Supported Housing (Regulatory Oversight) Bill

Bob Blackman Excerpts

2nd reading
Friday 18th November 2022 Commons Chamber

[Bob Blackman (Harrow East) (Con)]

I beg to move, That the Bill be now read a Second time.

The private Member’s Bill process, and the ballot at the start of every Session of Parliament, gives all of us the opportunity to apply to champion a cause that we believe will make a real difference to society. Whenever I have been asked about my proudest moment as the Member of Parliament for Harrow East, I have always answered that it was my previous private Member’s Bill, which became the Homelessness Reduction Act 2017. I hope that very soon I will be able to refresh my answer to incorporate the Supported Housing (Regulatory Oversight) Bill. When I was drawn at No. 2 in the 2016 private Member’s Bill ballot, I thought my luck had concluded. Members can imagine my surprise, therefore, when earlier this year my phone blew up again with every charity and good cause trying to get through to champion their proposals. I knew that I had to draft a Bill that would develop the attainments of the Homelessness Reduction Act and simultaneously make a positive difference to vulnerable people’s lives.

The HRA focused on preventing people from becoming homeless and introduced the most comprehensive changes to the rights of homeless people in England for over 39 years. Fundamentally, its purpose is to ensure that everyone who is at risk of homelessness or is currently homeless is legally entitled to meaningful help from their local authority, regardless of their current status. Previously, only those who were deemed in priority need and at crisis point had been entitled to assistance from local authorities; this excluded the majority of people, including almost all of those who were single.

The Act also addressed the significant lack of meaningful advice and assistance. More often than not—in the majority of cases—the advice and assistance provided was not tailored to the individual’s needs and requirements. The Act implemented a duty on public bodies to refer to the housing department any person they believe to be at risk of homelessness within 56 days. That has helped to direct appropriate and efficient support and resources to those in need, and to prevent them before it is too late from having to sleep rough. That 56-day deadline marks a significant extension: previously, only those at risk of homelessness in the following 28 days would potentially receive some guidance. The extension to 56 days has meant that people have a longer opportunity to relieve their situation.

I am pleased to say that in its first year of operation the Homelessness Reduction Act prevented 37,000 people from becoming homeless, and continues to be just as effective today, some six years later. In the first year, an additional 60,000 people who were previously ineligible for homelessness support were assisted in getting off the streets and into appropriate accommodation. That was a rise of almost 50% on the assistance prior to the Act’s implementation. As a side note, the Bill was notable for being the longest private Member’s Bill in history, at 13 clauses in length. In keeping with tradition, I can confirm that the Supported Housing (Regulatory Oversight) Bill with supersede that, at 14 clauses long.

Needless to say, I have put a lot of pressure on making my second private Member’s Bill a highly impactful and instrumental piece of legislation. I have maintained an active and invested interest in the housing and homelessness sector, chairing the all-party parliamentary group on ending homelessness, along with the hon. Member for Vauxhall (Florence Eshalomi), and having sat on the Levelling Up, Housing and Communities Committee—in its various forms—since 2010. It is therefore fitting that, having previously focused on preventing homelessness, I should focus on supporting those coming out of homelessness and going into supported accommodation. This Bill on social housing therefore became a reality as a natural extension of my previous Bill.

I have been made aware via our recent Select Committee investigation and report, which I shall come on to a bit later, that there was almost no research into the area of exempt accommodation and supported housing, and that it was absolutely rife with rogue cowboys taking advantage and exploiting vulnerable people. The Bill presents a felicitous opportunity to ensure that the Government intervene before the situation becomes critical for the majority of local authorities up and down the country.

Once I was satisfied that my private Member’s Bill would reform the provision for exempted accommodation, I began looking into the research previously obtained by both public and private bodies. It quickly became abundantly clear that, with the exception of studies commissioned by Birmingham City Council, there was next to nothing in the way of research or records, certainly not at national level, which highlights the urgent need for central Government to recognise the issues and commission more findings.

I am pleased that the recently published Select Committee report makes a very constructive and prodigious start at addressing that, and I commend the work of the Committee Clerks and advisers involved in compiling the report, together with my colleagues on the Select Committee. The report, as always, was agreed unanimously. That brings me to its findings. I begin by urging Members to consider reading this rather excellent tome, “Exempt Accommodation”, which is available in the Vote Office and all other good bookshops, so that they may learn of the absolute horrors that we unearthed that are currently being imposed on extremely vulnerable people. Having been on the Committee for some 12 years, I can confidently say that this specific piece of work truly shocked and alarmed all members of the Committee. I would like to make it clear at this point that there are a huge number of excellent organisations up and down the country that provide brilliant help for vulnerable people. Although we came across many good providers, the worst instances in the system urgently need addressing.

We came across the situation in Birmingham—I see at least one Member from Birmingham here today, the hon. Member for Birmingham, Ladywood (Shabana Mahmood)—whereby speculators buy two or three-bedroom houses for about £200,000; under permitted development rights, they expand by building to the sides, to the back and to the top of the house to the absolute maximum without requiring planning permission; they provide one small bathroom and one kitchen area, and create an eight-bedroom property from a two or three-bedroom bedroom; and they then charge an absolute fortune in rent, which is picked up by the public purse.

Worse still, the primary concern that arose was the abysmal level of care being categorised as “appropriate support”. The residents referred to such institutions are critically vulnerable, but have the potential to and are trying to rebuild their lives, including by embarking on the property market, despite at present not being entirely independent. They could be prison leavers, survivors of domestic abuse, those suffering from mental health conditions, previous rough sleepers, people recovering from drug or alcohol abuse—the list goes on. We know that these people might often share one thing in common, which is the need for support in rebuilding their lives, but it is regrettable that in many cases such people are lumped together in the same premises. I find it repugnant that a survivor of domestic abuse might be housed with a drug abuser as well as with a prison leaver who may have been convicted of sexual offences against women. In reality, there is no control over that whatsoever, and local authorities cannot control what happens.

[Mark Tami (Alyn and Deeside) (Lab)]

The hon. Gentleman is making a powerful case. I have come across an instance where the sorts of properties that he is talking about have the added problem that, in order to get around some of the regulations that would normally have to be complied with, people have to sign for a property as a holiday let.

[Bob Blackman]

One of the problems with exempt accommodation is that once it has become exempt, normal licensing rules on houses of multiple occupation, and other rules, go out the window. There is therefore no control whatsoever over what happens within that property. Frequently, the support that providers were supplying involved someone turning up once a week, completely unqualified, uninterested and frankly impetuous. Without asking, they enter the property, which has had every room converted into a small bedroom to maximise profits. They shout up the stairs, “Is everyone all right? Fine, I’ll see you next week,” and they depart 30 seconds later. That is not support in any sense of the word, and we need to call those people to account.

Other accounts we heard included those of landlords forcing tenants into prostitution and other illegal activity by threatening them with losing the roof over their heads and any future housing benefits. They also threaten tenants on the basis that, if someone leaves one of the properties, they will be classified as intentionally homeless and will not qualify for local authority support. Often, residents are encouraged not to enter the job market. We are trying to get people to rebuild their lives, but these rogue landlords try to prevent them from entering the job market. Even if tenants do so, it is for a maximum of 14 hours per week, making it almost impossible to save for the deposit needed to enter the private housing market.

[Sarah Jones (Croydon Central) (Lab)]

The hon. Gentleman is making a really good speech. When I visited Croydon jobcentre, I was told that support-exempt accommodation was the biggest problem faced, and that young people who could be working, doing things with their lives and be on the right path, were encouraged not to do so because the tapering off of support was so great that it made it impossible for them.

--- Later in debate ---

[Bob Blackman]

Clearly, one problem is that we do not know where all these properties are. We do not have the data right now. The hon. Lady will obviously know about Croydon, and we have concentrated on Birmingham. We know about Blackpool, Scarborough, Southwark, and certain other places in the country, but that just highlights that this issue is endemic across the country and why we need to take appropriate action.

Once a resident is working they may lose part of their housing benefit, and providers receive lower profits as a result, even though it is adequate to pay the rent. The conundrum therefore is that someone cannot afford a private rented property until they have a job, and they cannot get a job until they move into a property with affordable rent. That vicious cycle leaves nothing for those individuals to do during the day, and adds to increasing levels of antisocial behaviour resulting from inadequate exempt accommodation.

Exempt accommodation draws its name from its categorisation as exempt from locally set caps on housing benefit. That means that landlords can set sky-high rents, paid for out of taxpayers’ money, on the basis that they are offering adequate support. Where every room in a property is converted into a small bedroom, often properties would have with 60 or 70 bedrooms and a mere three bathrooms. Unscrupulous landlords have a licence to print money, making excessive profits by capitalising on loopholes in the market. In many cases, we were informed that there was more money in being a rogue provider than in illegal drug dealing. We are already seeing exempt accommodation abuse spreading across local authorities—I have mentioned Birmingham—and, without the Bill, it is only a matter of time before cases prevail in all areas of the country.

[Ben Everitt (Milton Keynes North) (Con)]

My hon. Friend may remember the evidence given to the Select Committee of a local authority in the south-east of England that had a case where a block allocated to exempt accommodation was sold and flipped overnight into an offshore property fund for hundreds of times the sale price. It is an absolute scam, and it is going international.

[Bob Blackman]

I thank my hon. Friend for that intervention. The example he cites is, of course, of millions of pounds. Not small amounts of money but millions of pounds are going offshore as a result of this issue.

Another common theme in the report was the neglect of interest in residents’ previous circumstances. We found, more often than not, that when domestic abuse survivors find their way into the hands of these rogue operators rather than specialist domestic abuse services, there is a real risk that they end up living in the same building as the perpetrator—literally the person who abused them in the first place. I am sure the whole House will agree that that is completely inappropriate and insensitive. Housing victims with potential abusers is hugely damaging and will have the reverse effect of the original intention of supported housing, which is, after all, to help people rebuild their lives.

