% to 20% of housing benefit—or housing support, whether as direct housing benefit or through universal credit—is thought to go to properties not deemed fit for rent. I went into a reasonable amount of detail on this with officials.

The philosophy explained to me by the Permanent Secretary and other officials was that the state thus far should not determine on behalf of the renter where they are going to live; it is an important right for the renter to make that choice—even though it felt repulsive to me that taxpayers’ money was being spent in, frankly, some pretty ropey places. From my visits to some different housing, I have to say it was quite extraordinary what was going on. Sometimes, I am afraid, the dilapidation was the consequence of the tenant not allowing repairs to be undertaken—but that is a minor aside. The point is that—whether it is private money, your own money or the state’s money going to a private landlord—it matters that we have habitable accommodation. Therefore, I strongly support the amendment from the noble Baroness.