Homelessness Reduction Bill Debate

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Homelessness Reduction Bill

Andy Slaughter Excerpts
3rd reading: House of Commons & Report stage: House of Commons
Friday 27th January 2017

(7 years, 9 months ago)

Commons Chamber
Read Full debate Homelessness Reduction Act 2017 View all Homelessness Reduction Act 2017 Debates Read Hansard Text Amendment Paper: Consideration of Bill Amendments as at 27 January 2017 - (27 Jan 2017)
Andy Slaughter Portrait Andy Slaughter (Hammersmith) (Lab)
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I beg to move, That the clause be read a Second time.

Baroness Laing of Elderslie Portrait Madam Deputy Speaker (Mrs Eleanor Laing)
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With this it will be convenient to discuss the following:

New clause 2—Restriction on the termination of assured shorthold tenancies

‘(1) After section 19A of the Housing Act 1988 (Assured shorthold tenancies: post-Housing Act 1996 tenancies) insert—

“Section 19B longer term tenancies

Any assured shorthold tenancy (other than one where the landlord is a private registered provider of social housing) granted on or after April 1, 2018 cannot be terminated by the landlord within thirty six months of being granted other than for the breach of a an express or implied term of the tenancy if the termination would result in the tenant becoming homeless. It is an implied term of such a tenancy that the tenant may terminate the tenancy by giving two months’ written notice to the landlord.”

(2) In Section 21 of the Housing Act 1988 (Recovery of possession on expiry or termination of assured shorthold tenancy) insert—

“(4ZAA) In the case of a dwelling-house in England no notice under subsection (4) may be given for thirty six months after the beginning of the tenancy.””

This new clause is an amendment to section 21 of the Housing Act 1988 which would prevent landlords from using the “notice only” grounds for possession for the first three years of the tenancy by private sector landlords where the tenant would become homeless.

New clause 3—Controls on rent increases within a tenancy—

‘(1) After section 23 of the Housing Act 1988 insert—

“Section 23A: rent increase

(1) This section applies to any assured shorthold tenancy granted on or after 1 April 2018 in respect of any property in England other than one granted by a private registered provider of social housing.

(2) It is an implied term of all such tenancies that the rent may only be increased in any year on the anniversary of the commencement of the tenancy and that the rent may increase by no more than the percentage specified by the Office for National Statistics as the Consumer Prices Index figure for the month immediately preceding the proposed increase if there is a significant risk that that tenant would become homeless.

(3) Any term of the tenancy (or any other agreement, whether between the landlord and tenant or any third party) which is inconsistent with subsection (2) is of no effect.

(4) The landlord must serve written notice of the new rent on the tenant and any other party who is responsible for the payment of the rent.

(5) The notice must be in a prescribed form (or substantially to the same effect) and must specify—

(a) the present rent;

(b) the percentage increase proposed; and

(c) the proposed new rent,

together with any other matters or information which may be prescribed.

(6) A person served with such a notice may, within 28 days of being so served, refer it to the appropriate tribunal for a determination as to the validity of the notice and, if necessary, to examine the risk of the tenant becoming homeless.

(7) Should a court or tribunal in any proceedings find that the landlord has received rent in excess of that permitted by this section, it must either—

(a) order that the excess rent be repaid to the tenant (including to any former tenant if the tenancy has come to an end),

(b) order that it stands to the credit of the tenant in respect of future rent which will fall due; or,

(c) set it off against other sums which the tenant owes to the landlord under the tenancy.

(8) The Secretary of State has power to prescribe a form for the purposes of this section and may make different provision for Greater London and the rest of England. The power must be exercised within a reasonable period and, in relation to Greater London if the Mayor of London makes a written request that it be exercised and provides a draft form, must be in the form proposed by the Mayor.

(9) The Secretary of State has power to modify subsection (2) by order and may make different provision for Greater London and the rest of England. Any modification is limited to substituting an increase which is lower than the Consumer Prices Index. That power must be exercised within a reasonable period and, in relation to Greater London if the Mayor of London makes a written request that it be exercised and specifies a particular substitution, must be the substitution specified by the Mayor.

(10) In this section—

“Greater London” shall have the same meaning as in the London Government Act 1963 (c.33)

“Mayor of London” shall have the same meaning as in the Greater London Authority Act 1999 (s.29).””

This new clause concerns rent increases. It provides that it is an implied term of all assured shorthold tenancies granted on or after 1 April 2018, that the rent can only go up once a year and by no more than CPI if there is a significant risk of the tenant as a result of the increase becoming homeless. It requires a notice to be given to the tenant, giving them details of the increase and for a right to appeal that notice to the First Tier Tribunal (Property Chamber). The Secretary of State has a power to prescribe a lower increase and must do so in respect of London if the Mayor of London requests it.

Andy Slaughter Portrait Andy Slaughter
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It is a pleasure to open today’s proceedings on this important Bill that, if passed, will mark a sea change in the way in which homelessness is treated in this country. This is a rare creature—a private Member’s Bill with a hope of success. I should not tempt fate this early in proceedings, but I cannot see the usual suspects sitting behind the hon. Member for Harrow East (Bob Blackman), the promoter of the Bill, so I am already encouraged.

I think that the Bill has support from all parties. Importantly it has the support of the Government; otherwise, I suspect that we would not have got this far. We should not forget the good work that the Communities and Local Government Committee and its Chair have done in support of the Bill. I also pay tribute to the promoter of the Bill, who now knows more about the intricacies of homelessness law than he perhaps ever wanted to.

