Renters’ Rights Bill

Lord Northbrook Excerpts

Thursday 24th April 2025 Lords Chamber

[The Earl of Leicester (Con)]

My Lords, I refer to my declaration of interests with respect to this Bill, including a large portfolio of residential property in north Norfolk, 93% of which is let out to local people, key workers and direct agricultural workers, with only seven holiday lets and seven lets to family members.

This schedule is on grounds for possession, and some excellent amendments have been put forward, to which I urge the Government to give serious consideration. However, as a generality when talking about grounds for possession, as a landlord, I do not want to lose tenants. I hate voids. As an example, I have 47 tenants who have been my tenants for between 21 and 40 years, and 45 who have been my tenants for between 11 and 20 years. These are people I know. They are my friends, they are in the community, they are contributing to the community and they, of course, live in it. Many noble Lords have spoken about the importance of not losing good landlords, and this Bill, as it is currently written, is very much in danger of creating that reality.

I turn now to Amendment 63 in the name of the noble Lord, Lord Carrington, to which I have added my name. It is essential that we allow a property owner to manage his or her property for change of use to commercial, whether that be retail, office or industry.

Let us assume a farmyard with a cottage that has a sitting tenant. The landowner gets planning permission for a block of offices or retail. Those offices and retail are going to produce a huge kick to the economy, jobs for the builders and groundworkers, and then, once they are occupied, jobs for the people working in them. So it would not be right that a single person or a family living in a cottage could stymie that development. The reality is that a landlord who is sensible—which most landlords are—would have open communication with their tenant, explain what is going to happen and try to offer them a different property. If a tenant refuses to move, that will have a real effect on the economy. This Government—who talk about growth—really need to understand that, by not accepting this amendment, they will very much be stymieing growth.

I will give another example, again I am afraid from my own playbook. It is an example of planning permission—albeit for residential, which does not necessarily refer to this amendment, and on green belt land. We are building 23 houses at the moment. Eight are for private sale, four are for affordable rent, two are for shared ownership with Broadland Housing Association, four are for intermediate rent with Homes for Wells, which is not really a housing association, and five will be retained by us for private rent. If this Bill goes through as it is proposed by the Government, why would I bother? It is really important that the Government listen to all these sensible amendments being proposed and I really hope the Minister will do so.

[Lord Northbrook (Con)]

My Lords, I firstly declare an interest as a private landlord of residential properties in Hampshire.

I support Amendment 60, to keep the rent arrears landlord legal action limit to two months rather than four. As the noble Lord, Lord Carter of Haslemere, said, landlords are not charities, and the noble Lord, Lord Hacking, agreed with this. I also support Amendment 63 in the name of the noble Lord, Lord Carrington, which also seems very sensible.

Local authorities are already reluctant to sanction a change of use from residential to commercial, so they exercise careful control over this. As the noble Earl, Lord Leicester, said, money from permission to convert residential properties to commercial can be used to pay for and improve properties, and something that has not been mentioned much so far is the EPC problem that a lot of these cottages have, and the extra money that needs to be found to pay for this.

[Baroness Thornhill (LD)]

My Lords, I would like to thank all the parties in the renters’ coalition for their work on many aspects of the Bill, particularly this one. They have very patiently answered my every query as I have attempted to familiarise myself with all the grounds for possessions and the implications of that.

Before I move to the detail of my Amendments 26 and 27, I would like to offer support for Amendments 24 and 30 from the noble Baroness, Lady Warwick. If one recalls—because she was right at the beginning of the debate—this was about ground 6B, when the house is required back for works to be done to it. Given that the landlord is not obliged to provide alternative accommodation while the works are done, we believe it might justify consideration of compensation, mainly because—this is interesting—6B is already being described on property websites as a “loophole”. Ground 6B currently lacks clear definitions and proper oversight, so it runs the risk of being misused, disputed or even ignored. Any moves to reduce court use, given our concerns in this regard, are also to be clearly welcomed.

Amendments 26 and 27 pertain to the two no-fault grounds for eviction: namely, ground 1, moving in a family member, and ground 1A, selling the property. First, the increase in notice periods from two to four months for eviction on these grounds is most welcome, giving tenants more time to find a new home. Amendment 71 from the noble Baroness, Lady Jones, strengthens this further by the discussion of compensation, as she outlined, and we feel that this complements our amendments.