Oral Answers to Questions
Debate between Dan Carden and Matthew Pennycook(1 week, 2 days ago)
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Matthew Pennycook
The Government have recognised openly that there is a perfect storm when it comes to house building in London. That is precisely why we are consulting on an emergency package. As the hon. Gentleman will know, the consultation closed just weeks ago and he does not have long to wait before we come forward with next steps.
Dan Carden (Liverpool Walton) (Lab)
Private market rents are most extortionate in working-class communities such as mine, where people can still buy a terraced house for around £70,000. So far, the Government have kept regulation linked to market rents, but we could do something different. We could do something that the Tories and Reform cannot do and that previous Labour Governments did do: as with Harold Wilson’s fair rents, we could have rent controls in deprived areas with poor housing stock. Will Ministers at least consider a pilot? Why not do it in Liverpool?
Matthew Pennycook
I am sorry to disappoint my hon. Friend, but the Government have been very clear that we do not support rent controls. The provisions of our Renters’ Rights Act 2025 will ensure that landlords can increase rent only once a year and that tenants are empowered to challenge unreasonable rent increases.
Oral Answers to Questions
Debate between Dan Carden and Matthew Pennycook(1 month, 2 weeks ago)
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Matthew Pennycook
The Government remain committed to implementing social rent convergence to support additional investment in new and existing social housing. We will announce a decision on how it will be implemented later this month, before the launch of the social and affordable homes programme. That decision will take into account the benefits to the supply and quality of social and affordable housing, and the impact on rent payers and welfare spending.
Dan Carden (Liverpool Walton) (Lab)
The Minister for Housing and Planning (Matthew Pennycook)
The Renters’ Rights Act 2025 contains provisions allowing tenants to challenge unreasonable rent increases. The new tenancy system will come into force on 1 May this year, at which point landlords will only be able to increase rents once a year to the market rate, and tenants will be able to challenge unreasonable increases at the first-tier tribunal. The Act will also put an end to unfair rental bidding practices and demands from landlords for large amounts of rent in advance.
Dan Carden
I regularly hear from constituents who are being pushed out of their homes by rip-off hikes from unscrupulous landlords. The average rents in Liverpool have risen by 8%, well above the average for England. I welcome the Government’s action through the Renters’ Rights Act to tackle unfair rent increases, but it concerns me that market rents will be used as a benchmark to prevent unaffordable rents from rising. How will the Government review the effectiveness of these measures, and, if necessary, will they consider further action in due course?
Matthew Pennycook
We will of course keep the implementation of the Act under continual review, but, as I have said, it allows tenants to challenge unreasonable rent increases at the first-tier tribunal, which will make a judgment on whether the increases are fair and meet that market-rate definition. We have, however, made it clear that the Government do not support the introduction of rent controls, including rent stabilisation measures, for the reasons that we debated at some length during the passage of the Bill.