If I may, I will share a short extract from the report on one tenant’s experience with a rogue provider. They say that their accommodation was

“managed by what could possibly be called gangsters, who would scare tenants at various times for various reasons, often for no reason. They were sometimes drunk and they were untrained for their roles. They were abusive, intimidating and preyed on the vulnerable…tenants were abused physically and mentally, but nothing was done.”

That quote is from someone who gave evidence to us and was a very brave individual to do so. The report goes on to cover the aforementioned issues in more detail and justifies the need for a Bill to regulate such scandalous plights.

I have already touched on the lack of data and documentation on providers, which is caused solely by the lack of regulation or previous acknowledgement of the issue. I therefore wish to explain how I found the relevant information needed to create a full picture in order to formulate the Bill. The journey began with multiple meetings with Crisis, which as we all know is a wonderful housing charity, to discuss its experience of working around exempt accommodation and those who have been subjected to harsh environments with inadequate support. It held a similar concern that it was a rapidly growing problem that until then was not receiving the political attention that it needed at national level.

The various Crisis skylights also enabled me to meet some brave and willing people with lived experience in such organisations. It was truly shocking to hear the impact that conditions had had on them and the further difficulties they had caused. That was disheartening, considering that those people had sought help and, in theory, the supported accommodation should have helped them back to normality rather than being a preventive barrier, as was the case. I am grateful to have met those people, who have been whistleblowers for the greater good. It takes a lot of courage to come forward, particularly when the providers know intimate details about them, which could easily be used against them by such manipulative bullies.

Understandably, many local authorities have taken a vested interest in the Bill throughout its journey. I have received many representations from local authorities up and down the country, which has enabled me to meet regularly with authorities from all over the country to discuss and address potential concerns arising from the sector and potential regulation. The consensus arising from those conversations was that the spiralling knock-on effects from merely one rogue provider in a district can be huge, whether from increased antisocial behaviour, prolonged claiming of housing benefit, or mental or physical health issues arising for residents.

I was saddened that, due to the dreaded conference cold, I was forced to miss the exempt accommodation conference held by Birmingham City Council in October. Colleagues have reliably informed me that it was an informative, eye-opening and productive series of discussions that has undoubtedly helped to align our goals and provide further weight to the case for a change in the law. Housing providers, and more widely housing representative boards, have engaged regularly on this issue through roundtables, private meetings and other such correspondence.

From the very beginning, I have been clear that one thing I did not want to bring about with the Bill was over-regulation or a negative impact on good providers. I have thus far concentrated on the dark side of exempt accommodation, but I am clear that we need to stress that that is not the only side. There are countless providers who do a really good job, offering high-calibre accommodation with attentive, benevolent care and providing vulnerable people with assistance. For some, they provide a helping hand to get residents back on their feet and live independently. For others with long-term needs, they provide a permanent supported home. They should also be able to carry on their good work with minimal implications from regulation and minimal additional costs. Having liaised with many representatives, interested parties and boards, we have collectively reached that intended objective.

There is also a third group: providers who entered the market without understanding what is expected of them, or providers whose services are not up to scratch but want to stay in the business and improve. We are committed to ensuring that they get the support they need to improve and develop their services.

Moving on to my parliamentary comrades, many Members, particularly those centred in the west midlands, have direct casework relating to the provision of exempt accommodation. Their views and perspectives have offered me an advantageous insight into the wider impact or consequences of supported housing from a greater perspective, and into what they believe are the most appropriate measures to combat such problems. I am humbled to see so many here today to support the Bill on Second Reading.

There is no doubt that we are all far too aware of the turbulent political climate in recent months leading up to this point. The Bill has outlived two Ministers and I am pleased to see two of them here today. Regrettably, my hon. Friend the Member for Walsall North is unable to be with us this morning, but I look forward to his support as we go forward. We are on the third Minister, who I welcome to her place on the Front Bench. I look forward to hearing her reply to the debate in due course. That has caused a number of setbacks as we have tried to ensure we have agreement with the Minister and officials, but, to a certain extent, it has been advantageous because have had three separate and hugely valuable contributions from Ministers.

[Sarah Jones]

rose—

[Bob Blackman]

I knew I would tempt someone.

[Sarah Jones]

No, I will ask a different question. I wonder if the hon. Gentleman has engaged with Minister in the Department for Work and Pensions on the cost of housing benefit for supported exempt accommodation. Do we have any sense of the scale of what is being paid out, quite often to rogue landlords?

[Bob Blackman]

I thank the hon. Member for that contribution. We have indeed engaged with DWP Ministers. We believe, and it is mentioned in the report, that literally millions of pounds could be saved by preventing rogue landlords from getting away with what they are getting away with. However, the data does not exist. One issue she may be aware of is that covering more than one Government Department when one is presenting a private Member’s Bill is a big risk, to put it mildly, but she is absolutely right that we need to look at that issue. We believe there is a huge amount of money to be saved for the public purse, which could then be directed to help those vulnerable people in the first place.

Let me begin with my hon. Friend the Member for Walsall North, who is extremely well versed in this topic. He has a background in local government, worked for an accommodation provider—a charity—and was chairman of the Walsall Housing Group, so it was a pleasure to meet him on multiple occasions to discuss the initial plans. Although we did not always agree, he gave constructive feedback on what needed to be done.

Moving on to my right hon. Friend the Member for Pendle, his vastly impressive portfolio in various ministerial positions provided favourable advice on ensuring that the Bill was appropriate for Government support and encompassed the necessary points to help secure success and, in turn, Royal Assent. I hope that, with such support, that will be true of my Bill.

I warmly welcome the most recent Minister, my hon. Friend the Member for Kensington. She has only recently come into post, but I thank her for her efficiency and productive inputs on a host of matters relating to the publication of the Bill and to get us to this point today—lastminute.com is certainly in order here.

I will briefly explain the Bill’s intentions and clauses. Clause 1 provides for a supported housing advisory panel. That requires the Secretary of State to set up a panel of representatives from across the entirety of the supported housing sector. That may include, but is not limited to: registered providers, local authorities, social services, charities and residents of supported housing organisations. The panel will have an independently appointed chair, who will be expected to provide advice, counsel and guidance on matters directed by the Secretary of State. Panel members are appointed for a five-year term and may be elected for a maximum of two terms.

The Bill then moves on to local housing strategies to combat unscrupulous providers. Local housing authorities, including lower-tier councils, unitaries, metropolitans and London boroughs, will be required to review all examples of supported housing in their district and to publish a strategy every five years. That review should include a needs assessment and the consideration of future availability. The Bill entitles social services to co-operate with such reviews and have involvement in the future strategy. I hope that requirement will address the significant lack of data on the whole sector and help to shape future developments in the area. We should remember that there are often two contracts in place: one for the rent and one for support for residents who need help.

The Secretary of State may seek to publish a set of nationally supported housing standards that lay down minimum standards on accommodation and care support supervision. Those must be kept under constant review as circumstances regularly change, as happened during the recent pandemic, for example. Following meetings with the Minister and officials from her Department, I positively anticipate that the Government will choose to exercise this power because it builds on the previous commitment in the March 2022 statement to introduce nationally supported housing standards. Those standards will help us to get to grips with the third group of providers I mentioned: those that are not up to scratch at the moment but are ready to improve. As I said, for most reputable providers those standards should reflect what they already do and should not pose them a concern.

That brings me to the clauses on licensing regulations. The Secretary of State may make regulations on which accommodation, as defined in clause 12(2), has to be licensed. There is no binding time constraint on the Government to make the regulations in the Bill, and it is fair to say that there has been detailed discussion of that.

[Matthew Pennycook (Greenwich and Woolwich) (Lab)]

One is struck, on reading the Bill, by how many times the word “may” is used rather than “must”. I wonder whether the hon. Member could perhaps give us a sense of why that particular wording was chosen for clauses 4 and 3, to which he has previously referred.

[Bob Blackman]

We are seeking to have a number of permissive clauses in the Bill, so that if the things that have to be done are done and they work, and we drive the rogue providers out of the market, we will not need to initiate the other measures. However, I was keen to make sure we got the hooks in the primary legislation whereby the Secretary of State could then enhance with what is needed, so that we get to the point of controlling the supported housing providers in the way that we would envisage. It has been a matter of discussion between myself and Ministers and officials to get to this point; in the original draft we were seeking to do that immediately, but we took the spirit of compromise. I am looking forward to our reaching that position, and one provision in the Bill is that if after a year no regulations are published, the Secretary of State must release a progress report and report to the House.

I also welcome the Minister’s commitment in the House this morning to deliver a licensing scheme within 18 months of commencement, and I trust that she will confirm that commitment when she responds to the debate. Regulations must include provisions giving councils the power to set up licensing accordingly. That may include a further provision that requires local authorities to set up a scheme if provisions in the regulations are met.

The regulations mentioned up to this point must have the approval, by a resolution, of both Houses. I am clear that we do not wish to impose a requirement on every local authority to set up a licensing scheme, as that may not be required immediately everywhere. The Bill therefore allows for a further provision about refusal of licences should the applicant not pass a fit and proper person test. The licensees will not be subject to other forms of licensing under the 2004 Act, and the housing benefit regulations—this picks up on the intervention from the hon. Member for Croydon Central (Sarah Jones)—can be amended to remove or restrict entitlement. It further allows for licensing regulations to amend, repeal or revoke any enactment, should it be necessary. I make it clear that the expectation is that if providers fail to reach the standards required, their ability to change enhanced housing benefit will be withdrawn.

Let me move on to the consultation clause of the Bill, which stipulates that the Secretary of State must consult a list of statutory consultees about matters raised in regard to licensing. He or she may wish to ask for views on:

“whether the proposed regulations are likely to be an effective means of securing that National Supported Housing Standards are met, and

(b) any additional mechanisms for securing compliance”.

The current statutory consultees include the Local Government Association, the National Housing Federation and the Regulator for Social Housing. Local authorities have an obligation to have regard to the national standards and the advice or guidance issued by the Secretary of State whenever they carry out their duties regarding supported housing matters.

