(10 years, 5 months ago)
Commons ChamberIt is important to recognise the opportunities that the private rental sector offers in terms of choice for people and of benefits to the work force. To be able to move to a city for a new job with no worries about finding somewhere to live is hugely attractive and allows people to experience living in different places without the commitment of buying a property. The fact that a third of private tenants in London have lived in their property for less than a year should not be seen as a uniformly negative thing. In my constituency, we see a great deal of churn, with young renters coming and going. They like the flexibility. Moving around different areas and sharing with friends and colleagues is an interesting and formative stage for many young professionals. Not everyone considers three-year tenancies to be either desirable or the norm. For others with different needs, more supply providing more choice and more competition is surely the right way forward.
Of course there are cases of unscrupulous landlords, but there are ways of minimising the problem without wholesale state intervention in the market. The Mayor of London has introduced the London rental standard, aimed at accrediting landlords and bringing transparency to the market. Landlords with the accreditation will be more attractive to both renters and agents, and in a competitive market, the advantages of signing up to it are clear. Councils could, in some cases, do more to ensure that private landlords, to whom they pay housing benefit, do more to ensure their properties are maintained to a good standard.
Estate agent fees can be unpopular, but the agents are operating in the free market and will be paid for their service. It is unrealistic to think that the costs would not simply be passed on by increasing rents if the one-off charges were scrapped. Someone has to pay them for their professional time spent doing the admin work. In any case, estate agents are starting to reduce fees in many cases in order to be competitive. Many landlords will acknowledge the speed with which the marketing undertaken by agents can fill their properties, and similarly, agents make finding a property remarkably straightforward for the renters. Agents can fulfil a useful purpose.
The best solution to affordability of housing, whether rented or not, is to increase supply, as so many in the Chamber have said today.
In terms of fees paid, the hon. Lady surely cannot think it is right that some agents charge people £450 simply to change the name on an agreement, because one of the people sharing a flat has moved out and someone else has moved in.
To my knowledge, in many cases, agents do considerably more than that. They check the credit details for people who are going to be renting the property, and there is often quite a lot of admin work involved in the work they have to do. As I say, I think they would expect to be paid for that.
(13 years, 8 months ago)
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I do not wish to be rude, but the only thing to add to the hon. Gentleman’s contribution is, “Or I will eat my hat.” I do not have the faintest idea which of those estimates is true, and the odds are that neither will prove true. He knows that as well as I do. We should not be whacking in all this money on the basis of estimates that nobody can back up. All we are really faced with is the proposition that we should support a fast shuttle between Birmingham and London.
I will be very brief. The right hon. Gentleman’s case seems to be that we should never do anything on the basis that we might not be absolutely certain about it. Sometimes projects have to be started. If we never start a project, we will never get any progress.
I will finish on that point. I was always a strong supporter of the channel tunnel and the channel tunnel link. When the same preposterous railway strategists came up with a proposal to place the terminus for High Speed 1 in a cave under King’s Cross station, I was among those who led the opposition to that and proposed St Pancras station instead; we were not entirely nimbyist. Whatever anybody says, that has been a brilliant success. I do not believe that the people who come up with these proposals have done the work properly. If we are to have a proper high-speed network, this is the last way and last place in which to start it.