There are matters still to be resolved but—and I say this advisedly—I hope that, as far as this House is concerned, they can all be resolved this morning. For my part, I do not intend to go on at length. Although certain important matters need to be covered, I hope that in the time we have available today, the Bill will be able to complete all its stages.

Let me be clear from the outset that I do not intend to press new clauses 2 and 3 to a Division. I am hopeful that when the Minister speaks, I will hear words that will encourage me not to press new clause 1. One interesting feature of the Bill has been that we have had constructive discussions about it—outside the Committee, of course; not in it, as that would not be at all appropriate. My last email to the Minister was sent at about 11 pm last night. I appreciate that that might have been past his bedtime and he has not had time to respond, but we are getting where we want to go.

New clause 1 deals with perhaps the central unresolved issue, which relates not to the content of the Bill— we will come to that when we consider the Government’s amendments—but to its implementation and, in particular, whether the resources that the Government have set aside are sufficient. New clauses 2 and 3 are also important because they address what stands behind the Bill—the fact that legislation of itself will not tackle the homelessness crisis. To be fair to the promoter of the Bill, he has at all stages said that that that is the case, and he repeated it in his article that has been published on PoliticsHome.com this morning. I appreciate that, but we cannot look at the Bill in a vacuum; we have to look at the surrounding circumstances. Nothing illustrates that better than the figures on rough sleeping that were released two days ago, which revealed a shocking 16% increase year on year. More than 4,000 people are now sleeping rough on the streets of the UK. One rough sleeper is one too many, and what should alarm the House in particular is the fact this is a crisis that does not need to exist.

Under the previous Labour Government, rough sleeping fell by three quarters, because of direct Government intervention and co-ordination with not only local authorities, but the many fine homelessness charities, which also stand behind the Bill. This crisis is solvable, but the fact that street homelessness has gone up by more than 130% since 2010—under the coalition Government and now under this Government—really should shame the Government. We are here to pass an important Bill, but that does not get them off the hook.

I must strike one small note of discord: we do not want this to become a battle about who is more in favour of the Bill. The promoter’s article mentioned the danger of the Bill being delayed because of our new clauses. There must be a lot of confused pots and kettles out there, given that the Government have tabled 21 complicated amendments that no one would wish to consider on Report—they should have been taken in Committee. I am hopeful that we can deal with them, but the point is that it is not unreasonable or irrational for the Opposition to take a little time to debate important principles.

In Committee, Government Members spoke for two and a half times as long as Opposition Members. I realise that there were one or two more of them, unfortunately—

Andy Slaughter Portrait Andy Slaughter
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In a moment.

We all—even I—must sometimes curb our prolixity, and we were very disciplined in Committee. We withdrew many new clauses and amendments before the Christmas break to speed the passage of the Bill. Even though my colleagues in Committee had huge expertise and a lot to say, we were very disciplined. I wish that I could say the same for the Minister and Government Back Benchers, including the hon. Member for Mid Dorset and North Poole (Michael Tomlinson).

Michael Tomlinson Portrait Michael Tomlinson
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It was a great pleasure to serve in Committee with the hon. Gentleman. I am delighted to hear that he is still in favour of the Bill and that it still attracts cross-party support. Today he can rely on my discipline and, I am sure, that of all colleagues to ensure that the Bill goes through.

Andy Slaughter Portrait Andy Slaughter
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Excellent. I am sure that those rousing words will be followed by action. That might even be the last we hear from the hon. Gentleman today.

I do not want to labour the point, but we should have been able to get through the Bill in less time, notwithstanding the fact that it is an important and, for a private Member’s Bill, quite long Bill. It is considerably longer than the Bill that we will debate next week, although I suspect our consideration of that one will take rather longer.

It is regrettable that this Bill spent so long in Committee, but we know why it did: the Government were filibustering in order to keep the parliamentary boundaries Bill, which is promoted by my hon. Friend the Member for North West Durham (Pat Glass), out of Committee. I am not saying that we do not all play these tricks from time to time; I am just saying that we should not start pointing the finger over who is to blame for delaying the Bill, and instead get on with this now.

I want to deal with the point about money. Right at the beginning of our Committee stage, the Minister said, “I hope to tell you before the end of Committee how much money there will be.” The Government gave a welcome commitment to fund the additional costs fully—there will be substantial additional costs on local authorities, and under the new burdens doctrine, the money has to come from central Government—but we waited week after week with bated breath to find out what money there would be. He kept his promise—just—and at the last moment, some money came forward. It was not a negligible sum: about £48 million over two years. However, that amount must be compared with the sensible estimates from individual local authorities and their collective bodies, such as the Local Government Association and London Councils. For example, while £37 million or £38 million has been set aside for the first year of the Bill’s implementation, London Councils estimates that the cost will be about £160 million. There is therefore a massive disparity in the figures.

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Lyn Brown Portrait Lyn Brown (West Ham) (Lab)
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Newham Council has looked into the cost of implementation, and thinks that it will be £2.5 million in the first year alone. I am delighted that the Bill has been introduced, but does my hon. Friend honestly believe that the Government will fully compensate councils for the money that they will need to spend?

Andy Slaughter Portrait Andy Slaughter
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I am one of nature’s optimists. The Minister is such a reasonable fellow, and so kind-hearted, that I am sure that if he says he wishes to provide the full amount, he means it. Unfortunately, however, the record of the Government as a whole is not one of being particularly kind-hearted, particularly to local government. They have a habit of passing the buck by cutting the budget of the Department for Communities and Local Government, as is clear from the fact that local government cuts have been the biggest of all.