Let me turn to planning matters, where the Secretary of State must review the licensing regulations and, in the light of the review, consider the case for specifying exempt accommodation as a separate use class, referencing the Town And Country Planning Act 1990. In my view, there should be a requirement that providers need planning permission for a change of use, as per the Select Committee report recommendations. However, I have accepted the position that we will allow the Secretary of State to determine whether that is necessary going forward.

During the drafting phase of the Bill, the intentionality clause—this is about those who would be classified as “intentionally homeless”—caused much discussion. I was keen, having seen things at first hand with the Select Committee on the visits we made to Birmingham, that if someone is in inadequate accommodation and they take the brave leap to leave the often dangerous and compromised situation they find themselves in, they should not be found intentionally homeless. Therefore, section 191 of the Housing Act 1996 is amended so that should the departed accommodation or support be below the national standards, no intentional homelessness will be caused. Many authorities are already looking at trying to make that change, because of the scandal of these rogue landlords.

Finally the Bill addresses the sharing of information and consequent use of specified information. It enables the Secretary of State to make regulations regarding data sharing between local authorities, registered providers, regulators of social housing and the Secretary of State. Further, it allows for local authorities to use information obtained under the housing benefit or council tax functions for the exercise of its functions under the Act. This is a particularly difficult area. For example, victims of domestic abuse need their whereabouts to be kept confidential, especially from historically abusive partners. This is a particularly difficult area, but victims of domestic abuse need their whereabouts to be kept confidential, especially from historically abusive partners. Others in vulnerable positions also need confidentiality to be maintained.

Although I have briefly touched on some of these issues, I intend to cover a few possible objections to the Bill and refute them—it is always good to anticipate what people may think of raising. Understandably, the concern that good providers, particularly those of a much smaller size, will face a considerable burden and be forced out of the field was prevalent in discussions on the Bill. The worry was that, through the implementation of further regulation, the financial cost would be so great that it would not be viable for them to continue practising. Another worry was that they may have to restructure their entire business model to suffice the new regulations again, creating costs and a considerable amount of restructuring work.

A further such concern, which was highlighted throughout the research meeting for the Bill, was raised by local authorities. They were concerned that, while the scheme would be beneficial and necessary for districts where there are many providers in operation, it would be cost-ineffective for local authorities where the district contains, for example, only a single provider, which may be operating with very good intentions and providing an appropriate and respectful service. Building on that, there were discussions that the scheme would be costly for local authorities regardless of the number of providers. These costs would cover implementation, the establishment of regulation, administration recourses, and procedural measures for providers that do not comply with licensing standards as set out by the Secretary of State.

Additionally, a threat to the Bill was that, if appropriate personnel from relevant bodies could not be persuaded to join the newly established supported housing advisory panel, it would lack invested advice and appropriate scrutiny. The Secretary of State is, undoubtedly, incredibly experienced and well versed in matters within his Department. However, as much as we would like it, we do not have all the answers to everything. If a full board could not be established, it would risk losing the breadth of expertise on every potential implication of the topic.

Finally, another objection was the timeframe in which the Bill is to be enacted by the Government. There is no stipulation of a threshold in which the Government must enact the panel and release their regulations for supported housing licences. This could allow the Government to prolong the process—I am sure they would not do such a thing—allowing many rogue providers to continue abusing the system, taking high levels of housing benefit in return for providing poor quality care and accommodation to residents. The premises used for such rogue institutions are so poorly constructed that they would take minimal time to set up, allowing new entrants to the market to rinse the system before regulation is introduced in a somewhat distance future, effectively making the Bill redundant for some while.

After much consultation on the objections raised in my previous comments, along with two incredibly useful pre-legislative scrutiny sessions, which the Levelling Up, Housing and Communities Committee held recently, we have addressed those issues and I am satisfied that, as a consequence, they will cease to exist. First, it is essential that the Bill does not harm or penalise good providers for their good work. Although I have extensively focused on the providers that are not up to par with their care provision, many, as I have said, are doing a really good job, earning the entire housing benefit they receive, going above and beyond in supporting individuals rebuilding their lives and gaining independence. In this regard, as I mentioned when outlining the Bill, some good providers will be allowed to exempt themselves from licensing schemes so as not to compromise their provision, particularly those from smaller, more intimate, not-for-profit providers. What these exemptions look like will be decided following consultation with these good providers, so that their voice and good work is front and centre of the provisions.

The objection that the licensing scheme set up by local authorities would be pointless when they have only a single organisation in their district that this would affect has also been addressed by measures in the Bill. These are that the national supported housing standards created by the Secretary of State can be adopted by local authorities directly. There are then opportunities for councils to team up with neighbouring local authorities to ensure that their resources are not being wasted. That also prevents rogue providers from jumping from one local authority to another.

To refute the third objection, that sufficient board members for the supported housing advisory panel would not be in place, having had copious discussions with boards and representatives of organisations such as Women’s Aid, the National Housing Federation, the Domestic Abuse Commissioner and many others, it was abundantly clear that there is no shortage of volunteers to serve on the board. It is in the best interests of members to have their views represented, and thus I do not deem that a problem likely to arise for the sector.

Finally, there is the objection of the lack of time constraints on the Government throughout the Bill. Admittedly, this was an area where we went back and forth with the Department several times, to ensure that the Government were efficient in providing the licensing minimum standards and to prevent the barbaric activities of poor providers from continuing any longer. I understand that today the Minister will make a number of commitments at the Dispatch Box, for which I am grateful, that these measures will be enacted within the previously agreed 18 months from the commencement of the Act. That will reassure the thousands of residents currently suffering in below-par housing.

I am pleased that that builds on the further Government commitment to give 22 councils a further £13.5 million to help them to clamp down on rogue landlords who exploit the supported housing system and fail vulnerable residents. The measure comes on top of the £6 million distributed in August to five separate council areas to build on previous pilot schemes. The new funding will help councils to step up inspections, carry out better scrutiny of housing benefit claims to ensure they are reasonable and ensure the quality of accommodation and support to residents. Along with my Bill, that will ensure that together we crack down on all malpractice in the sector.

In the last few years, with the war in Ukraine and the covid-19 pandemic, we have become more aware than ever before that circumstances and environments can change with the flip of a coin. I was therefore keen to incorporate measures that would enable the Secretary of State to appropriately update aspects of the Bill should that be needed in future. Those powers include the ability for the Secretary of State to publish amendments or replacements to the national supported housing standards, as well as to withdraw such standards should he deem it necessary.

Additionally, the Secretary of State may by regulation make provision under which a person having control of or managing supported accommodation that is located in a district designated for the purposes of the regulations and that is not categorised in the Bill’s defining features of supported housing accommodation must also obtain and comply with a licence. To ensure the appropriate use of the provision, the Secretary of State must consult the statutory consultees before enacting the aforementioned powers.

As I reach the conclusion of my speech on Second Reading, it is only right that I mention the people who have made it possible to get to this stage. It has been a long and sometimes uphill challenge, but one that has enabled me to work with some incredible people, coming together with one main goal. Firstly, the entire team at Crisis have provided invaluable support and guidance throughout the entire process. Most notably, Jasmine Basran and Sarah Rowe have both worked tirelessly on policy and logistical aspects of the Bill, providing briefings, advice and counsel, and been part of the multitudinous meetings that have taken place over the last six months. Emily Batchelor, Beth Exworth and Martine Martin have also been enormous support in arranging press releases and MP briefings on the Bill.

Justin Bates from Landmark Chambers has been instrumental in drafting the Bill with his expertise on housing, property and local government law. Having edited the erudite “Encyclopaedia of Housing Law and Practice”, there is not much about this topic that Justin is not learned on, and he has been a tremendous addition to the team working on this Bill. I also had the support of Joe Thomas from Landmark Chambers at the beginning of the process to advise on planning laws.

Throughout this process, we have had the pleasure of working with three separate Ministers with the portfolio for housing and homelessness. My hon. Friend the Member for Walsall North (Eddie Hughes), my right hon. Friend the Member for Pendle (Andrew Stephenson) and the current Minister, my hon. Friend the Member for Kensington (Felicity Buchan), have all been influential in getting the Bill to this point. Their advice and flexibility throughout the last six months are greatly appreciated by me and by the whole team. I have no doubt that those who have been afflicted with homelessness can trust that their views will continue to be represented passionately and devotedly by the Minister in her new role. The Officials from the Department for Levelling Up, Housing and Communities have also been a great help in drafting the Bill and agreeing the various clauses. They have engaged in countless meetings and conversations with my team, supporting and advising the Ministers effectively and efficiently on all the aspects on which we have needed to agree.

I have had the pleasure of meeting several direct witnesses of supported housing. Many of my colleagues in the Chamber today will have listened to Wayne and Ian, both from Crisis Skylight Birmingham, at the Regulate the Rogues briefing. Both of them displayed bravery and raw honesty when describing their experiences of living in supported housing. I am sure we can all agree that sharing experiences of such tough times—stories of sheer exploitation—is never easy, and I send them copious thanks for their invaluable contributions in spreading awareness of rogue landlords.

I am pleased to see that some Members from Birmingham constituencies are present, and I appreciate their giving up their time on a Friday to support the Bill. Birmingham City Council has provided much useful evidence, as well as the invitation to the Select Committee that I mentioned earlier; I also mentioned the conference that it held, sparking much constructive discussion of this issue. I particularly thank Councillor Sharon Thompson, who has done brilliant work in this area.

The Committee has been very supportive of the Bill. The publication of its report has highlighted the corruption in the sector, and has opened many eyes to the need for regulation. I thank all its members not only for their work on the report, but for the two sessions of pre-legislative scrutiny. The contributions of colleagues helped to shape the Bill and ensure that it targeted the areas I had originally hoped it would.

Let me also express my gratitude to the housing providers and interested bodies that have met me over the last few months to discuss the Bill and offer their thoughts. This has helped me to ensure that there is support from across the sector, and that their worries are addressed to prevent any unwarranted consequences that might have potentially arisen. Specifically, I thank Sapphire Independent Housing and Livingstone House for allowing me to walk around their properties, see the services they are providing, and meet many of their clients.

