(4 years, 8 months ago)
Grand CommitteeMy Lords, I feel very strongly that although we may have disagreed on the subject of the United States, that should not stop us recognising the wider argument to which the noble and learned Lord, Lord Judge, has referred. Far too much legislation going through both Houses ends up leaving everything to be decided in secondary legislation where it is almost impossible to make changes, and this is another example.
I want to underline what my noble friend Lord Inglewood has said, which is that extradition is far too important a matter to leave basic, material decisions merely to secondary legislation. This is part of the freedom that people in this country rightly feel they have and I do not believe that we should allow the Government to have the powers that this seems to allow. I hope that my noble friend will recognise that this is a matter of real principle, a principle that the party to which we both belong is supposed to believe in above all things—constitutional propriety. This is not constitutional propriety, but sleight of hand.
I do not have many remarks to make on this and I could not think of a quixotic quote. However, I really like Shakespeare because he is connected with the borough I grew up in, so I will remind you of this quote
“haste is needful in this desperate case.”
Some of the points which have been made are very important and should be taken on board. What are we doing here? We support the legislation in principle, but we have asked for reasons why we are doing this and we have gone through some of the wording before.
I look forward in particular to the Minister’s response to Amendment 12 because when you look at the wording it seeks to take out, it is quite worrying that it is in there at all. It may well be that there is a perfectly understandable explanation and I will be able to get up in a moment and say, “I fully support what the Minister intends to do”, but as it reads now, I am worried about what we are passing here. Perhaps she will say that it is fine because it talks about further consequential provisions in the sub-paragraph above and the Government will do nothing. However, there is an issue about the powers we are giving to the Executive and our ability to scrutinise or change them at a later date. That point has been made by the noble Lord, Lord Inglewood, so I want this to be looked at.
Amendment 13 seeks to remove regulations about “saving” or “incidental” provision. What is that about? We could make all sorts of changes by saying that something is a saving. We could get rid of whole swathes of stuff, so what are we agreeing to? We do not want to find ourselves saying months or years ahead that we did not realise when we agreed to this that we were giving those powers to the Executive. I will leave it there and look forward to the Minister’s response, but I may intervene at some point for further clarification.
(6 years ago)
Grand CommitteeMy Lords, Amendment 6, moved by the noble Baroness, Lady Grender, would amend Clause 8, which is concerned with financial penalties. The amendment adds paragraph (d) to subsection (4), which lists those situations where a financial penalty may not be imposed. The amendment, which I am happy to support, stops an enforcement authority imposing a fine where the relevant person has recovered funds through an application to the First-tier Tribunal. It seems to address an omission on the part of the Government and it is a sensible proposal.
Also in this group are Amendments 7 and 8, which I think would strengthen the Bill. Amendment 7 provides for the First-tier Tribunal to order the landlord or lettings agent to pay up to three times the sum of the prohibited payment that they improperly collected. There is no provision in the Bill for any form of compensation when a prohibited fee is charged and that in my opinion is a serious omission on the part of the Government. We believe that compensation will undoubtedly be appropriate in many cases given the likelihood that charging prohibited payments will cause tenants significant financial hardship.
Compensation would also act as an incentive for tenants to recover illegal fees where the enforcement authority is unable to enforce the law and would be appropriate recognition of the time and effort that it takes for an individual to enforce their rights through the courts. Compensation is an established principle in the consumer industry where one party is entrusted with another person’s money, in addition to enforcement penalties where rules or laws have been breached. This includes all sorts of bodies such as train operators, travel agents and lawyers. The idea of being paid compensation where the consumer has not been well served is well understood, and getting the money back is important, as the noble Baroness, Lady Grender, said.
My amendment is consistent with other legislation governing the private rented sector. I do not accept that compensation should be sacrificed in support of the Government’s aim that enforcement will be funded exclusively through fines. Amendment 8 seeks to add a further restriction on the termination of the tenancy. I believe this is a very important addition that brings a further element of fairness.
Section 21 notices have undoubtedly been abused in the past, to the considerable detriment of tenants. It would be a complete travesty if, having stood up for yourself and your rights, and having taken action to recover the money that was improperly taken from you, you are then punished, in effect, and served with a Section 21 notice to leave your property. This amendment seeks to ensure that that does not happen and that the victim—here, the tenant—cannot be treated in that way. I do not see why we would allow rogue landlords or letting agents to behave in this way. My amendment seeks to ensure that they cannot, by implementing that six-month cushion.
I wonder whether my noble friend will address the point raised by the noble Baroness when she referred to the number of letting agents that did not obey the law on their websites. I have found that in many areas—including modern slavery, an issue I am particularly interested in—a number of people just do not obey the law. It seems to me that it would be odd if we left it to the local trading standards officers. What is the arrangement? If you find such a case, who in government is supposed to enforce it? This also is a piece that might be dealt with in this legislation. If it is true—I assume that it is—that 17% of letting agents do not even obey the law of having to say what their fees are, that is outrageous.