My hon. Friend the Member for West Ham (Lyn Brown) is absolutely right to be sceptical. That is indeed what we want to hear. There are many figures floating around, but Newham Council knows what it is talking about, because it has one of the most pressing housing needs in the country, some of the poorest communities in the country, and, I am afraid, some of the worst housing in the country, especially in the private rented sector.

These are matters of real concern. All we are asking for is a commitment from the Minister not just to a review, but to a review that will be undertaken at the right time and will be all-encompassing. As I said earlier, the Select Committee has played a key role—its Chair, my hon. Friend the Member for Sheffield South East (Mr Betts), is an acknowledged expert, and he has also benefited from the able assistance of Members on both sides—and it, as well as local authorities themselves, should be involved in any review process.

David Burrowes Portrait Mr David Burrowes (Enfield, Southgate) (Con)
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Enfield, like Newham, contains some of the poorest people in the country with the greatest housing need, and obviously we want the Bill to be implemented, but good councils throughout the country are already embarking on the prevention measures specified in the Bill under the current funding settlement, and will welcome the provision of more money to enable them to continue those measures.

Andy Slaughter Portrait Andy Slaughter
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I think the best thing to say is that there is a mixed economy among local authorities. Some do very well—some have to do very well because of the pressures on them—and others do less well. Part of the Bill’s purpose is to bring them all up to the same standard. However, the hon. Gentleman’s point cuts both ways. If it is true that Camden Council, for example, is already preventing 80% of those who present themselves from becoming homeless, the savings that are likely to be made—most of which, I understand, will result from an increase in prevention work, which will avoid the need to find alternative accommodation or fund the costs of homelessness in other ways—will be less. The Government rather piously hope that after two years there will be no need for funding, but I do not think anyone believes that, including the Government.

Margaret Greenwood Portrait Margaret Greenwood (Wirral West) (Lab)
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This is not just a problem in London. In 2015-16, there were more than 1,000 homelessness prevention and relief cases in Wirral as a result of the council’s actions. Does my hon. Friend agree that any new duties that councils will have to take on should be fully funded, both now and in the future?

Andy Slaughter Portrait Andy Slaughter
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My hon. Friend is absolutely right. However, the problem is clearly greater in some areas than in others. The precedent for the Bill is legislation passed by the Labour-run Government of Wales, which has already been successful: there have been substantial falls in homelessness. Of course there are parts of Wales where there is a real crisis, as there are in the rest of the United Kingdom, but there are also hotspots, and the big cities, particularly London, are hotspots.

We cannot rely on the example of Wales. It is still possible in many Welsh authorities for accommodation to be made available to people including those who are not in priority need. In London boroughs—and, I suspect, in my hon. Friend’s constituency and many others—that opportunity disappeared years ago, and the reverse is now the case. We spent some time in Committee talking about the disgraceful attitude of Westminster Council, which is sending its homeless people quite literally to Coventry, and I fear that other boroughs are doing exactly the same. That is the difficulty with which we are grappling.

I am not going to labour the point. We want assurances, which we believe new clause 1 would deliver, that the full funding of the Bill’s implementation by local authorities for which my hon. Friend the Member for Wirral West (Margaret Greenwood) has rightly asked will be provided. Yes, the Government have made a start, and, yes, I think that we shall hear more about money today, given that some of the Government amendments will involve additional costs. We are pleased with what has been done so far, but we must have that funding, because otherwise the Bill will fail, and local authorities will be in an even more parlous state.

Let me now deal briefly with new clauses 2 and 3. We could have tabled a great many more new clauses illustrating the same point, which is that the Bill’s provisions cannot be seen in a vacuum. We all welcome the greater concentration on prevention to which the hon. Member for Enfield, Southgate (Mr Burrowes) referred, and we also welcome the new relief duties requiring local authorities to assist homeless people who are not in priority need. However, the pattern of homelessness is utterly bleak, and that is a perfect storm which, I am afraid, derives from the Government’s own actions or inactions.

The first problem, as the new clauses make clear, is the crisis in the private rented sector. The huge inflation in rents over the past few years has meant that many private landlords take advantage of the “no fault” eviction process for which the Housing Act 1988 provides. They say to people, “You are on benefit, and I can get a higher rent from someone else”, or they simply say, “I want a different tenant and I do not have to give any reason, so off you go.” Provided that the payments are in order, the consequence of that swift process, with no argument to the contrary, is that many thousands of people present themselves to local authorities as homeless. I believe that more than 40% of homelessness cases are caused by private sector evictions, with all the misery that they bring.

Again, however, the problem is not insoluble. The inclusion of new clauses 2 and 3 would make a significant difference. This is a modest proposal. I am suggesting that if there were longer tenancies—three-year tenancies—and if, within the period of those tenancies, there were controls over the levels of rent increases, we would end the present chaotic market in evictions in which landlords bid against each other.

Michael Tomlinson Portrait Michael Tomlinson
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I am grateful to the hon. Gentleman for highlighting this point. I will pass over the typo in line four of his new clause 2 and simply ask: does he remember from the Bill Committee that the average length of tenancies was in fact four years, yet in his new clause 2 he refers merely to three years? Does he not accept that there also needs to be a balance, to encourage sufficient landlords?