Finally, I thank my team in the office for their continued support—particularly Hattie Shoosmith, who joined me only in February, and who has attended virtually every meeting and been involved in virtually every aspect of this process. No doubt she did not expect that when she came to work for me.

I am sure that, after the best part of an hour—[Hon. Members: “More!”]—I have exhausted all things related to the Supported Housing (Regulatory Oversight) Bill, and I now look forward to hearing the comments of other Members. Let me end by saying, once again, how grateful I am to those who have offered support, and to all right hon. and hon. Members who are present today. I very much hope that the Bill will have continued support from the Government and from all parties. The message we have to send today is “Rogue landlords, your time is up”, and I commend the Bill to the House.

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[Shabana Mahmood]

Would that it were that easy. My experience of rogue landlords is that the worst really do act like a bunch of gangsters. Going after one will send a message to some of the others, but we need to close down all of the routes into the system. As I say, unfortunately, these are enterprising individuals; if they put their enterprising skills to good uses, we would probably welcome their contribution to our national life, but they are currently abusing the system, and abusing people while doing so. Until we close down all the avenues for abuse, we will still get rogue individuals thinking, “That’s a bit of easy money.”

In some parts of the country—I strongly suspect it has happened in a few cases in Birmingham—such lax regulation is providing ample opportunity for those involved in other criminal acts effectively to launder their money and pose as respectable citizens running housing associations. We know that that is part of what is happening in this sector across the country, so we need to push the Government—collectively, I hope; cross-party in this House—to bring forward national measures. That is why I will fight the cause for a national regulator come what may, because that is ultimately the proper answer to this problem.

As well as securing the quality of exempt accommodation nationally, the Government also have a responsibility to ensure that the taxpayer is getting value for money and that the money being spent in this sector is doing what we all believe it should be doing. In Birmingham, there are more than 21,000 providers of exempt accommodation accessing the higher rates of housing benefit that are available. This equates to millions of pounds of taxpayers’ money, but currently there is no way of knowing how much is being claimed by each provider, or whether providers are upholding their commitments and providing support to the tenants. The hon. Member for Harrow East made similar points.

The Government have been aware for at least a decade that robust information about exempt accommodation is not held centrally, but they still do not collect even basic data to understand the levels of housing benefit being spent within the exempt accommodation sector. When I asked the Department in December 2021 how much money is being spent on this sector, it simply responded that it was too costly to collect that information. I would say that it is too costly not to collect it given the abuse we have seen occur. As the Select Committee noted, the Government have been caught sleeping:

“The Government has no idea how much taxpayer money is spent on exempt accommodation, nor what this money is spent on.”

Again in my constituency, we have seen the emergence of what are called ghost tenancies, whereby a managing agent or a registered provider is claiming enhanced rates of housing benefit for an occupant who has already vacated a property, or who in some cases never lived in the property in the first place. We just have to clamp down on all this abuse, and good data collection by the Government can help us to do that.

One of the things missing from the Bill is a firm commitment on planning. I think there is a possibility for the Government to bring forward such measures, but I would have liked them to commit to planning measures in this Bill.

[Bob Blackman]

indicated assent.

[Shabana Mahmood]

The hon. Member is nodding, and I suspect he would have liked that to make its way into the Bill in a stronger form than it currently has. I welcome the direction of travel of the commitment that has been given, but it would have been a much stronger Bill had those measures been a requirement on the Government. Oversaturation in certain areas is a huge problem, particularly in Birmingham, and it can only be dealt with if there is a planning requirement to get planning permission. That would enable local authorities to prevent oversaturation in their areas. There are streets in my constituency where a quarter of all the houses are now exempt accommodation. If we had proper planning powers and the ability to deny planning permission to people who want to turn these properties into exempt accommodation, a council would be able to prevent that from happening, and therefore prevent the saturation and the ghettoisation I have spoken of.

I really welcome this Bill. I do not believe that the Government have discharged their responsibilities to my constituents or people across the country sufficiently at the speed that is required—because, as I say, every moment of delay scars another community across our country for a long time—but I do welcome that they have at least supported this Bill. This Bill will pass, and I hope we can very quickly fill the gaps in regulation that exist so that all the vulnerable tenants across our country can get the support they need to turn their lives around, and no longer are communities scarred and damaged for a long time to come.

Supported Housing (Regulatory Oversight) Bill

Bob Blackman Excerpts

Committee stage
Wednesday 11th January 2023 Public Bill Committees

[The Chair]

Before we begin, I have a few preliminary reminders for the Committee. Please switch off electronic devices or put them on silent. No food or drink other than water is to be consumed during the Committee’s sittings. Hansard colleagues will be grateful if Members email their speaking notes to [e-mail]. The selection of amendments is online and on paper in the room, on the table in front of me.

Clause 1

Supported Housing Advisory Panel

Question proposed, That the clause stand part of the Bill.

[Bob Blackman (Harrow East) (Con)]

It is a pleasure to serve under your chairmanship for the first time, Mr Efford. I thank colleagues from across the House for agreeing to sit on this Bill Committee and enabling us to scrutinise the Bill in some detail.

The Bill is centred around the report on exempt accommodation produced by the Select Committee on Levelling Up, Housing and Communities. The Chair of that Committee, the hon. Member for Sheffield South East, has agreed to serve on this Committee, and several other colleagues who sit on that Select Committee are here.

From the outset, I want to make clear that what we are seeking to do is to drive out rogue landlords, not hinder the really brilliant work being done by thousands of organisations across the country who provide supported housing for vulnerable people. To achieve that, clause 1 sets out the advice that needs to be provided to the Secretary of State. It is clear that this is a complex policy area and we want to make sure that we do not have unforeseen, inadvertent consequences that inconvenience the good people who provide an excellent service. I believe the clause is non-controversial. It requires the Supported Housing Advisory Panel to be set up; the rest of the provisions are permissive.

In formulating the Bill, we have sought to detail the sorts of expertise we believe are required. The panel the Secretary of State is required to set up will provide information to housing authorities, social services authorities and so on, so it needs expertise from people involved in social housing, local housing authorities and social services, as well as someone who has the interests of charities at heart and someone who has the interests of residents at heart, which often gets overlooked. If more expertise is required, the clause permits the Secretary of State to appoint to the panel people other than those specific representatives, but it could well be that someone who is nominated to the panel is expert in more than one field, so one representative from each of those areas is not a requirement.

The clause then sets out in some detail what the panel should do and what advice should be given to the Secretary of State. Obviously, the main purpose of the panel is to ensure that the Secretary of State is informed when action is required to be taken under later clauses. I commend the clause to the Committee and I look forward to contributions from colleagues.

[Mr Clive Betts (Sheffield South East) (Lab)]

It is a pleasure to serve under your chairmanship, Mr Efford. I will not refer to your abject failure at the weekend to defeat Sheffield United in the cup. That would be very unfair of me.

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[The Parliamentary Under-Secretary of State for Levelling Up, Housing and Communities (Felicity Buchan)]

It is a great pleasure to serve under your chairmanship, Mr Efford. I thank all Members who have joined us this morning, including my hon. Friend the Member for Harrow East, whom I congratulate on reaching Committee with the Bill. I agree with both what he said in his introduction and the comments from the hon. Member for Sheffield South East.

Supported housing is a vital safety net for many people, enabling them to live independently with some support. There are many excellent examples of supported housing providing support for people experiencing homelessness, older people, people with a disability and those suffering from mental ill health, to name but a few, but as we are all aware, there are rogue landlords operating supported housing schemes. Those landlords are exploiting the vulnerable people they are supposed to be helping. This is completely unacceptable. We must continue to deliver a clear message to those providers: their time is up.

This Bill, which the Government support, includes a range of measures to drive out rogue providers and drive up the quality of supported housing. It is a very important measure that comes after many Government interventions. In October 2020, we published the national statement of expectations setting out the Government’s vision for quality supported housing. In the same month, we launched the pilots, and in March 2022, following the evaluation of the pilots, we announced our intention to bring forward regulations. I am delighted that my hon. Friend the Member for Harrow East has come forward with his Bill. We have also announced that over the next three years we are expanding the pilots to 22 new local authorities, with a further £20 million programme of support. The Government are sending a clear message: we will not tolerate abuse of the supported housing system. Time is up for rogue landlords.

Clause 1 places a duty on the Secretary of State to set up a new advisory panel and to appoint a chair to the panel through consulting the members. The new panel will advise on the design and implementation of the measures in the Bill. It will be able to take a strategic view of our plans, as well as undertake its own work related to supported housing. This is an excellent opportunity to bring together key stakeholders to share their expertise and to advise the Government. The advisory panel will give Government direct access to stakeholders and their knowledge of the sector at a crucial time when we will be consulting on how best to deliver and implement the measures in the Bill. The panel will consist of those with an interest from across the supported housing sector, including but not limited to those who represent the interests of registered providers, local housing authorities, charities providing supported housing and residents of supported housing. I look forward to convening the panel at the earliest opportunity.

[Bob Blackman]

I thank the Minister for her remarks and her support for the Bill generally. I also thank the hon. Member for Sheffield South East, the Chair of the Select Committee, for the inquiry we jointly conducted. This is a very important element of getting the advice that the Secretary of State will need on policy. The one area where there was discussion was the appointment of the chair of this panel, which I think it is important. It is now down to the Secretary of State to make the appointment, but the chair could be a member of the panel who already has expertise and is quite capable. I think enough has been said about this clause, but I will have more to say as we proceed.

Question put and agreed to.

Clause 1 accordingly ordered to stand part of the Bill.

Clause 2

Local supported housing strategies

Question proposed, That the clause stand part of the Bill.

[Bob Blackman]

Clause 2 builds on the advice to be provided to the Secretary of State and covers local housing strategies. One of the things we established during the Select Committee inquiry was, as has been said by the Chair of the Committee, that it is a bit of a wild west show out there in terms of how supported accommodation is provided. There is a lack of regulation and scrutiny, and even in local authorities such as Birmingham, which has introduced its own scheme, the rogue landlords refuse to comply.

