Wednesday 7th September 2011

(13 years, 1 month ago)

Lords Chamber
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Lord Whitty Portrait Lord Whitty
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My Lords, I support Amendment 92. Those of us who are looking at the housing market recognise that the role of the private rented sector is likely to increase and that there are serious problems with both quality and delivery within that sector. I am sorry I had to be out of the Chamber when Amendment 85, on the accreditation of private landlords, was debated. However, the vast majority of tenants and potential tenants will come across the property via an agent, and, as the noble Lord says, their actual arrangements for rent, repair and general customer service will be with the agent, not directly with the individual landlord. In those circumstances, the role of lettings agencies and management agencies is vital. Therefore, it is important that this Bill provides for some ability to set standards for them. As the noble Lord, Lord Shipley, said, it is very important that the professional trade bodies in that area—the National Landlords Association and the British Property Federation—support a degree of statutory intervention on this front for the very clear reason that good landlords, effective landlords and landlords concerned with service for tenants can get undercut by bodies that do not observe decent standards.

The amendment is permissive on the Minister and clearly will be subject to some assessment of need. However, as the noble Lord says, if we do not provide for some ability to issue regulations in this area, then a whole sector of housing provision will remain unregulated, with the better agents in that area being undermined by the worse. I hope that the Minister can at least give a positive response to this amendment.

Baroness Gardner of Parkes Portrait Baroness Gardner of Parkes
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My Lords, I apologise for my delay in getting back to the Chamber. I had jobs that I simply had to do in the House.

It is important to consider the impact of this in terms of the Delegated Powers and Regulatory Reform Committee, of which I am a member. I wonder whether these are the sort of powers that that committee is very opposed to giving, because they are too wide and would mean that the Government could do pretty well whatever they wanted. I have clear memories of, I believe, the Wilson Government introducing rent controls, which had a disastrous effect. They appeared to work temporarily but were a terrible failure after that. Everyone found that their rents jumped up terribly, which was worse than if they had increased gradually. I have reservations on those two grounds and should like the Minister to take them into consideration.

Lord Palmer of Childs Hill Portrait Lord Palmer of Childs Hill
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My Lords, I shall speak to Amendment 93 which, for the accountants here, follows Amendments 91 and 92. Most of the points relating to the tenancy relations services dovetail clearly with the other two amendments in the group. Amendment 93 requires all local housing authorities to provide a tenancy relations service. This proposed new clause would establish a statutory duty on each local housing authority to provide such a service, and its focus would be to foster good practice in the private rented sector.

The tenancy relations officer’s work will include taking steps to promote awareness of rights and responsibilities on the part of both landlords and tenants; conciliation and negotiation between the parties in the interests of resolving disputes; and, where necessary, assisting in the enforcement of duties and in the prosecution of landlords for the criminal offences of harassment and illegal eviction. I received a helpful reply from the noble Baroness, Lady Hanham, about this point. The sum total from the Minister was that there is no need to legislate because local authorities already carry out such activities and duties.

I am sad to say that not all local authorities do that. With the cuts that are taking place in local authorities at the moment, they will perform these even less if there is no statutory duty so to do. Within the private sector, it may surprise some noble Lords that there is harassment and illegal eviction. There is a need to protect tenants from criminal offences. The legislation for homeless persons in properties without protection is very strong.

A tenancy relations service is needed. I shall give two examples from the past couple of weeks which occurred to me as a local councillor. A guy living in rented accommodation came to see me. He is being harassed by his landlord and it is a situation where one ethnic group is against another. He complained to the local authority and the police, both of whom told him to go away. There is no proof. I say to this man, “Go and find somewhere else to live. If it is that uncomfortable, it is probably insoluble”. The guy cannot find somewhere else to live because he needs a deposit and a guarantee.

The second case again took place in the past two weeks. A woman in this north-west London borough says that she cannot find a one-bedroom flat to rent because all landlords want a guarantee and a deposit, and they do not want her because she is on housing benefit. The idea that there is no need for a tenancy relations service is living in a bubble of Westminster which does not understand what happens in reality. Other legislation of this Parliament will put people into private accommodation without any choice and there will be a greater danger of tenants being put under intolerable pressure. Those people need a tenancy relations service which is statutory and not just voluntary. People go to their local housing association or local council but they are not helped if they are not a priority case and the council does not see a way to help them.

The noble Baroness, Lady Hanham, said that there are Citizens Advice and various other organisations. At the moment, they are under extreme pressure. People are queuing up. The bureaux are not answering the telephone. They have service level agreements with their local authority. They are well meaning and they help, but I find that there are many people who they do not help. Therefore, I hope that the Minister will find a means of incorporating a tenancy relations service within the amended legislation, which would dovetail well with the comments made by my noble friend Lord Shipley.