Andy Slaughter Portrait Andy Slaughter
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I am not sure what the hon. Gentleman does when he is not passing over typos, but I am afraid his argument works both ways. If, as the Residential Landlords Association says—this is, I think, the point the hon. Gentleman is making—tenancies are already on average longer than three years, what is the problem with ensuring that that is the case? Good practice suggests that a good landlord wants to keep a tenant for a period of time; that gives stability and continuity, and there are no breaks in tenancy and no additional fees involved. But not all landlords are good landlords, and some are playing this lottery game where they think they can get more money. Unfortunately, we have even had the spectacle of local authorities outbidding each other for tenancies, so desperate are they in this regard. All the hon. Gentleman’s intervention illustrates is how modest and reasonable this proposal is. When the Minister replies, he might want to say what the Government’s thinking on this matter is at the moment.

This is an issue in itself. It is not just an issue about homelessness, but these specific new clauses relate to the risk of homelessness and state that we would achieve the purposes of this Bill—put less pressure on local authorities, and have less need to prevent homelessness—if some landlords were not acting in the manner that they are. That is the purpose of the new clauses. I think they are quite reasonable. I appreciate that, given the time constraints, unless the Government suddenly decide to accept them this morning, it is unlikely that we are going to make progress on them in the course of this Bill, but we will return to this subject time and again until it is resolved.

Rosena Allin-Khan Portrait Dr Rosena Allin-Khan (Tooting) (Lab)
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There is an extremely high rate of homelessness in Tooting among those aged over 60. I know that Wandsworth Council battles with this greatly day in, day out. Do you agree that it is absolutely unacceptable that we are failing the older members of our society, and that people over 60 need to be taken into account?

Rosena Allin-Khan Portrait Dr Allin-Khan
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Does my hon. Friend agree that it is absolutely outrageous that residents aged 60 and over have to suffer in this way and that he must do all he can to ensure the Government address this issue?

Andy Slaughter Portrait Andy Slaughter
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Absolutely, and I know that you, Madam Deputy Speaker, also care about homelessness in Tooting. What my hon. Friend illustrates is that we are in new territory. Even though there were big problems, particularly in the private rented sector, 20 or 30 years ago, I doubt that we would then have been talking about homelessness among people of pensionable age. It illustrates how deep this goes in society now that we are worried not just about groups that were at risk in the days of “Cathy Come Home”, but about people who are at a time in their life when they deserve, and should have, stability and security.

I am not keeping to my promise, Madam Deputy Speaker, so I will conclude now, but let me just say this. Yes, new clauses 2 and 3 illustrate a clear point, but this is only part of the problem. Alongside that is the issue of housing supply and the terrible record, I am afraid to say, that this Government have on genuinely affordable housing, on allowing councils to build and ensuring that there is specialist housing.

Andy Slaughter Portrait Andy Slaughter
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Can the Minister not make the point in his own comments? [Interruption.] Very well, I will give way if he wants to intervene.

Marcus Jones Portrait Mr Jones
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I thank the hon. Gentleman for his forbearance in taking my intervention. Does he not welcome the record amount of £3.15 billion that this Government are providing to the Greater London Authority to provide affordable housing in London, which has been welcomed by the London Mayor?

Andy Slaughter Portrait Andy Slaughter
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As the shadow London Minister, I welcome everything the London Mayor welcomes. I do not want us to go off on a tangent, but I will just say that we were beginning to make progress; we were beginning to make progress towards the end of the last Labour Government, and the best illustration of that is that under the coalition Government eight out of 10 council homes completed were started under the previous Labour Government. I do not mind the Minister taking credit and talking about the building of additional affordable and social homes, but his Government need to have their own record, not leach off ours.

Karen Buck Portrait Ms Karen Buck (Westminster North) (Lab)
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Will my hon. Friend give way?

Andy Slaughter Portrait Andy Slaughter
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For the last time, I will.

Karen Buck Portrait Ms Buck
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I am extremely grateful. While we are on this topic, is my hon. Friend also aware that the Chartered Institute of Housing estimates that 250,000 social homes will be lost as a result of right to buy and other measures between now and 2020, so whatever assurances the Government are giving us about the construction of new affordable housing, they are the equivalent of turning on the taps while leaving the plug out?

Andy Slaughter Portrait Andy Slaughter
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Absolutely, and when I mentioned the quality of members on the Committee from my side, I was of course particularly thinking of my hon. Friend—as well as the Chair of the Select Committee, my hon. Friend the Member for Sheffield South East, and my other hon. Friends on the Committee. I am afraid that they put my feeble efforts to shame, but there it is.

My hon. Friend the Member for Westminster North (Ms Buck) is absolutely right. We have a crisis in housing supply, we have a crisis in the private rented sector, and we also have—which the Government are directly responsible for through the benefit caps, the freezing of local housing allowance, and the cuts in Supporting People—a manufactured homelessness crisis which we are now seeing reflected in the figures I quoted earlier.

I pay tribute to the Minister for the work he has done on this Bill, as well as to the sponsor, the hon. Member for Harrow East (Bob Blackman), and the sincere comments made by Conservative Back Benchers during the course of this Bill, but they cannot put their heads in the sand and look at this Bill in isolation from everything else that is happening—and when they have looked at that, they have to change their policy. I am sure we are going to get the housing White Paper, possibly even this year, but when it comes, we will be looking for those matters to be dealt with, and that is the purpose of these new clauses. Their purpose is to make sure that this Bill functions and that Government policy as a whole functions in relation to homelessness. That is why I would like to hear from the Minister, if not warm support and acceptance of the new clauses, at least what he intends to do in relation to them.

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Marcus Jones Portrait Mr Jones
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I agree with my hon. Friend. Layering more regulation on to residential landlords will have the net effect of reducing supply. Many of our constituents rely on renting private properties, so we need to be very careful that the balance is right.