The clause requires local authorities to review the exempt accommodation in their area, so that we can establish exactly how much there is out there. One of the problems that has been encountered as we have had discussions on the progress of the Bill is the lack of data. This issue is not limited to Birmingham. It is spreading out all over the country, in some quite strange places. I know it is the case in, for example, Scarborough, Blackpool and Southwark.

[Nickie Aiken (Cities of London and Westminster) (Con)]

I thank my hon. Friend for giving way, and I welcome his Bill. In a former life I was cabinet member for public protection, and under that came the environmental health service. I was always shocked when I got my monthly reports about the shocking housing conditions in the private rented sector. Does my hon. Friend agree that this Bill will hopefully do something to give tenants the confidence to go to local authorities and show that they are living in dreadful conditions, so that councils can then go after these landlords? Too often tenants do not feel that they should go and speak to a councillor or their council, because they fear being evicted by their landlords.

[Bob Blackman]

I thank my hon. Friend for that intervention. One of the challenges here is that we are talking about some of the most vulnerable people in society. They may be mentally ill, physically ill or recovering from drug addiction or a gambling addiction. They may have left the armed forces or prison. There are all sorts of reasons why someone would be in supported accommodation. I will reflect on that as we go through this part of the Bill.

One of the things we established during the Select Committee inquiry was that often tenants are scared stiff to speak up for themselves for fear of being evicted. Rogue landlords will typically say to people, “If you don’t conform and do what you’re told, you will be out on the streets. And by the way, the local housing authority won’t house you, so you could end up rough sleeping and being very vulnerable.” That is the sort of intimidation they face.

The clause goes into some detail about making sure that local authorities review the need in their area, including the type and extent of accommodation. Without that data, it is very difficult to exercise any form of control. That is why the clause gives the local authority a duty to carry out a review and produce a strategy. It may be that certain areas of the country do not have a need—I doubt that, but some may claim they have no need for any supported housing.” None the less, almost all local authorities will be required to produce a plan and make sure that they interact with social services and set out what is going to be provided and to what standards, because no one should be forced to live in substandard accommodation, particularly people in these circumstances.

I have had the opportunity of speaking to many providers of accommodation of this type. They recognise the vulnerability of people, but often they have no interaction with the local authority because they provide the services directly. We are seeking here to make sure that the local authority establishes how much need there is in its area, and then makes sure that that need is met. Without a strategy, an overall view cannot be provided.

[Steve McCabe (Birmingham, Selly Oak) (Lab)]

I am very supportive of the hon. Gentleman’s aims overall with the Bill, and with this clause in particular. It is important that local authorities have an absolutely clear picture of the need or demand in their area. Does he accept that—this point is not in the clause, but will have to be entertained if the clause is to achieve its aims—having identified the need, there has to be a clear and concerted effort to assist local authorities to provide suitable accommodation? That suggests that we need some sort of targets, both on housebuilding and on identifying appropriate amounts of accommodation in the private sector.

[Bob Blackman]

I share the hon. Gentleman’s view that we need to meet the need, but we first have to establish what the need is. Many local authorities are working together with not-for-profit providers on both the social services and other elements to provide the accommodation required, and making sure that they are working jointly. Where that process happens, it works very well. What we are seeking to do is to prevent the position whereby rogue landlords set up operations and bring people in who are literally just provided with accommodation and no support whatever—the Chair of the Select Committee talked about that situation earlier. Those people are unknown to the local authority as tenants and are therefore not supported.

That is one of the reasons why this Bill is so important: to regulate the entirety of the sector. Many organisations have continued on, happily providing the sort of service that we would hope to see everyone receive, but unfortunately there is now a large minority of people who are not providing any form of service whatever. That is why we need local authorities to establish the level of need and then, as the hon. Member for Birmingham, Selly Oak says, to establish how much housing needs to be provided and what type of housing and facilities are required, so that that need is met.

[Eddie Hughes (Walsall North) (Con)]

It is a pleasure to serve under your chairmanship, Mr Efford. I rise to agree with much of what has been said. We should not focus the entire debate on what is happening in Birmingham, but I have experience of what was happening in Birmingham 10 years ago because I worked for YMCA Birmingham.

We provided exempt supported accommodation. I had a number of unscrupulous people approach me and have a discussion about how we could manage accommodation on their behalf. When we told them how much it would cost to provide the service and what we thought was a proportionate and appropriate level of support, they were not interested. They wanted to go somewhere else—to find the people who were doing the “shout up the stairs” approach, which the Chair of the Select Committee commented on earlier. That was 10 years ago.

Although I raised some concerns at the time, for various reasons, partly because of the size of Birmingham’s local authority, it feels to me that the situation got to a point where the local authority was overwhelmed by the amount of accommodation required. Once that door is opened, and people realise there is a very lucrative business model here, more and more people rush in, and it is then very difficult for Birmingham to stem the flow. I commend the work that Birmingham has done, partly with money from the Government’s pilot scheme, and the report of its scrutiny committee, which shows how well the authority has collectively worked to get a grip on the issue.

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[Felicity Buchan]

I absolutely agree with my predecessor, and I thank him for all his work on the Bill. I agree that we need better data. I reassure him that we are working alongside the DWP so that we are much more in touch with where supported housing is and where housing benefit is being paid to it.

The DWP has already made changes to the way local authorities provide housing benefit data on supported housing claims by including flags in the collection system. That is for new housing benefit claims, so it will take time for this to work its way through the system and have data over time.

We are collectively in agreement that data needs to be improved. The supported housing strategies will be vital in maintaining a clear picture of supported housing provision and future need across England. When combined, these improvements in data and the introduction of strategic plans will help to create a clearer national picture of the supported housing provision across the country.

[Bob Blackman]

I thank the Minister for setting out the position that the Government will take. Clearly, as Members have said, the most important thing here is to gather the data and information and ensure that we have a strategy for dealing with the type of appropriate accommodation.

One thing that escaped me during my introduction is that there are certain aspects—for example, those vulnerable people fleeing domestic abuse—where we must be cautious about what data is released and made available. That is one reason why it must be clear that guidance from the Secretary of State can be issued to local authorities appropriately. That, of course, would then be a requirement on a local authority to take certain actions.

Question put and agreed to.

Clause 2 accordingly ordered to stand part of the Bill.

[The Chair]

Order. Before we move on to clause 3, I should say that we are nearly 30 minutes into the sitting. We have a hard stop at 11.25 am, and a few amendments need to be debated. We can organise another sitting to complete the Bill; if that is the will of the Committee, that will obviously take place. Proper scrutiny must take place, but I remind the Committee that 11.25 am is a hard stop.

Clause 3

National Supported Housing Standards

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[Mr Betts]

Thank you, Mr Efford; I take your strictures to heart. I have two amendments. The first one recognises the need for standards to be set down and for a discussion about how that might best be done. I am happy to hear what the Minister has to say. We all want to see standards effectively laid down and followed through; the current lack of standards is a real problem in the sector.

I move on to my second amendment. I am not doubting the good intentions of the Minister in any way, but we have, of course, had one or two changes of Minister; by the time we come to implement this, someone else might be there. I am trying to get on the record what happens if the powers that may be exercised by Ministers are not exercised in practice. Is there a mechanism for whoever the Minister is at the time to report back to Members about what progress has or has not been made? I would be happy to hear the Minister’s response.

[Bob Blackman]

I should say from the outset that I agree with the thrust of the amendment, but we need to look at the issue in some detail to ensure that it reflects exactly what we are seeking to do in the Bill. I hope that the hon. Member for Sheffield South East will not press this to a vote. We will seek assurances from the Minister about what can be done to ensure that we enforce these regulations on local authorities and that we have proper standards.

[Mrs Natalie Elphicke (Dover) (Con)]

The Chair of the Select Committee is right to raise the issue of how housing standards can be enforced in this important area, particularly as they affect vulnerable people. I ask the Minister to consider whether the connection of the financial payment—that relationship with DWP extra support payments, which my hon. Friend the Member for Walsall North rightly raised—could be part of the mechanism. We know that local authorities, even with resources, have struggled with rogue landlords and to really enforce housing standards in other ways. I encourage the thinking about financial as well as enforcement powers.

[Bob Blackman]

I thank my hon. Friend for that intervention. There are a number of different existing models. Many local authorities pay the rent through housing benefit for a tenant to live in supported accommodation. There can then be a discretionary social services element, provided under a contract by the local authority to the housing provider, in order to provide support. It is a very complex area, as my hon. Friend knows. We must get this right; there could be unforeseen circumstances if we are too prescriptive at this stage. It may well be that the detail has to be set out in regulations as the consultation process and the regulations that follow from the Bill go through. I do not think it would be sensible at this stage to agree to the amendment. I trust we will get some assurances from my hon. Friend the Minister in that respect.

The clause requires appropriate supported housing standards to be followed, introduced and enforced by the local authority. As my hon. Friend the Member for Walsall North said—his points were well made—people should be living in reasonable accommodation suitable to their needs. That is part and parcel of setting out what the standards should be. That does not mean the sort of things we saw in Birmingham, with its scandalous elements: where a three-bedroom house is suddenly turned into an eight-bedroom house, with a small kitchen and small living area, and people are crammed in without any support whatever; where there is no control over the type of people put into these houses or their needs; and where someone fleeing domestic violence, a recovering drug addict, someone who has left prison for sexual offences and others can all be accommodated within the same unit, without any consideration of their separate needs and responsibilities. We need to set the standards out.

Amendment 2 relates to the Secretary of State reporting back. We look forward to the Minister still being in place by the time we get the Bill on the statute book, although I notice that here we have an ex-Minister, who began the process, and another ex-Minister, who is now my Whip—we have had three Ministers already, during the course of the Bill’s proceedings. We need to make sure that we are making progress and that we are implementing the provisions. I look forward to some warm words, a firm contribution and a commitment from my hon. Friend the Minister, to make sure that we get action in this area quickly, expeditiously and appropriately as well as a commitment that, if we do not get that action, Ministers will come back and tell us why.

