Draft Electrical Safety Standards in the Private Rented Sector (England) Regulations 2020

Debate between Meg Hillier and Luke Hall

Tuesday 17th March 2020 General Committees

[Luke Hall]

I am grateful for the contributions to the debate. I am certainly grateful for what sounds like support for the principle of introducing the regulations but, understandably, a number of questions have been raised.

All Opposition colleagues asked why this has taken so long. We wanted to introduce them early in this Parliament, having announced in July 2018 that we would introduce mandatory requirements. I hope all Members will appreciate that there have been parliamentary challenges on time over the past couple of years, but we have been using this time to work closely with experts in the sector, carefully considering some of the complex issues that we have talked about in the debate to ensure that what we are introducing is proportionate. Delivering the regulations early in this Parliament has been a priority.

We have heard a couple of questions about how landlords will know that an electrician is a qualified and competent person. We will ensure that landlords know that an electrician is a qualified and competent person. Before the regulations come into force, guidance on this specific issue will be published for landlords. I will make a note to ensure that the Members who have spoken in the debate are notified when that guidance is published.

[Meg Hillier]

I thank the Minister for alerting colleagues in the room—presumably others will pick this up—but we are now in mid-March. The regulations come into force in June, but landlords will want to make plans to get the tests done. When will the Minister provide that information? Will it be in time for landlords to know exactly who they should ask to do such work?

[Luke Hall]

I cannot give the hon. Member a specific date, but I will respond to her in writing on a number of the issues that she and others have raised. I will do my best to provide a date as soon as possible.

The right hon. Member for Warley mentioned the idea of competent person schemes and the principle of trusted trader schemes. We will be encouraging industry to establish competent person schemes but membership of them will not be compulsory, to ensure that there is no further pressure placed on industry nor burdens placed on inspectors or customers.

--- Later in debate ---

[Meg Hillier]

I thank the Minister for giving way again. I raised the issue of new burdens. We recognise that in certain parts of the country there are clusters of poor landlords, who need to be driven out. The challenge, though, is for local authorities, because they are going to have to pay up front for the inspections for the work before they get any money from the fines. Some of those landlords may well be the sort of fly-by-night people from whom it is very difficult to extract the fine at all, because they will find a way of dodging it by going bankrupt or whatever, or they often have properties in the name of other family members. How is the Minister going to make sure that local government can afford to get on with this job, and has he considered the new burdens?

[Luke Hall]

I thank the hon. Lady for making that point. The House has secured the most positive local government finance settlement for 10 years, a £2.9 billion increase in funding for local authorities. We are quite clear that that will not resolve all of the pressures on local authorities, but that settlement—a 4.4% real-terms increase in support for local government—has been welcomed by the sector, and we think they do have the resources they need. We accept that they are—

[Meg Hillier]

I apologise for intervening on the Minister again, but the new burdens rules are very clear. If there is a new requirement for local government to act, the Department has to make sure that the Treasury provides the necessary money to local government for at least 12 months after the new burden is introduced. If he cannot answer now, perhaps he could write to us with that information, but this is vitally important, particularly in areas with large swathes of unscrupulous landlords where it will be costly for the local authority to act when, quite rightly, they will want to do so.

As Chair of the Public Accounts Committee, I must pick the Minister up on the fact that Minister after Minister stands at the Dispatch Box and tells us that local government has had its biggest financial settlement in cash terms for the past decade. That is because local authority funding has been cut back so ruthlessly over the past decade—by 40%, in my own local authority’s case—so that does not go anywhere near filling the gap. There is still a huge squeeze on local authorities, and they certainly do not have money swilling around to deal with this as a huge priority above everything else. Although it is vital that they deal with it, they are having to face Hobson’s choice, so will the Minister undertake to look at those new burden issues? I am sure it has been done already, but if he cannot tell me now, perhaps he could write to me.

[Luke Hall]

I will write to the hon. Lady with that information. She is right, by the way, that we do not think this latest settlement solves all the pressures that local government is facing. The Secretary of State made that very clear when we brought the settlement before the House a couple of weeks ago, so we completely appreciate that point. We do think, though, that it is the most positive settlement for a few years, and are pleased that it has been welcomed and supported by the whole House for the first time in a number of years. We will absolutely consider the points that the hon. Lady has made.

I am grateful that the Committee seems to support these vital regulations, and I will pick up on the points that have been raised. They will drive up standards and reduce injuries in the private rented sector, so I am grateful for the Committee’s support.

Question put and agreed to.

Resolved,

That the Committee has considered the draft Electrical Safety Standards in the Private Rented Sector (England) Regulations 2020.

Oral Answers to Questions

Debate between Meg Hillier and Luke Hall

Monday 24th February 2020 Commons Chamber

[Luke Hall]

Of course, it is for local authorities to decide their individual local priorities, but my right hon. Friend is right to highlight the fact that the real-terms increase in core spending power for councils up and down the country means that money can be invested in the services that local authorities need the most.

[Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

The Minister said that councils are responsible for their own decisions. He is right on one level, but many local authorities are increasingly over-exposing themselves to certain commercial sectors—the Public Accounts Committee has examined this in depth—putting at risk council tax payers and the fabric of local government in their areas. He will know that some councils are at risk right now, so what is his Department doing to ensure that we are protecting council tax payers where local government is not doing so well?

[Luke Hall]

The hon. Lady raises a serious point about the effectiveness of some types of spending. We are working with the Treasury to review the Public Works Loan Board rates and flexibilities that local authorities have, and we will ensure that we keep her updated in due course on the progress of that review.