Finally, if new clause 3 is enacted, it will introduce rent controls in the private rented sector by compelling landlords to limit rent rises to no more than once a year and by no more than inflation in cases where there is a risk of the tenant becoming homeless as a result of a rent rise. Although I understand the spirit in which this amendment has been tabled, introducing rent controls is fundamentally the wrong approach and is not borne out by evidence. Experience from Britain and around the world shows that rent controls lead to fewer properties on the market and less choice for tenants. Returning to the situation in the 1980s when the private rented sector was in decline will not help landlords or tenants.

The key to improving affordability and choice for tenants is to build more homes rather than impose rent controls. Our build-to-rent fund has now contracted investment worth £630 million to deliver more than 5,600 high-quality homes specifically for private rent. Our £3.5 billion private rented sector housing guarantee scheme will increase the stream of investment in new private rented sector housing.

We have also established the private rented sector affordability and security working group to explore options to reduce the cost for tenants who access and move within the sector. This group is expected to submit its report to Ministers next month.

I therefore urge the House to agree that new clause 3 is not desirable, and, given the commitment I have made to Opposition Front Benchers, I hope that new clauses 1, 2 and 3 will now be withdrawn.

Andy Slaughter Portrait Andy Slaughter
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I thank everyone who has spoken in this debate. I appreciate all the comments that have been made. I particularly thank my right hon. Friend the Member for Leigh (Andy Burnham) for speaking so passionately about the situation in Manchester and the issues of rough sleeping, reminding us that these problems go around the country.

I said in my opening remarks that I would not press new clauses 2 and 3 to a vote, and that is still the case. Their purpose was to try to elicit some positive comments from the Minister, but I think I have failed in that respect. We will return to those matters at an early date. Eviction by private sector landlords is the single greatest immediate cause of homelessness, and it does need to be tackled. We are living not in the world of 1988, but in a very different and less stable climate. I was disappointed by the Minister’s rather wholesale rejection of that issue today, but I hope that we will return to it on a future occasion.

On a more positive note, I said that I hoped not to press new clause 1 to a vote. I am greatly encouraged by what the Minister said, and I thank him both for entering into the spirit of the discussion and the specific words he used. He gave us the comfort that we were looking for in relation to a proper, timely and comprehensive review of the finances behind the Bill. I am particularly pleased that he said that the Chair of the Communities and Local Government Committee, my hon. Friend the Member for Sheffield South East (Mr Betts), and the Select Committee itself will be engaged in that process as well as local government. That is extremely helpful, especially given the time pressures we are under to get these matters sorted out here rather than in the other place. I am sure that the other place will be watching and listening to what the Minister and I have said. On that basis, I beg to ask leave to withdraw the new clause.

Clause, by leave, withdrawn.



Clause 4

Duty in cases of threatened homelessness

Marcus Jones Portrait Mr Marcus Jones
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I beg to move amendment 1, page 5, line 32, at end insert—

“( ) But the authority may not give notice to the applicant under subsection (5) on the basis that the circumstances in subsection (7)(b) apply if a valid notice has been given to the applicant under section 21 of the Housing Act 1988 (orders for possession on expiry or termination of assured shorthold tenancy) that—

(a) will expire within 56 days or has expired, and

(b) is in respect of the only accommodation that is available for the applicant’s occupation.”

This amendment prevents a local housing authority from bringing the duty in section 195(2) of the Housing Act 1996 (inserted by clause 4) to an end after 56 days if the applicant has been given a notice under section 21 of the Housing Act 1988 that has expired or will within 56 days expire and which is in respect of the only accommodation that is available for the applicant’s occupation.

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Marcus Jones Portrait Mr Jones
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My hon. Friend has been a diligent member of the Bill Committee, and I thank him for his intervention. He is correct: the Bill provides for a final written warning. Obviously, we want to make sure that people have an incentive to do the right thing and accept an offer of suitable accommodation, but we also need to consider people who present challenges and need a final warning, in some circumstances, to make them think again and take up the offer the local authority has made.

Amendments 3 and 5 insert helpful signposts into clauses 4 and 5 to ensure that they are appropriately cross-referenced with clause 7. Specifically, they insert references to the provisions in clause 7 about ending the prevention and relief duties when an applicant has deliberately and unreasonably refused to co-operate, and to the provisions about ending the relief duty when an applicant has refused a final accommodation offer or a final part 6 offer. That simply means that the ways in which the prevention and relief duties can be ended are easier to see and understand for those reading the clauses.

Amendment 8, along with amendments 6 and 7, deal with the provision of interim accommodation while a local housing authority is helping an applicant to secure accommodation under clause 5. Amendment 6 sets out that, if a local housing authority has reason to believe that an applicant may be homeless, eligible for assistance and in priority need, it must secure interim accommodation. It also sets out how that duty comes to an end.

In cases where the local housing authority has concluded its inquiries under the homelessness legislation and decides that the applicant does not have a priority need, the duty comes to an end in two circumstances: first, if the local housing authority notifies the applicant that the relief duty is not owed; and secondly, if the local housing authority notifies the applicant that, once the relief duty ends, they will not be owed any further duty to accommodate.

Amendment 7 is a technical amendment to the Housing Act 1996 required as a result of amendments 6 and 8. Where an applicant has been provided with interim accommodation and refuses a final offer, they may request a review of the suitability of that offer. Amendment 8 ensures that the duty to secure interim accommodation continues until any review has been concluded and the decision has been notified to the applicant.

