Private Rented Sector

John Pugh Excerpts

Wednesday 23rd January 2013 Commons Chamber

[John Pugh (Southport) (LD)]

I am grateful to the Opposition for securing this important debate, and for the measured way their Front-Bench team have introduced it. They have pointed to a serious and old problem. Fundamentally, it consists of a shortage of the right sort of decent, affordable property, with rogue landlords exploiting the situation, and an insecurity of tenure existing in places where it should not. I used the phrase “old problem” advisedly, because if anybody knows anything about the Communities and Local Government Select Committee in the previous Parliament, they will know that, under Phyllis Starkey, who was then the Member for Milton Keynes, South-West, it concentrated fervently on housing issues. The Committee was not uncritical of Government policy and initiatives, whether talking about decent homes, empty homes, HMO regulation or pathfinders. It was rarely the case that initiatives were judged by the Committee to be an unqualified success.

We must all acknowledge the reality that all recent Governments have been slow to respond to clear demographic trends: immigration; the break-up or fracture of households, which is another pressure on households that we do not often talk about; the slow build rate, which I think the Labour party would own up to and which was not as good as Labour would have liked it to be; and the effective and deliberate termination of the role of councils in the running and provision of houses. The former Member for Sedgefield, Tony Blair, was repeatedly reminded of that deficiency at Prime Minister’s questions.

Essentially, we are left in a situation where most parties are reconciled to the idea that the housing market itself must provide—the state has, as it were, tactically withdrawn. This is simply about how to regulate, or, alternatively, how to stimulate the market. This Government like to stimulate, and fear to regulate. In fact, I think there is a rule that before introducing one regulation, they have to get rid of two. That is a nice slogan, but ultimately a slightly mad policy. If the Government do not stop regulating and the rule is applied consistently over time, the logical consequence will be that there will be only one regulation left, and then the rule itself will be become inapplicable.

The amendment warns us of “excessive red tape”. To say that excessive red tape is a bad thing is something of a tautology. I do not know whether anybody actually backs excessive red tape, although it is possible that there are some red tape fetishists out there—“Fifty Shades of Red” or whatever. However, the amendment is making a legitimate point about exercising caution. Landlords are a various bunch. Some MPs are landlords and have MPs as tenants. Some landlords are quite orthodox business men. Some people turn their pension into a flat. Some landlords are institutions, such as the Oxford colleges, the Church of England and so on; and some, as we have all acknowledged, are frankly rogues.

In preparing for this debate, I reminded myself that two of my daughters are accidental landlords, one failing to sell her house in Cardiff when moving north and another failing to sell her flat in London when moving to Cheshire—she is now both a landlord and a tenant. There is therefore an issue about how we regulate such a mixed bag and a legitimate fear that in doing so we might create something that is more costly than we intend or that actually reduces the number of landlords we have—that is, the supply. Therefore, we talk about landlords and how we regulate them, but it depends on who they are and what the local market looks like.

In my constituency, the landlords are pretty good—they have formed themselves into almost a self-policing body—but we have rogue landlords, particularly in the HMO sector. But there are some landlords—one major landlord in my area—

[Mr Speaker]

Order. I am afraid that the hon. Gentleman’s time is up. I am saddened by that, as I think the House will be too.