[The Chair]

I call the Minister.

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[The Chair]

With this it will be convenient to discuss the following:

Amendment 3, in clause 5, page 5, line 45, at end insert—

“(e) conditions relating to the assessment of the needs of persons who are residents or potential residents of supported exempt accommodation.”

This amendment sets out that assessing the needs of people who are residents or potential residents of supported exempt accommodation is a condition that may be attached to a licence.

Clause 5 stand part.

Amendment 5, in clause 6, page 6, line 29, leave out “statutory”.

Amendment 6, in clause 6, page 6, line 38, leave out “statutory”.

Amendment 7, in clause 6, page 6, line 40, leave out “statutory”.

Amendment 8, in clause 6, page 7, line 3, leave out “statutory”.

Amendment 9, in clause 6, page 7, line 4, leave out “the Local Government Association” and insert “local authorities in England”.

Clauses 6 and 7 stand part.

[Bob Blackman]

Clauses 4 to 7 are the heart of the Bill, because clause 4 sets out the licensing regime that we wish to introduce. The measure is permissive and will allow local authorities to introduce the licensing scheme if they so choose. There is a great deal of detail in the clause, which leads on to the further provision in clause 5 and the provision in clause 6 about the need to consult, as the Minister has set out. Consultation is mightily important, because this is where all the good providers need to give the Government feedback on how they are operating and what needs to happen.

I should explain the amendments that I have tabled in respect of consultation. In the draft Bill, we put the Local Government Association down as a statutory consultee. Following that, the LGA came back to us and said, “We don’t want to be a statutory consultee, but we generally want local authorities to be.” The LGA does not want to act on behalf of all local authorities because this is a permissive measure and not all local authorities will want to introduce a licensing scheme. Therefore, the amendments are sensible tidying-up amendments. I think our explanation yesterday may have caused Ministers and officials some confusion, but I hope that the amendments can be made to ensure that the legislation is appropriate.

The key is making the licensing scheme, if it is introduced, common across local authorities. One of the things that has been brought home to me loud and clear by a number of organisations that operate across a number of local authorities is that they do not want a licensing scheme to be different from one authority to another, so as far as possible it needs to be a common practice across local authorities. It also needs to be compulsory. Birmingham Members know that Birmingham tried to introduce a voluntary scheme; all the good providers signed up, but funnily enough the rogue landlords said, “Well, we don’t have to, so we won’t.”

In debates on previous clauses, we talked about the standards to be provided and the requirements on local authorities and the Secretary of State, but the heart of the Bill is a licensing scheme that is fit for purpose and ensures that fit and proper persons operate in these areas and provide accommodation. We must ensure that not-for-profit originations are not completely inconvenienced and that the fees are not so high that organisations are impoverished and driven out of providing accommodation in the first place.

Exempt accommodation can be provided only through a not-for-profit organisation. The scandal at the moment is that unscrupulous landlords buy a property, expand it to the maximum possible under permitted development, provide a small living area and a small bathroom, stack the house with as many people as they physically can, and then claim housing benefit on an enhanced basis for vulnerable people. Members might say, “Well, hang on. That’s a private landlord operating that way,” but what the private landlord does is set up a not-for-profit organisation alongside that, to which they lease the property. The not-for-profit organisation runs the service and provides the rent to the landlord, but the landlord is also running the not-for-profit organisation.

That scam has to be dealt with, which is one of the reasons why a licensing regime needs to be introduced so that we have a fit-and-proper person test and ensure all the aspects of what needs to be provided. We must ensure that accommodation is decent and that the services for vulnerable people are provided in the way they should be. We cannot have a situation in which vulnerable people are exploited and almost retained as prisoners within their own accommodation. That is extremely important.

[Ian Byrne (Liverpool, West Derby) (Lab)]

It is a pleasure to serve under your chairmanship, Mr Efford. I wholeheartedly agree with this Bill. We have seen on the Levelling Up, Housing and Communities Committee some of what the hon. Gentleman has outlined and some of the scandalous places people are forced to live. The leverage that rogue landlords have over them is absolutely appalling and at times life-threatening. Is he talking about landlord licensing only for exempt accommodation, or right across the board? Should private landlords be part of the landlord licensing scheme? A pilot was successful in Liverpool, but it has ended.

[Bob Blackman]

Generally speaking, licensing schemes for private sector housing are outside the scope of this Bill. We are looking particularly at supported housing and exempt accommodation. We have had some discussions about extending the scope of the Bill to all supported housing. I think the hon. Gentleman is referring to a very different licensing regime, which of course can be introduced, but we are concentrating on vulnerable individuals who are provided with accommodation.

The problem is that exempt accommodation is just that: it is exempt from all the regulations relating to houses in multiple occupation and all other aspects, and enhanced housing benefit can be claimed as a result. There have been some financial scandals. As the hon. Member for Liverpool, West Derby knows, during the Select Committee inquiry we uncovered a number of scams; whether we can fix them all in this Bill is another matter. What we can do—what we are doing—is lay out a whole series of things. When the Bill was first drafted this section was a great deal longer. We were convinced—I cannot remember by which Minister, but one of the three—that we should remove a large section and put it in regulation, because it is then easier to change and amend as the market changes.

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[The Chair]

Fortunately, I can allow people to speak more than once, but whether the Minister will answer questions is not a matter for the Chair. The hon. Member for Sheffield South East has got his points across. Bob Blackman, your body language said to me that you did not want to get up again.

[Bob Blackman]

I was just wary about who else was standing up.

[The Chair]

You should be in my position!

[Bob Blackman]

In relation to the amendments, the most important thing to remember is that with the vulnerable people we are talking about, every case is unique; individuals have unique needs. Good supported housing organisations will provide an initial assessment of what those needs are so they can build a support network. The amendment tabled by the hon. Member for Sheffield South East, the Chair of the Levelling Up, Housing and Communities Committee, requires that to happen.

At the moment, rogue landlords do not provide any assessment of needs whatsoever. The only need they are interested in is how much money they can get from the housing benefit regime. I agree that we need to look at this in more detail to make sure it is correct, but it is in the spirit of the Bill and there is a need to specify that this will be a requirement for providers. They must assess the needs of the individuals they are responsible for housing.

Let me turn to my amendments. I accept the Minister’s strictures to look at tidying up this area. As I have said, the Local Government Association does not want to be a statutory consultee. Therefore, we could tidy the wording up a bit in relation to housing and social services authorities to ensure the language is consistent. I agree we could do that on Report.

Question put and agreed to.

Clause 4 accordingly ordered to stand part of the Bill.

Clauses 5 to 7 ordered to stand part of the Bill.

Clause 8

Planning

Question proposed, That the clause stand part of the Bill.

[The Chair]

With this it will be convenient to consider clause 9 stand part.

[Bob Blackman]

Clauses 8 and 9 deal with two aspects of the Bill. One prevalent problem in the planning system is that in local authority areas there is no control whatever over someone setting up a supported housing unit. We have had a lot of discussion about whether we could have some sort of saturation test, so that we do not get whole ghettos of supported housing units being set up, driving out other people. We are now looking at whether we will need to go further, which clause 8 specifically addresses.

If licensing does what we require it to—that is, control the way in which supported housing is provided across the piece—that will be fine. However, during the Select Committee inquiry we established that when a property is purchased for use as supported housing, that should go through the planning process and the local authority should consider a planning application for a change of use of that property; I believe that will be required. That is the only means by which a local authority can exercise control before the unit is brought into operation. It would then allow local people and councillors to have their say, and ensure that we control the number of units being set up before they are set up, rather than try to deal with the situation afterwards.

Clause 8 is permissive, so that if we have clear evidence that the change of use is required to take place through the planning process, the Secretary of State can introduce that process. It is not a requirement from day one; my personal feeling is that that is the best way of controlling the setting up of supported housing units, but I completely understand the position we have reached with the Department. There is concern that that requirement may not be necessary.

[Mrs Hamilton]

I absolutely agree with the hon. Gentleman: that was the issue in the area in which I was a councillor prior to becoming an MP. When HMOs were being set up in the area, we had to go through planning, but when rogue landlords realised that HMOs needed planning permission, they switched tack and went for these exempt supported living accommodations. The problem is that we would struggle to get the numbers once they had been set up, and the ghettos are already there in places like Birmingham. I absolutely agree that the issue needs to be considered, because rogue landlords have a way of knowing how to get around the rules, and we need to tighten them up.

[Bob Blackman]

I thank the hon. Member for that intervention. It is clearly outrageous that if someone set up an HMO, they would be regulated, but if they said, “No, this is supported housing and exempt accommodation”, they would not be. That just cannot be right, and it is one reason that we have looked at the licensing regime as a process of enforcing the law. It may work, but my personal view is that I would much rather see a position where planning takes place. Clause 8 allows the Secretary of State to say, following a review of the operation of the licensing regime, “We haven’t gone far enough. We must now introduce a position whereby the change of use requires planning permission.” It is a warning shot, as it were, and then further powers can be introduced if necessary.

Clause 9 is an important clause for vulnerable people. At the moment, landlords routinely say to their vulnerable tenants, “Do what you’re told or else you’ll be on the streets, and if you go on the streets, the local authority will deem you to have left a secure property. Therefore you have made yourself homeless and they have no duty to house you whatsoever.” It is a threat for keeping individuals in that situation.

[Eddie Hughes]

I agree about just how pernicious the impact of this issue is. We are talking about vulnerable people, and therefore those who are likely to take that threat of being made homeless very seriously and so keep quiet and continue to endure dreadful accommodation. I appreciate that this is not really the purpose of this debate, but we also see that in social housing generally, where we have seen some dreadful cases of damp and mould and the landlord continues to expect that rent be paid, even though the accommodation they are providing is dreadful. We must absolutely ensure that this issue does not hang as a threat over vulnerable people.

[Bob Blackman]

I thank my hon. Friend for that intervention. Clearly, this is one of areas that was a concern when we produced the Bill—that, in the end, someone could be classified as being intentionally homeless if they object to the conditions that they are in, or anything else.