Finally in this group, I turn to amendment 9. The duties to applicants under clauses 4 and 5—the prevention and relief duties—are to help the applicant to secure accommodation. In some cases, this will entail the local housing authority securing this accommodation directly, rather than helping the applicant by, for example, providing a deposit guarantee. Amendment 9 provides that, where that is the case, the provisions of sections 206 to 209 of the Housing Act 1996 apply in the same way they would if the local housing authority secured accommodation under the main homelessness duty.

Those sections contain various provisions about how a local housing authority’s housing functions are to be discharged—for example, about how authorities may secure that accommodation is available and how they can require an applicant to pay a reasonable charge for the accommodation. Provisions also cover the requirements relating to placements in and out of district, including notifications to the hosting local housing authority.

I will leave it at that on amendments 1 to 9. I hope that the House will look favourably on them, in the spirit in which proceedings on the Bill have been conducted, and support them.

Andy Slaughter Portrait Andy Slaughter
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I must say that, after the 14 hours and seven sittings in Committee that we have heard about, I was somewhat alarmed when the Government tabled 21 amendments on over six pages last week. I have to say that, on my first reading of them, I was not much the wiser as to what was happening. However, one perseveres, as one always does with legislation.

I must say two things. First, I do appreciate the difficulties the Minister and the promoter have had in squaring the circle so that local government, landlords and homelessness charities are all happy about the way the Bill works, rather than about the principles of the Bill, which I think have been agreed. I am also grateful to the Minister for giving us time with his officials to go through in some detail the implication of the amendments and why they are necessary, and I think I speak for my hon. Friends in saying that. It is regrettable that things could not have been done differently, but we are where we are, and the Opposition regard these amendments and the next set, which we will come to in due course, as either necessary or improving of the Bill, so we will not oppose any of them today, and I can be fairly brief in responding.

I have only two concerns to raise. I think we have all struggled with clause 1. When you start debating clause 1 in the sixth session of a Committee, you know that something is awry. There have been real difficulties with getting this operative clause of the Bill correct, and it is still not perfect. Much of the original clause 1 had to be omitted because it created more problems than it resolved. The key point—about extending the duty from 28 to 56 days —is still there, but there are concerns that, notwithstanding that, and notwithstanding the further amendments before us, which will extend that duty beyond the 56 days where necessary, local authorities will be able to continue to drag their feet in some cases. However, everything that has been said on all sides, and the refinements before us, which add to what is in clause 1, certainly show that the spirit of the Bill—I hope the same is true of the letter of the Bill when we come to the codes of guidance—really does require all local authorities to act at an early stage and to deal, particularly in the case of section 21 notices, with homelessness and threatened homelessness at an early stage.

The other point—the Minister may address this when we deal with the subsequent provisions—is what additional costs there are likely to be. There will undoubtedly be cost implications in relation to continuing prevention assistance beyond 56 days and—this is quite proper—to being clear about when interim duties come to an end and continuing them while reviews continue. I would like to hear from the Government not only whether those costs will be fully funded but whether the funds have been calculated. Will we hear about that today? We certainly need to before the Bill leaves both Houses. However, with those two caveats, I can be commendably brief and end my comments there.

Bob Blackman Portrait Bob Blackman
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I am pleased to support these amendments and to follow the hon. Member for Hammersmith (Andy Slaughter).

It is fair to say that the amendments have been some time in coming. I commend my hon. Friend the Minister, his officials, the homelessness charities and the landlord associations on assisting us in reaching an appropriate compromise. The hon. Member for Hammersmith pointed out that clause 1 was debated some way into the Committee sittings, as, indeed, was clause 7. By that time, we had passed clauses 4, 5 and 6, and these amendments relate to those clauses.

Clearly, the amendments we made to clause 1 in Committee had consequential impacts, which needed to be reflected in clauses 4, 5 and 6. Those clauses refer to the duty in cases of threatened homelessness, the duties owed to those who are homeless and the duties to help to secure accommodation. So the amendments before us are largely technical and follow up the changes made by the Bill Committee.

The most important aspect of this is that the prevention duty cannot end after 56 days with the individual or family still sitting in their home facing eviction under a section 21 notice under the Housing Act 1988, and with nowhere else to go.

Clause 1 of the original draft Bill was substantially changed before Second Reading, after pre-legislative scrutiny, and was substantially changed again in Committee. That had a consequential, knock-on effect on the other clauses in the Bill, and that is why the amendments are essential.

We have now got to a position with these clauses where we can help to make sure that local housing authorities act at an early stage. We do not want—I think this is true right across the House—a single individual or family to be told by their local housing authority, “Yes, you may be threatened with homelessness. Go back to your home, stay put and wait until the court action follows and the bailiffs arrive.” That is completely against the spirit of the Bill and is against what everyone wants to see. If we get to a point where landlords are taking tenants to court, gaining possession orders and getting bailiffs and county court judgments against tenants, those tenants, who will then be evicted and face huge costs, will be extremely unlikely to get accommodation in the private rented sector ever again.

In correcting this position, we have to end the bad practice followed by some local authorities—by no means all—of telling tenants to go back and stay put. It is important, above all else, that individuals who are faced with homelessness can get help and advice from the word go, once they approach the local housing authority. The clarifications proposed by my hon. Friend the Minister ensure that the local authority is not allowed to end its duty on reaching the technical position where the 56 days has expired. That is a very positive move.

The rest of the amendments in this group reflect the changes that we made to clause 7 in Committee. Once again, they ensure that protections are in place for applicants.