I am grateful to all noble Lords who have taken part in this debate. The Bill proposes a number of enforcement measures that offer a strong deterrent to irresponsible agents and landlords. It also makes provisions to enable tenants and other relevant people to recover unlawfully charged fees, if other attempts have failed, by going to the First-tier Tribunal, which will order reimbursement to the tenant of money that should not have been paid. Of course, tenants should get back any unlawful payments in full, whether that is direct from the landlord or agent, via their enforcement authority or through an order of the First-tier Tribunal. However, in certain instances, we think it is also appropriate for the landlord or agent to be issued with a financial penalty, as well as ensuring that the tenant receives their money back. This is to deter future non-compliance.
Amendment 6 prevents an enforcement authority imposing a financial penalty under Section 12 if the tenant has got their money back. We think that giving a power to impose financial penalties for breaches of the legislation is an important tool for enforcement authorities. Therefore, we cannot accept Amendment 6. However, the enforcement guidance will stress that enforcement authorities should take account of the landlord’s and agent’s conduct and past behaviour when considering the level of financial penalty to charge, if any. This includes whether the landlord or agent has reimbursed the tenant quickly when asked to do so.
Turning to Amendments 7 and 8, while we think it is right that agents and landlords should be issued with a financial penalty, we do not think it is appropriate for the tenant to receive further compensation in addition to repayment of the money owed. To add compensation risks penalising agents and landlords multiple times for the same breach, which we do not believe is fair; for example, it would not be right to ask a landlord who has been fined up to £5,000 for an initial breach to also pay three times the amount of a prohibited payment to a tenant. This would in effect be two financial penalties for the same breach. The deterrent effect, mentioned by the noble Baroness in her opening remarks, would of course be secured by the fines under the Act.
It is also worth noting that Clause 17 already provides further protection to tenants by preventing landlords recovering their property via the Section 21 procedure in the Housing Act 1988 until they have repaid any unlawfully charged fees. This approach is in line with legislation that already applies; for example, where the How to Rent guide has not been provided or where a landlord has not secured the required licence for a house in multiple occupation. Further, Clause 4 ensures that any clause in the tenancy seeking to charge a prohibited fee is not binding on the tenant.
We do not consider that further provision is needed along the lines proposed by Amendment 8. For example, it is not fair if a landlord who appeals against the imposition of a financial penalty, and this appeal is upheld, is then restricted from using the no-fault eviction process for six months. Under the noble Lord’s amendment, this would be the case—although that may not be what he intended. We firmly believe that our existing approach restricting a landlord’s ability to serve a Section 21 notice strikes the right balance and offers a serious deterrent to non-compliance. I hope the noble Lord will not move his amendment.
I suspect the short answer to the questions raised by my noble friend Lord Deben is: the trading standards officer. I would like to write to my noble friend setting out in more detail what is being proposed, under both this and existing legislation, to prevent misleading information appearing on websites and tenants being misled.
(6 years, 5 months ago)
Lords ChamberMy Lords, I support the comments that have just been made. As the former Member of Parliament for Suffolk Coastal and as someone of whom, if you asked him where he really lived, the answer would be in Suffolk—although not coastal Suffolk—I am the owner of a second home. It is a situation in which I am happy to pay my council tax in full, as I do in on my small flat in London. That is how we operate, and I think that is right. One just has to recognise that there are circumstances in which people have to work in one place and live in another, and that is absolutely acceptable.
I emphasise the point about the coastal communities of Suffolk, which I represented for so long. I saw the change; it was fascinating. Southwold was but latterly added to my former constituency—as they moved me closer and closer to the sea, people said that they were trying to tell me something. It has very largely become a place of second homes, and so has Aldeburgh and, increasingly, many other villages round about. It is a real problem for community cohesion; I understand that, having committed myself to the view that people should be allowed to have—and very often need—a second home. However, I do not support the idea that people can avoid their proper contribution to the community by using what has elegantly been referred to as a loophole. It is worse than that, because they are telling a direct lie. They are not running a business; they have no intention of running a business. They are trying to get the business rate and then not to pay it because they have the small business special arrangement. Of course, however, you can be a small business even if you do not let anything. It is not difficult. We could all be a small business if making nothing were the purpose of being a small business. With my family, I own and run small businesses, but we intend to make a profit, otherwise there is not much point in us doing it. However, to run a small business in order not to make a profit and to get the profit from the community is entirely unacceptable.