The other aspect that we have not brought out during this process but needs to be spelled out is that rogue landlords have a direct incentive for the individuals in their services not to improve their lot. If they were to have the temerity to actually go and get a job and get some income, they would be forced out, because they would no longer be entitled to enhanced housing benefit. We must address that scandal as well.

The key point is that tenants can be assured that if they have a complaint to make, they should go ahead and make it and draw to the attention of the local authorities, or the individuals operating the licensing regime, that their position is that their accommodation is not acceptable and needs to be improved. The landlords should not be holding them literally to ransom.

Clause 9 gives the reassurance that someone can go to their local authority and leave the premises they are in on the basis of it not being suitable to their needs—it is damp, mouldy, or in whatever condition—and that the local authority will then need to look at their circumstances appropriately. They would then be dealt with under normal homelessness legislation, so would not be “intentionally homeless” and would be able to gain support from the local authority.

I commend these two very important clauses to the Committee.

[Mrs Elphicke]

I am grateful for the opportunity to serve under your chairmanship, Mr Efford. I want briefly to explore the new provision on homelessness, the intent of which I wholeheartedly support.

The Bill has been introduced with a focus on the outrageous examples of rogue landlords, who must be dealt with. However, as we have explored in the Select Committee review, and in my own experience, some of the more mainstream providers, who we would otherwise think would be good providers in this space, have had situations in which they did not provide the right level of supported care for very vulnerable people. I want to explore with my hon. Friend the Member for Harrow East whether, in respect of the provision about whether the standard of care support and supervision is provided, the issue would be in the opinion of the person to whom the support or care is provided, rather than in the organisation’s opinion.

Let me give two brief illustrative examples. First, in my prior life I volunteered with a homeless night shelter. I worked in homeless support for a number of years. In the Dover Outreach Centre, which is a fantastic example of this kind of support, in a number of cases people found themselves back in homelessness because a respected local organisation that supports drug, alcohol and other situations found that those people were not suitable for their programmes and removed them from that accommodation after incidents of repeated alcohol or drug abuse. In such a situation, people need additional support or other organisations to help them; they are still in need, still vulnerable and still homeless. I am keen to ensure that the obligation to support would extend to situations where the programme that has been provided has not achieved the outcome of keeping that person from homelessness and has not got them on the road to being in a home.

My second point is that the son of a constituent of mine recently committed suicide, having been thrown out of supported exempt housing—again, in a situation where they had both physical and mental health needs. It was a complex situation, as is not unusual, and the case is subject to a coroner’s investigation, so I will not comment on the detail further, except to say again that if we are looking to ensure that there is a safety net of support for people in vulnerable housing and care situations, can we make sure that the legislation deals with those sorts of real-life situations, which can occur even in the best organised supported housing provider?

--- Later in debate ---

[Felicity Buchan]

Yes, and that is precisely why we have decided to opt for a local licensing regime; we strongly feel that local authorities know their areas best and know where there is need.

Let me turn to the issue of homelessness. I thank my hon. Friend the Member for Dover for her comments. I send my sympathies to the family involved. I think that everyone, from all parties in the House, will agree that if vulnerable people find themselves in poor-quality supported housing, they should not be afraid to look for help. Residents should not fear being penalised for leaving poor-quality supported housing, whether it is poor because of the accommodation itself or because of the level of the support provided. The Bill clarifies the position for both residents and local authorities. The examples that my hon. Friend gave show the importance of consultation, which is fundamental to the Bill, because through consultation we will be able to set the national supported housing standards in such a way that they are applied fairly to all cases.

[Bob Blackman]

I thank my hon. Friend the Member for Dover in particular for her intervention. I give her the assurance that the intention is that the individuals involved will determine whether they are leaving a property under those circumstances. The key is to prevent the local authority from automatically refusing someone accommodation or assistance. The Bill dovetails with the Homelessness Reduction Act 2017, which I piloted through some seven years ago now, to ensure that local authorities act appropriately when dealing with people who are homeless through no fault of their own. The whole point is to make it clear that they are not at fault by exercising this position. I thank the Minister for making clear her position on the planning issue. As I have said, my personal view is that we will require provision going forward, but let us establish the position.

On local licensing, we need to see a great deal of consistency across the country in the type of licensing policies that are implemented, so that national organisations are not having to cope with different licensing arrangements in different local authorities.

Question put and agreed to.

Clause 8 accordingly ordered to stand part of the Bill.

Clause 9 ordered to stand part of the Bill.

Clause 10

Sharing of information relating to supported exempt accommodation

[Mr Betts]

I beg to move amendment 4 in clause 10, page 8, line 26, at end insert—

“(8) If, at the end of the period of one year beginning with the day on which this Act is passed, the power in subsection (1) is yet to be exercised, the Secretary of State must publish, in such manner as the Secretary of State thinks fit, a report setting out the progress that has been made towards doing so.”

This amendment would require the Secretary of State to explain why they have not made provision about the sharing of information relating to supported exempt accommodation, if they have not done so within a year of Royal Assent of the Act.

--- Later in debate ---

[Bob Blackman]

Effectively, the purpose behind clause 10 is as I outlined at the beginning. We are talking about some of the most vulnerable people in society. The people we are talking about are normally women, such as those fleeing domestic violence. We are talking about people that are mentally or physically ill; they may be recovering from all sorts of addictions. There can be a whole plethora of reasons why people are in supported housing. Data on that is sensitive and personal, so we must be very careful about how that data is shared and with whom it is shared. Often, we are talking about people who may have moved around from one authority to another. Essentially, clause 10 sets out the regime that will operate and the requirement that the Department will introduce regulations on how this should be handled.

This is going to be one of the most difficult areas of the regulation that will follow the Bill because it will have to cover a range of different types of information and of circumstances under which information can be transferred. It is absolutely vital to protect vulnerable individuals in society in this way.

[Felicity Buchan]

As with amendment 2, which was about a reporting requirement for housing standards, I am prepared to give a commitment in this Committee: if we are required to report on licensing regulations after 12 months, we will include an update on the progress on information sharing powers. I agree with the hon. Member for Harrow East that we need to be sensitive about the sharing of information, given the involvement of people such as domestic abuse survivors. Information about their current residence is very sensitive, so, again, consultation is key. We may have to exempt certain groups, but it is an important clause.

--- Later in debate ---

[The Chair]

With this it will be convenient to consider clauses 13 and 14 stand part.

[Bob Blackman]

Clauses 12 to 14 simply adapt the definitions for the Bill. I think they are uncontroversial and appropriate. Clause 13 is about other interpretations and clause 14 about the Bill’s commencement, extent and short title. They are essential clauses, but not controversial.

[Felicity Buchan]

I agree with my hon. Friend that clauses 12 to 14 are relatively straightforward, but I want to make one point about clause 12, on the meaning of “supported exempt accommodation”. Several overlapping definitions of supported housing include two in housing benefit regulations: those for “exempt accommodation” and for “specified accommodation”. The Bill refers to the broader supported housing definition—of specified accommodation—as “supported exempt accommodation”.

Existing evidence points to the issues in supported housing typically occurring in housing provision that meets the “exempt accommodation” definition, so that is the current focus of the licensing scheme regulations. As I stated, there is a risk of loopholes, so we will consult on whether to expand the licensing scheme to cover all supported housing. The broader definition of “supported exempt accommodation” applies to the other elements of the Bill, including local authority strategic planning, information sharing and the national supported housing standards.

[Bob Blackman]

I thank the Minister for the information on consultation. This is a key area. The sort of people we are trying to drive out of business will use every and any loophole there is, so getting the exact wording right is vital. I accept completely what my hon. Friend has said about the consultation.

Question put and agreed to.

Clause 12 accordingly ordered to stand part of the Bill.

Clauses 13 and 14 ordered to stand part of the Bill.

New Clause 2

Charter of Rights for residents of supported exempt accommodation

‘(1) A local housing authority in England must publish a Charter of Rights for residents of supported exempt accommodation (“Charter of Rights”).

(2) A Charter of Rights under subsection (1) must be published—

(a) within three months of the date on which this Act comes into force, and

(b) annually thereafter.

(3) A Charter of Rights under subsection (1) must contain—

(a) a statement of the rights of residents of supported exempt accommodation,

(b) a statement of the responsibilities of providers of supported exempt accommodation,

(c) information about support services for residents of supported exempted accommodation.

(4) In preparing a Charter, the local housing authority must consult—

(a) residents of supported exempt accommodation,

(b) providers of supported exempt accommodation, and

(c) civil society organisations.

(5) The Secretary of State must by regulations require a provider of supported exempt accommodation to—

(a) ensure that its staff are aware of the Charter of Rights published by the local housing authority,

(b) provide a copy of the Charter of Rights to every resident in the supported exempt accommodation it provides,

(c) have regard to the relevant Charter of Rights in exercising its functions.

(6) A statutory instrument containing regulations under subsection (5) may not be made unless a draft of the instrument has been laid before and approved by a resolution of each House of Parliament.’—(Kate Hollern.)

Brought up, and read the First time.

[Mr Betts]

I beg to move, That the clause be read a Second time.

I am moving the new clause on behalf of my hon. Friend the Member for Blackburn (Kate Hollern), who tabled it. I will not spend long on this, but I promised that I would move it so that the Minister could respond.

The intention of the new clause is simply to put the needs and rights of those resident in supported exempt accommodation at the heart of our debate in Committee. In the end, that is what we are trying to do: provide better accommodation for people who are often in desperate and real need. I will not press this to a vote, but I want the debate to be about how the Minister might think the issues raised in new clause 2—on having the rights of residents recognised formally—will be best addressed in the Bill.

Supported Housing (Regulatory Oversight) Bill

Bob Blackman Excerpts

Report stage
Friday 3rd March 2023 Commons Chamber

[Bob Blackman (Harrow East) (Con)]

At this stage, I will confine my remarks to the three amendments tabled; I will have more to say on Third Reading. The amendments stem from the very healthy cross-party debate we had in Committee on four amendments that were tabled at that stage.