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Andy Slaughter Portrait Andy Slaughter
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The purpose of the amendments is to clarify and give certainty, where required, to certain provisions in the Bill and, in some cases, to correct drafting or extend the ambit of clauses. We have no problem with any of the amendments, and I am pleased to say, having just reread the briefing from the local government and charities sides, that although one side supports them more than the other, as one would expect, both agree that they should go forward as a package.

Amendment 10 makes it clear when the interim duty comes to an end, about which the LGA and others have been anxious for certainty. Amendments 20 and 21, which the Minister just referred to, were particularly called for by Shelter and in Committee by my hon. Friend the Member for Westminster North (Ms Buck), who led for the Opposition on that part of the Bill. I am pleased the Government have tabled the amendments because they address a key point by providing that all priority need households be included, rather than just those that are vulnerable, which clears up an important omission. One side, in particular, favoured the amendments, but all sides are at least content with them.

Another thing the amendments, particularly amendments 10, 20 and 21, have in common is that they incur costs. The Minister said, slightly coyly, that when the amendments passed, he would return to the matter of costs. I hope that means on Third Reading, because, from what I have heard, I assume the amendments will pass in a few moments. The costs will not be negligible. Obviously, he goes into this with his eyes open, but it would be helpful if we had an update today or at least were told when we will have it. We need to be certain not only about what the Bill means—that it addresses the key points—but that it will be fully funded.

With those comments, I need not prolong the debate, because we have gone through the amendments with the Minister and the officials, and I think we have a pretty keen understanding of why they are necessary and should form part of the Bill.

Bob Blackman Portrait Bob Blackman
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I am delighted to rise for the last time on Report in support of a group of amendments. My hon. Friend the Minister introduced them at length, so I will keep my remarks to the pertinent points. I thank him and the officials for all their work in getting us to the point of these detailed amendments. I am sure that all would agree that it has been a long and almost tortuous journey to identify the different issues with clause 7, but we have worked patiently and appropriately with the LGA, Crisis and, in particular, Shelter to resolve the issues such that everyone now supports the amended clause 7, as the hon. Member for Hammersmith (Andy Slaughter) pointed out.

As I said earlier, we did not want a change in the law to put priority-need families in an even worse position than they were already in. We wanted to enable single homeless people, and others who were not currently owed a statutory duty, to be given help and advice and an offer of suitable accommodation. At present, that accommodation will almost certainly be in the private sector, but it is up to local authorities to establish whether they can find a social rented property to provide for such people.

I particularly welcome amendments 20 and 21. As we heard from the Minister, in Committee there were representations—not least from the hon. Member for Westminster North (Ms Buck), who kicked off on the issue—about the scope of what is now clause 12 in relation to the suitability of offers in the private sector. Ideally, local authorities would inspect and approve every single offer to every potential tenant, but during the pre-legislative scrutiny of the draft Bill we decided that the cost to them would be beyond what was reasonable. We therefore focused on priority need, and, indeed, vulnerable people. I am delighted that the Minister has found a way of extending the provision to all those people, not least pregnant women.

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Andy Slaughter Portrait Andy Slaughter
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I begin where the hon. Member for Harrow East (Bob Blackman), the Bill’s promoter, finished by wishing the Bill every success in completing its passage as it leaves for the other place. I also echo some of his thanks. I thank him for putting extraordinary effort into the Bill. I do not know how long he intends to stay in the House, but I suspect that, whenever he departs, the Bill will be one of the things about which he is most proud—it will be a lasting testament to his work—and I am sure that many of us envy him. Such praise is well deserved because he has had to put time and effort in the Bill. I suspect that he now thinks it was all worth it, but I bet there were times when he doubted that.

Obviously the Bill would not be where it is without the support of the Government, which should be acknowledged, as well as that from the official Opposition and others. The Minister has been particularly assiduous in pushing through the Bill. Although he may or may not reveal this in his speech, he has had difficulty with his colleagues in other Departments. The hon. Member for Harrow East will recognise the Minister’s personal devotion to the Bill, which he will count a success.

I extend my thanks to all Members on both sides of the House who have been involved. I particularly thank the Labour members of the Committee who are sitting behind me: my hon. Friends the Members for Dulwich and West Norwood (Helen Hayes), for Sheffield South East (Mr Betts), for Westminster North (Ms Buck) and for City of Chester (Christian Matheson). They shared the burden with me in Committee and brought their considerable expertise to our proceedings. I am sure that the Minister and the Bill’s promoter would say the same of Government Members. It has been a good session.

We must also acknowledge the various interest groups involved, not only because they stood up strongly for their interests, but because, in the end, they wanted the Bill to succeed. They include the landlords and charities, but we should not forget local government, because it is local government that will have to execute the provisions of the Bill and on which its burdens fall. It knows more than anybody else the difficulties in dealing with homelessness, given the levels of funding and demand. The officers and councillors who are at the sharp end deserve our thanks. Some do fail—a number of authorities have lamentable records—but many do their very best under difficult circumstances. That is true of my own council and, I am sure, of many others.

The Bill has been a collective effort, and my final mention is to the Communities and Local Government Committee. Its work has formed the bedrock of the Bill and the basis on which it can go forward.

As the hon. Member for Harrow East said, our proceedings have been something of a template for the way in which complex private Member’s Bills can go forward. I, like him, hope that it can be a precedent for a change to just not just the House’s procedures, but the way in which the Government approach private Member’s Bills, It might change the way in which some of our colleagues approach such Bills, but perhaps that is a matter for another day.

