(4 weeks, 2 days ago)
Lords ChamberI understand the noble Lord’s concern. There is ongoing dialogue with the Ministry of Justice, and I hope to be able to update Members before Report on where that has got to as soon as we are able to. I do not think it would be helpful to have a running commentary on it but my honourable friend the Minister for Housing is in dialogue at the moment with the MoJ. I will update noble Lords as soon as we get to the end of those discussions.
I turn to the amendments tabled by my noble friend Lord Hacking. Amendment 281 seeks to delay a number of provisions coming into force. The Bill currently provides that these provisions commence two months after Royal Assent. Two months is a well-established precedent, and I see no reason why commencement of these provisions should be delayed. For example, the provisions include important protections for tenants and provide local authorities with better powers to enforce housing standards.
Amendment 287 would set a time limit of 12 months between Royal Assent and the implementation of the Bill’s tenancy reforms in the private rented sector. Amendment 288 would change the approach to tenancy reform implementation in the Bill. It would require that the measures were applied to new tenancies no earlier than six months after Royal Assent and to existing tenancies no earlier than 12 months after Royal Assent. Amendment 289 would require that the conversion of existing tenancies to assured tenancies under the new tenancy reform system took place no earlier than 12 months after Royal Assent. As I have set out previously, we will end the scourge of Section 21 evictions as quickly as possible, and we will introduce the new tenancy for the private rented sector in one stage.
I assure my noble friend that this Government will ensure that the sector has adequate notice of the system taking effect but, in order to support tenants, landlords and agents to adjust, we will allow time for a smooth transition to the new system while making sure that tenants can benefit from the new system that they have waited so long for as soon as is realistically possible. We are planning a wide-ranging campaign to raise awareness of our reforms, supported by clear, straightforward and easy-to-read guidance to help landlords to prepare for change and to help tenants to be ready for it. On that basis, I ask my noble friend not to press his amendments.
Unfortunately, I was not in a position to sit up last night or the night before because I have a full-time job. Yesterday, I was in Cardiff working with people in the Government there. We had a big event around the Big Issue. It was wonderful to be there and to be given the opportunity, I hope, to work with the Welsh Parliament on the idea of social housing, social justice and all that. So I hope noble Lords will forgive me for not being here last night to see all their noble work.
I want to say a few things. I think one of the real problems is that people do not understand the role of a tenant. They know the role of a landlord: the landlord owns a piece of property, and they rent it out to somebody. But the role of the tenant over the last 50 years has been to enrich the landlord. If you look at what has happened to the property market over the last 40 or 50 years, the role of the tenant has been to make sure that the landlord gets richer and richer, because we know the way the property market has been going. It has been going in a direction where people can buy a house in one decade—my ex-wife did so—and sell it later in the decade for maybe two or three times as much. The landlord would often have done not much more than rent the property out and keep it going.
(3 months, 2 weeks ago)
Lords ChamberI thank the noble Lord for his question and for all his expertise on this subject. A few weeks ago, I attended an investors’ summit in the City of London where there was great enthusiasm about investment in the housing market. We welcome those institutional investors and recognise the crucial role that the build-to-rent sector in particular is playing in building those 1.5 million homes. Last year, we announced a £700 million extension to the home building fund to support housebuilders and to catalyse that institutional investment. This should support the construction of 12,000 more homes, including build-to-rent. We also announced a £3 billion guarantee for SME and build-to-rent housebuilders through the reopening of guarantee schemes, which should deliver the construction of around 20,000 new homes.
My Lords, could the Government also turbocharge getting rid of Section 21, which legalises insecurity in the lives of people paying rent?
I absolutely agree with the noble Lord about the insecurity that Section 21 presents. It is also a huge economic burden on local councils as they pick up the tab for emergency accommodation coming out of Section 21 evictions. That is why our Renters’ Rights Bill contains clear proposals to get rid of Section 21 once and for all.
(4 months, 3 weeks ago)
Lords ChamberAre the Government going to address the fact that we have never learned to turn the tap off? We have more and more people falling into homelessness from different sectors of society—people are having problems all over the place, as the noble Baroness said. My concern is this: we are always going on about the emergency, but where in the background are this Government or the next working on reducing homelessness by turning the tap off and getting rid of the inheritance of poverty, which is what produces most homelessness?
The noble Lord is quite right in what he says. He will know that we have set a target of building 1.5 million homes over the course of the Parliament, which in the long term is the answer to tackling this issue. In the short term, we need to tackle the issue of many children spending years in temporary accommodation, when they need space to play and develop, at the same time increasing the funding to tackle the long-term causes of homelessness and poverty, which, as he rightly says, sit at the heart of this. The Renters’ Rights Bill, which is coming before this House very shortly, will tackle some of the causes of homelessness.
(5 months ago)
Lords ChamberI have seen the figures from the Nuffield Trust. The Government have provided additional funding for local government, as the noble Lord is aware. I have cited the figure before but will do so again: there is £3.7 billion of additional funding for local government. As I have said several times in this debate, we wanted to do more. Unfortunately, we have to be fiscally responsible, and this Government will continue to be so.
I must just point out a difference between business and charities, and the help for both. I am an employer of a little social enterprise group. We pay tax. We do not get the breaks or all sorts of other things that charities get. It is hitting us, so we will have to review whether we can employ so many people because of this new employment tax. Can the Minister encourage and include social enterprises—social businesses—in her mix to support them?
The noble Lord makes a very good point about social enterprise. I am a great champion of social enterprises. They do magnificent work in our country. I set out the basis on which the Government are providing support to SMEs under this regime. Those organisations will benefit from the way we have completely exempted many businesses from having to pay NICs and many others will remain the same as they were before. I hope that will help social enterprises but I am happy to discuss that further with him if he wishes to.