I want to make some difficult comments. I have now been in one or the other House of Parliament for a very long time. It does not matter which Government are in power—or which mixture, as sometimes it is a coalition—when they want to avoid dealing with something, they always promise the most careful consideration and the most urgent assessment of the real issues that may well arise. They warn that there may be other unintended consequences, meaning that one should not move too quickly. Sometimes they suggest that, although they have looked at it, they have not found quite the right answer, but the House can be assured that such an answer will be found, but not yet. I say to my noble friend, whom I respect enormously, as he knows—I have told him so from time to time—that Wales is right on this. Wales is right on quite a number of things in the climate change committee. I have to remind the United Kingdom Government how much better in some things Wales and Scotland are at moving on climate change. It is not surprising that Wales is right on this.
We have to deal with this for a reason that is not just about equity—although that is very important—or the resources of Suffolk Coastal District Council; I do not have to declare an interest there because I live in the Mid Suffolk District Council area. That reason is social cohesion, in the sense that it annoys, upsets and very often angers people that their neighbours are not paying what they are paying for local services. I do not think it is acceptable or reasonable and it seems something very simple to change. All we have to do is what the Welsh have done. It would be jolly nice to acknowledge that the Welsh got there first and that we in the rest of the United Kingdom are following suit.
My Lords, briefly, I endorse the comments made in the debate so far, particularly those from the noble Lord, Lord Deben. He is absolutely right. Suffolk is a beautiful part of the world. I know that as well as him; I spend a fair bit of time down there. It is a wonderful place. He is absolutely right that people should not be allowed to pretend to have businesses and to take advantage of these things to avoid paying what they are supposed to pay to provide for local services. That is completely wrong. I hope that when the Minister responds to the debate he can give us some comfort that the Government will look at this. It is totally out of order. If someone lives in an area they should contribute to the services provided by the local authority.
(9 years, 9 months ago)
Lords ChamberMy Lords, I thank the Minister for his clear explanation of the two sets of regulations and one order before your Lordships’ House. I have no issues as such with the matters in question; I am happy to support them. It is good that the Government are making sure that the required measures are in place, that we have well designed, easily understood ballot papers and other stationery in connection with the election, that proper provision is being made for the combination of polls that will be taking place at the same time, and that how and when the counting of votes will take place, after the completion of the verification process, has been made clear.
However, on a day when there is little business for your Lordships’ House—these instruments were moved from the Moses Room to pad out the Order Paper because there was a real risk that the business in the Chamber would have closed before the Grand Committee was due to sit—I find it staggering that there is not a government Motion before the House expressing the Government’s concern about the crisis in electoral registration, and explaining what they are going to do to sort it out, and get the millions of people who are eligible but are not registered on to the electoral register.
We are light on business, and we have a crisis. On Tuesday, the Electoral Commission published a report of its analysis of the number of people who were on the electoral register on 1 December. It found that there were 2%—that is, 920,000—fewer people on the register than in the previous February and March. Who are the people most likely not to be on the register? They are people who are moving home, students and attainers—young people who are not 18 yet but will be 18 by polling day. That figure of 920,000 fewer people on the register is scandalous. This is a crisis, and rather than debate it here in your Lordships’ House on a government Motion so that we could hear what urgent action the Government were taking, we hear nothing about it, and it falls to the Opposition, on the back of regulations about election stationery, the combination of polls and how are we going to count the votes after verification, to raise these serious matters.
That is a dreadful state of affairs. I have an Oral Question down for 19 March asking the Government what action they will take to get people on the register before 20 April, and I am giving the Minister another chance to set out his plans today. We need urgent action, and we want to be reassured. It looks to me as if the Government are coasting on these matters. That is a truly dreadful state of affairs.
My Lords, that is slightly specious, if I may say so—but it does help me, because I wanted to raise one question with my noble friend. My experience is that there is no regulation relating to the right of a person who is unable to enter a particular polling booth to have the ballot paper brought out to them. I understand that it is open to the particular officer in that place to give that service.
I raise this matter because of the Assembly of Bethel. This is an organisation, rather small in its numbers, that has a particular view about what buildings its members may enter without impurity. It is an unusual view, and not one which I share, but holding it should not deny people the right to vote. In my former constituency I had a member of the Assembly of Bethel, and she was unable to enter the building because on top of it was a cross with a circle round it, and the organisation believes this to refer to the sun god rather than the Son of God. I discovered, in this very curious circumstance, that it is not even for the returning officer to insist that the ballot paper be brought out. He has to rely on the personal decision of the officer in charge of that particular polling station.
I am therefore taking this opportunity to raise what I know is an esoteric example, although it is none the worse for that—I am a believer in a bit of esotericism from time to time. People should have the right to deal with the ballot paper outside for all kinds of reasons, not necessarily just because they are in a wheelchair. Have the Government considered whether it might be an appropriate principle to say that such decisions should be governed by the local returning officer overall, rather than being left to whoever happens to be on duty as an assistant officer in a particular polling station? I do not expect my noble friend to have an immediate answer to the problems of the Assembly of Bethel, but he may be prepared to look again at whether we need to change the regulations in this regard.