As we have discussed the Bill for so long, it is quite easy to gloss over what it does. It does several fundamental things, such as introducing the prevention duty. Although, as we have heard, that is nothing new—the previous Labour Government encouraged that approach through legislation, and it is also encouraged by best practice in local government—the Bill puts the matter clearly and firmly into statute. That is a major change to the way in which homelessness is addressed.

The Bill also extends the relief duty to anybody who is homeless. Although the assistance to be given to those who are non-priority homeless cannot, for reasons of resources, be as comprehensive as it is for those who are priority homeless, that is, again, a significant change.

Let us not forget the duty to co-operate, about which we have had quite an extensive discussion. Perhaps the co-operation that will be required does not go as far as some of us would have liked—my hon. Friend the Member for Sheffield South East moved an amendment relating to that in Committee—but local authorities cannot avoid their responsibilities. We know that the homelessness sector and the charities have been working to perfect the way in which they deal with the complex needs of homeless people. Sometimes other institutions do a good job—those in the health service or probation, for example—but we really need everyone to step up to the plate. I am pleased that the duty to co-operate is in the Bill, but I hope we hear more about it as the codes are developed.

With the current pressures on the public sector, it is easy for people to say that these things are just too difficult. The reality is that a number of homeless people have been in mental health units or have just come out of prison. They need assistance, and that cannot come only from homelessness charities and local government. Everybody has to do their bit.

For those three reasons, among others, the Bill is a significant piece of legislation. I will not repeat what I said in the previous debate about what remains to be done, but let me mention just two things. First, when the White Paper is published, I would like to see in chapter 1 a commitment from the Government that is the same as that given by my right hon. Friend the Member for Wentworth and Dearne (John Healey) before Christmas on behalf of a future Labour Government: rough sleeping will be eliminated over a single Parliament. Earlier this week, we saw shocking figures showing that 4,134 people are sleeping rough in England. That is a 16% increase on the previous year, and a 134% increase since 2010. I could not have agreed more with the hon. Member for Harrow East when he said that one person in that situation is one too many, but 4,134 is a national disgrace. Nevertheless, it is a figure that we can manage.

Many other aspects of homelessness are getting much worse over time. Statutorily homeless households have increased by almost 50% since 2010, with the number now standing at just under 60,000. That is a huge problem, and while the difficulties with housing conditions such as overcrowding all need to be tackled, the first step has to be dealing with rough sleeping and the street homeless. I would love to hear from the Minister today that that will happen, but I will look particularly at whether the issue is addressed in the White Paper. I would not say that that would silence us—we will never quite be silenced—but it would be an effective way of dealing with the points that have been made throughout the passage of the Bill when we have said, “Yes, legislation is great and yes, this Bill does some great things, but in itself it is not going to build one more house or house one more person—it is words on a piece of paper.”

I plead with the Minister to do what I have said. I praise the initiative of the shadow Secretary of State, my right hon. Friend the Member for Wentworth and Dearne, in taking the lead, but he will be the first person to say congratulations if the Government go ahead with this.

There are so many aspects of the problem that need to be dealt with to start to tackle homelessness that we could think that it is all just too much. I was impressed by the briefing that Shelter sent to us, which highlighted two aspects. It said:

“we consider it inevitable that, to be able to help people under the new duties, councils with significant levels of existing homelessness will require not only additional resources but, more importantly, an adequate supply of accessible, affordable and suitable homes in the social or private rented sectors.”

That is self-evidently true. The two things that are at the top of Shelter’s wish list are:

“Reverse the freeze on Local Housing Allowance rates”;

and an

“indefinite suspension of the forced sale of high value council homes in areas with high levels of homelessness”.

Neither of those is going to solve the problem, and they might not even be the most effective steps that could be taken, but they are the two most obvious ways in which the Government are actively making the situation worse. It is very difficult to accept the Government’s wholehearted support for the Bill when at the same time they are pushing those measures through.

I say that with clear personal knowledge from my own constituency, where, when a Conservative council was in charge for eight years, social homes were regularly sold when they became vacant. Several hundred individual homes were simply sold off at market rates rather than being used to rehouse homeless families. That has created devastating problems, the consequences of which we are still suffering. If we see that replicated on a grand scale throughout the country through the sale of high-value council homes—in my borough it would mean, over time, 50% of council homes being sold off—the homelessness situation is going to become far worse.

Local housing allowance rates are utterly distorting local housing markets and leading to what the Minister, the hon. Member for Harrow East and others have said today that they do not want to see: people being forced out of central London—and out of London and the south-east altogether—and separated entirely from their support networks, their families, their children’s schools and sometimes their jobs.

I am beginning to see another disturbing trend that I hoped never to see recurring. I shall refer to a case that I dealt with in my surgery only last week. Landlords are letting properties at rates that are just within local housing allowances, but they are doing so by letting properties that are unsafe and degrading, with no proper electricity and in danger of collapse. I never thought that I would see those housing conditions in this country.

The Government have to come to terms with the effects that their policies have on individual families living in the private rented sector. I beg them to look again at the freeze on the local housing allowance rate, because it is having a severely detrimental effect on thousands of families around the country.

We wish this good Bill well as it goes through its stages in the other place. We will do what we can to assist to ensure that it is enacted. I still look forward to the Minister’s comments about the extra funding, and I know that people in council finance departments all around the country are hanging on his every word about that. Let us celebrate the Bill today, but let us also be aware of how much we need to do if we are to tackle one of the worst crises in homelessness that we have experienced, certainly in my political lifetime, and one of the worst blights on our society.