The first amendment, as the Minister has outlined, relates to clarification in the Bill, and it has my full support. The clear point is that it allows the Secretary of State

“to designate the district of every local housing authority in England”

for the purposes of the regulations. That confirms that licensing regulations may be provided by every local authority in England, as opposed to only a few; while possibly only a few will require such measures now, this is a rapidly growing market and we must ensure that the legislation is future-proofed and that rogue landlords are held to account throughout the country rather than, as the Minister rightly says, moving from one area to another.

I ask the Minister, when we look at the regulations that will underpin this legislation, to look at grouping local authorities together to form a licensing regime, rather than relying on relatively small district housing authorities, which may only have one or two units within their area and will therefore find it overbearing to have that regulation and a whole bureaucratic structure just within that area.

[Nickie Aiken (Cities of London and Westminster) (Con)]

I welcome this Bill and, having served on the Bill Committee, I am aware of its importance. I welcome my hon. Friend’s point about grouping councils together and I highly recommend the Minister looking at that. I was responsible for bringing children’s services together with Hammersmith and Fulham and Kensington and Chelsea when I was children’s services lead at Westminster Council, so I know how important it is that we ensure that local authorities, where possible, can work together, not only to be more cost-effective, but to provide a better service.

[Bob Blackman]

There are also several advantages beyond those my hon. Friend mentions. Providers that provide across more than one district housing authority will then have one set of regulations to abide by rather than, potentially, a number of different ones. That was the original intent of the Bill: to ensure that we deal with the rogue landlords and encourage the good providers to carry on with the excellent work they do. We also need to ensure that no one can slip through the net as a rogue provider, so I am glad the Minister has put forward that proposal.

As my hon. Friend the Minister has said, various different providers are exploiting the system via internet and other social media activities. I recommend her taking a look at a new set-up called RoomMatch, which I believe is just about to be released, and which enables users to look at what providers are providing—both the quality of accommodation and the support provided—to assist those placing vulnerable people in those types of accommodation. At the same time, the people going into that type of accommodation can view it virtually before they get anywhere near it.

The amendment will prevent unlawful providers that have had regulations imposed as a result of the Bill by the local authority in which they operate from simply upping sticks and moving to a nearby authority that does not have regulations, and then continuing to exploit vulnerable tenants for vast quantities of money while still providing a shamefully inadequate level of care. That is the big challenge. Unfortunately, I have had experience of seeing some of that; it is truly dreadful what we put certain vulnerable people through. Allowing providers to set up somewhere else and continue to exploit people would leave the purpose of the Bill unachieved. I am delighted that the amendment has been tabled; I think it will prevent the worst-case scenario.

It may seem unlikely to some people that the aforementioned case could take place, but I have visited numerous examples of such supported housing. The set-up is extremely quick, and there are low start-up costs, so rogues can set up very quickly and far too easily. They do not need to obtain planning permission, because of the permitted development rights they acquire when providing supported accommodation. Consequently, they can immediately start up and falsely advertise the property on social media networks as good quality with a high level of care. Residents promptly apply, particularly because there is currently a limited amount of affordable housing in the private market.

Almost immediately, tenants are found, and the high rent payments start coming in. To be clear, this is an industry that, when abused, pulls in huge profit margins, so it is completely within the rogue landlord’s interest to set up in another district, even if it is only for a year, before the housing authority introduces regulations. I welcome this amendment, which will send the strongest possible signal to those who wish to abuse vulnerable tenants.

Amendment 2 will enable the licensing regulations under clause 4 to include in the list of conditions attached to a licence requirements related to the needs assessment of those looking to enter exempt accommodation and supported housing accommodation, and it has my complete support. I commend the excellent report that the Levelling Up, Housing and Communities Committee did on this. Its Chairman, the hon. Member for Sheffield South East (Mr Betts), tabled the amendment in Committee, and I am glad that the Minister agreed to look at it further and refine it to make sure it was fit for purpose. I am glad that she has agreed to adopt the amendment, and I thank her and the hon. Member for Sheffield South East for their contributions and advice relating to it.

I emphasise that good providers have nothing to fear. I have been to many supported housing units where the first thing they do is conduct a needs assessment of the individuals. If a provider is possibly taking someone for two years, they need to assess their needs, so that they can provide the right level of support. It is a scandal that many rogue providers provide no support whatsoever. This amendment is extremely welcome. It has support from Members on both sides of the House and has been broadly welcomed and accepted by local authorities, housing providers and charitable bodies across the sector, which is incredibly reassuring.

At present, the Bill stipulates that the conditions that may be attached to a licence include conditions relating to the standard of accommodation; conditions relating to the use of accommodation; conditions relating to the provision of care, support or supervision; and conditions requiring compliance with national supported housing standards, when we eventually publish them. Amendment 2 will add to that:

“conditions requiring the carrying out of assessments of the needs of residents… and relating to the conduct of such assessments”.

Fundamentally, this means that residents of supported accommodation must have an initial assessment of the level of their needs, to ensure that they have access to the correct amount of care and appropriate care relating to their specific complex needs. As we are all aware, every case is unique, and no two individuals will have exactly the same requirements. I am confident that this amendment will help residents to receive the best care—helping them eventually to stand on their own two feet, rebuild their lives and probably enter the private housing market in future. Local authorities can be held responsible for initiating these assessments and ensuring enforcement by all supported housing providers in their districts. The amendment will ensure that every local authority carries that forward and achieves the best outcome for residents.

Amendment 3 stems from discussions with the Local Government Association; I declare an interest, as a vice-president of the LGA. The LGA is the body that was previously named, which meant that it was consulted on all aspects of licensing regulations. However, as a localist, I believe it is right that local housing authorities and social services authorities are the ones consulted, so that each authority can have its views taken into account by Ministers when decisions are made. Stipulating the LGA as a consultee risked local authorities, as delivery partners, not having the primary opportunity to consult on elements that they will consequently be responsible for enforcing, so amending the Bill in this way is clearly the right way forward. I am pleased that the Local Government Association is highly supportive of the amendment. It has assured me and other local authorities that it will continue to work with colleagues and officials across central Government, other local authorities and accommodation providers to support the future consultation on the Bill. As this will be the case, it has been explicitly named, as per the amendment. The amendment is extremely welcome; it clarifies a point, and I endorse it completely.

I am thankful to the Minister for honouring her pledges in Committee by tabling the amendments, which I wholeheartedly support.

Amendment 1 agreed to.

Clause 5

Further provision about licensing regulations

Amendment made: 2, page 5, line 41, at end insert—

“(ba) conditions requiring the carrying out of assessments of the needs of residents (or potential residents) and relating to the conduct of such assessments;”.—(Felicity Buchan.)

This amendment enables licensing regulations under clause 4(1) or (3) to provide that conditions attached to a licence may include conditions relating to needs assessments.

Clause 6

Consultation

Amendment made: 3, page 7, line 4, leave out paragraph (a) and insert—

“(a) each local housing authority in England,

(aa) each social services authority in England,”.—(Felicity Buchan.)

This amendment substitutes local housing authorities in England and social services authorities in England for the Local Government Association in the list of persons the Secretary of State must consult before making licensing regulations under clause 4(1) or (3).

Third Reading

[Bob Blackman]

I beg to move, That the Bill be now read the Third time.

When we are considering opportunities for private Members’ Bills and when we are drawn in the lottery for them, it is important that we consider what we are going to take forward. I am very conscious that I have met many Members who have been in this House for more than 20 years and have never been drawn in the ballot, and this is my second opportunity to propose a private Member’s Bill. [Interruption.] Members have to enter the ballot if they want to succeed.

My experience in 2016 with the Homelessness Reduction Act 2017 was a key pointer, because Members have the choice of taking a Bill that the Government would like them to take, developing a Bill that the Government completely oppose and going down in flames, or developing their own. In both cases when I have been drawn, I have chosen the latter. That is not the easy route by any means, but when I had the opportunity to propose a private Member’s Bill, I wanted to make sure that I helped vulnerable people who cannot speak for themselves. That is why the Homelessness Reduction Act, the single biggest reform in housing for more than 40 years, came about.

This new Bill, the Supported Housing (Regulatory Oversight) Bill, deals with the vulnerable people who should be assisted as a result of the Homelessness Reduction Act. Both that Act and this Bill stem from reports published by Select Committees on which I have had the honour of serving: we have provided the evidence base and have almost carried out pre-legislative scrutiny on the Bills before we propose them.

I am pleased to speak to this Bill once more as it reaches Third Reading, and I am encouraged by the journey thus far. We have engaged in meaningful and constructive debate, leading to the fine-tuned edits that we have just made on Report. The main message of the Bill, however, remains the same: we want to prevent vulnerable tenants from being exploited by rogue landlords. My central message to the good providers out there—there are some brilliant organisations that help vulnerable people—is that they have nothing to fear from the new legislation. It is the rogues we are after—those who exploit vulnerable people.

As the cost of living crisis continues to affect residents across the country, the need for supported accommodation is growing rapidly. It is therefore vital that we regulate the market now, before many more vulnerable people are subjected to the horrors that are far too often demonstrated. Once again, I take the opportunity to recommend that individuals read the report of the Levelling Up, Housing and Communities Committee, which is available from the Vote Office and other good bookshops: it is a right riveting read. That report highlighted the extent to which tenants were abused, forced and manipulated into damaging practices, whether it be prostitution, substance abuse or discouragement from work—I could go on. People are exploited in an unacceptable way.

The main reason that people are referred to supported housing is to receive the constructive support they need to transition back to normality, yet far too often, those people go backwards as a consequence of damaging malpractice. It is an issue that is popping up in more and more constituencies all over England, highlighting the need for prompt regulation. The sheer volume of money that landlords can make in this corrupt practice is so huge that once others learn of it, they jump on the bandwagon. It is a licence to print masses of money very quickly.

[Mr Deputy Speaker (Sir Roger Gale)]

Order. I apologise to the hon. Gentleman; he may resume his speech in a few moments.

Debate interrupted.