Private Rented Sector Ombudsman

Baroness Warwick of Undercliffe Excerpts

Thursday 18th January 2024 Lords Chamber

Asked by

[Baroness Warwick of Undercliffe]

To ask His Majesty’s Government what progress they have made in designing and tendering for the new Private Rented Sector Ombudsman Service.

[Baroness Warwick of Undercliffe (Lab)]

My Lords, in begging leave to ask the Question standing in my name on the Order Paper, I declare an interest as the chair of the Property Ombudsman for tenants and those in the PRS whose landlords use agents.

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

The Renters (Reform) Bill allows the Government to select a scheme through open competition or to appoint a provider to deliver a designated scheme. In Commons Committee, we announced our preference to deliver through the Housing Ombudsman service, which provides social housing redress. However, no final decision has been made, and our priority is choosing a provider that offers the high-quality and value-for-money service we require.

[Baroness Warwick of Undercliffe (Lab)]

I thank the Minister for her reply. I very much support what the Government are doing to establish a landlord ombudsman for the private rented sector; it is long overdue. Given that the new ombudsman will cover the whole of the rental sector—the one for social landlords has been indicated as the preferred option—can the Minister confirm that the Government will consult existing ombudsmen in the sector on the rationalisation, and can she explain how they will fit into the new landscape? Can she confirm that the Government’s final decision in selecting an organisation to provide a unitary ombudsman service for the combined social and private rented sectors will follow the formal public procurement process? What will the timescale be?

[Baroness Scott of Bybrook (Con)]

The noble Baroness asked a number of questions. First, we have sought extensive procurement and legal advice on this, and we are confident that the approach we are taking is in line with procurement regulations. I can only reiterate that this work is still in its very early stages, and no decisions have been made. Of course, we will talk to stakeholders throughout the whole of the process. If the noble Baroness or any other noble Lord would like to meet me and my team, I am happy to do so as we go forward.

Secondly, the question on the interaction between schemes is very interesting. We envisage that, where a complaint covers both landlords and letting agents, the separate schemes will work together to triage the complaint effectively and, if necessary, have a joint investigation. Importantly, we want to make sure that, where it is not clear which scheme a tenant should complain to, there is no wrong access point. We will work together to make sure that the tenant gets the service that they require.