Homes (Fitness for Habitation) Bill

Debate between Matt Rodda and Kevin Foster

3rd reading: House of Commons & Report stage: House of Commons
Friday 26th October 2018 Commons Chamber

[Matt Rodda (Reading East) (Lab)]

I rise to speak in favour of the Bill and to urge the Government to go further. I wish to point out just how serious the issue of poor-quality private rented accommodation is in my constituency and to show why urgent action is so sorely needed.

Just last week, I met a constituent who was desperate for help. She is a single mother who lives in damp terraced accommodation, with mould growing on the walls. She was desperate. Her son and daughter both have problems with their breathing. One of them has asthma and was seeing the doctor about it. She had asked the landlord for help, but he was unwilling or unable to make changes to the property and solve the damp problem. She is applying for a council house, but because of the severe shortage in places such as Reading and Woodley, she is unable to progress quickly up the list of those seeking homes. The woman’s plight explains the seriousness of the issue and why urgent action is needed.

In Reading, nearly a third of houses are in the private rented sector. There are many good landlords, but there are also many who do not provide a good service. Problems with damp, difficulties with landlords and high fees all make for deep-seated problems that affect thousands of local people. At the same time, as was mentioned earlier, councils have few powers to tackle rogue landlords and there are simply not enough good- quality private rented properties or council houses available in many parts of the country. I urge Ministers to take steps to address this serious problem by considering Labour amendments to the Bill and other related measures on the issues that affect the wider housing sector.

Several amendments to the Bill were proposed, and I am grateful to the Government for taking some of them on board. I hope that they will look again at one in particular. Earlier this year, I spoke about the potential loophole that allows landlords to charge for items such as lost keys. That could provide less scrupulous landlords with a loophole through which they could bypass the Bill’s intent. I urge the Government to look into the matter again.

Other changes that are needed include a much larger programme of council house building and wider measures to improve the planning and development sector.

I urge the Government to support Reading Borough Council’s bid for about 140 new council houses and ask them to go much further in considering the funds that are available for council house building. In my area, we could easily find families to fit into another 1,400 council properties, let alone the 140 that have been bid for.

[Kevin Foster]

I welcome the spirit of the hon. Gentleman’s speech. Does he agree that his local council may well benefit from the removal of the cap on borrowing to fund housing and therefore might be able to fund more of the council houses he is talking about?

[Matt Rodda]

I do welcome that. My council colleagues tell me that they are waiting for further details from the Ministry of Housing, Communities and Local Government, and I look forward to Ministers being more amenable to local authorities on this matter.

To sum up, as time is pressing, poor-quality rented housing is a serious issue for many residents and urgent action is needed to address both the problem of rogue landlords and the problems in the wider housing market.

--- Later in debate ---

[Kevin Foster]

What I would say to them is, as an Opposition Member said earlier, “If you are renting out a property that is unfit for human habitation, you really should not be in the business of being a landlord. If that is the standard of what you are renting out then, bluntly, we do not want you to carry on.”

Will there be an impact on availability? Possibly, but—and it is a very big but—if someone cannot afford to do a property up to the standard where it is fit for habitation, they have an obvious option, which is to sell the property to someone who can. Another option is to discuss with the local authority whether planning permission needs to be granted to allow for a proper redevelopment.

I recently went to see a superb development in Paignton. It used to be poor-quality, guild house-style accommodation. In theory it was sheltered accommodation, but it was more like guild house-style accommodation, with shared bathrooms and facilities that were not particularly good. It was on the site of a former brewery. It was really not that great and the local housing association took the view that it did not meet the standard. It has been done up properly and there are now 22 new homes. The new apartments are modern properties that meet modern standards of disability access; the facilities reflect this era, rather than the 1950s; and young families have moved back in.

Let us be clear about what happens when we take action on housing standards. I know my hon. Friend the Member for West Aberdeenshire and Kincardine (Andrew Bowie) will agree with this point; indeed, he probably made his intervention so that I would put it on the record. There is always the theory that when we introduce legislation and take action on housing standards, we might reduce the supply and make it more difficult or more expensive—because if we contract the housing supply, the price clearly goes up—for the tenant to find housing. However, in my experience when enforcement action is taken by local authorities, which will still happen, in many cases it results in the same amount of housing, or even slightly more of it, but this time of the right standard.

If a landlord feels that one of their properties is not up to standard—again, I refer to the landlord with a property in Paignton—they should start engaging with the local authority. Most councils will be reasonable and sensible if a landlord is trying to do the right thing. That could mean looking at how the property is used, perhaps converting the property or getting planning permission to allow the proper redevelopment of the site, as happened in Paignton. I am happy to take another intervention but I think that my hon. Friend can be reassured that, although there is always an argument about how much we do in terms of pushing measures so far that we reduce supply, this Bill will not do that. In fact, it could reduce the supply of completely unsuitable accommodation and increase the supply of the type of rental properties that we want to see.

Let me turn to the matter of implying terms into a lease—a sensible and proportionate measure. For those wondering what that means, this is about how the legislation creates the civil enforcement. Any tenancy will now contain this provision in the lease. As has been said, this is not about bringing back a piece of Victorian legislation, where the maximum rental price is now woefully out of date—probably as historical as the piece of legislation itself. Rather, this is about having a modern piece of legislation that does not come with the idea that every so often we need to decide the maximum rent to which it would apply. That makes this a more secure piece of tenancy legislation.

Following amendment in Committee, it would be interesting to understand how the Bill will affect those who rent out a property in a block where the leaseholders are the freeholders. A concerning issue came out following the fire safety work in Torbay after the Grenfell Tower fire. To be clear, there is not a large local authority owner of tower blocks in Torbay, as some hon. Members might have in their constituencies. We have a lot of apartment blocks and blocks of flats, particularly for those entering retirement, where the leaseholder is the freeholder—that is, the leaseholder owns a share in the freehold—and some of these flats may be rented out. In these cases, the freeholder, who is supposed to be dealing with certain issues and maintaining certain safety standards, has absolutely no incentive to enforce against its own shareholders. In fact, the shareholders are not very keen at all for the freeholder to take enforcement action.

There was an example in my constituency whereby a block had been built in the late 1960s—not a dissimilar era from that of Grenfell Tower. There were two apartments on a floor, which had two fire doors, then the corridor and then the door to the stairwell. About 20 years ago, the owner of one flat bought the other flat on the floor and turned it into one property along the whole floor, so instead of having two doors and the fire door to the stairwell, there was now just a fire door to the stairwell. This had not been picked up, partly because the freeholder had no great incentive to take action against the leaseholder, because the leaseholder was the freeholder. In the Minister’s contribution, she might wish to reflect on whether a tenant of a leaseholder would be able to enforce against the freeholder in such a situation.

[Matt Rodda]

Does the hon. Gentleman agree that there is a related issue—cuts to fire services—to which he is almost referring in his very thoughtful contribution? I have had representations from Royal Berkshire fire and rescue service about the dire need for more fire safety officers, who take a long time to train. Many properties in multiple occupation actually have multiple fire safety issues, including small adjustments made by landlords and tenants, as the hon. Gentleman has described, and because of the nature of the buildings, which are often old and in some cases dilapidated. I have heard some very concerning stories about this in my county. Will he refer to that aspect?