All 2 Paul Blomfield contributions to the Renters (Reform) Bill 2022-23

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Mon 23rd Oct 2023
Wed 24th Apr 2024

Renters (Reform) Bill

Paul Blomfield Excerpts
2nd reading
Monday 23rd October 2023

(1 year, 2 months ago)

Commons Chamber
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Paul Blomfield Portrait Paul Blomfield (Sheffield Central) (Lab)
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Almost 40% of my constituents are private renters, and I am pleased to have the opportunity to reflect their concerns. Of those, many are students—I think I have the largest number of students of any Member in the country—and I want to raise their concerns as chair of the all-party parliamentary group for students.

I was one of a cross-party group of 60 parliamentarians who wrote recently to the Secretary of State urging him to bring forward this legislation, so I am delighted that we have it. I did so primarily because of its promise to fulfil the Government’s pledge to end no-fault section 21 evictions, so it is a bitter disappointment that the Government appear to have frustrated the hopes of tenants by kicking the abolition of section 21 notices down the road to some potentially distant future, after further changes to the courts system—something that I saw that the National Residential Landlords Association has celebrated in a statement today, as a result of its “extensive lobbying”. I hope that the Government will think again, or at least give us an assurance this evening of the date when they plan to fulfil the ambition for no-fault evictions.

I hope the Government will go further in delivering the promised new deal for private renters in other areas, because I share the concern of the Renters Reform Coalition that the Bill needs amending to ensure that the proposed “landlord circumstances” grounds for eviction do not become the new section 21. The tenant should be given four months’ notice rather than two. There should be a one-year ban on re-letting after invoking the new landlord circumstances, rather than the proposed three months. We need stronger mechanisms than those proposed to stop unaffordable rent increases—of which we have heard examples already this evening—pricing tenants out and becoming the new section 21. We need to ensure that tenants can be confident in raising issues and making complaints without fear of retaliation. I hope that those issues will be considered seriously in Committee.

I want to raise the concerns of student renters. There is an exemption for purpose-built student accommodation, but many students live in the parts of the private rented sector that are covered by the Bill—around 45% of them, or 600,000 across England and Wales. Their voices have not been fully heard, which our all-party group has been trying to address. In May, we held a roundtable with student representatives from most of our major cities and many of our smaller towns. They agreed that there were many positive elements to the Bill, but raised issues that needed further clarification if it is to succeed for all renters.

I see that in his response to the Select Committee, the Secretary of State accepted the argument of landlords that

“the student market is cyclical and…landlords must be able to guarantee possession each year for a new set of tenants”.

He went on to state that

“we will introduce a new ground for possession to facilitate this.”

I understand that case, and it was reflected in some of the student voices that we heard, but we need to take care about how we do it because there is an underlying false assumption in the discourse around the issue that all students fit a traditional stereotype: on three-year undergraduate courses, wanting a 10-month contract and leaving their university town when they finish their studies. However, students are not homogeneous. Undergraduates and postgraduates have different requirements; there are 30-week programmes and 52-week programmes; some courses start at different times of the year and have a different cycle. There are mature and part-time students, students with families, estranged students, international students, graduate apprentices, those who stay on to study or work during vacation while their friends do not, and those who want to make their university house a permanent home.

Many students live in mixed households, with recent graduates or other non-students. It simply would not work to have people in a mixed household on a shared tenancy with different rights. A grounds for possession clause might protect the market, but a one-size-fits-all approach will not address the fact that not all students want properties that are cyclical with the standard undergraduate year. So we need a clear definition of a student and how grounds for possession will be implemented. I would welcome some acknowledgement from the Minister, in winding up this evening, that the Government have given consideration to those complexities in their proposals in relation to students.

We also have to recognise that the student market differs greatly across the country. Large cities are different from smaller towns, and urban and rural-based universities are different again. The Higher Education Policy Institute’s study of the Scottish experience highlighted the risk in tourist areas, or in other areas with low supply and high rents, that not exempting students will encourage landlords to move out of student accommodation. Student representatives expressed concern to us about being priced out in some areas by young professionals. On the other hand, there are worries that exempting students in some areas will risk them becoming second class renters, attracting less scrupulous landlords into student accommodation because they are relatively unprotected tenants.

Student renters face many of the same issues as other renters and they deserve the same broad protections. They face specific issues, too. The raised with us the growing pressure they are under to view and sign tenancy agreements for a property earlier and earlier each year—often in this term, early in the academic session, before friendship groups are formed—leaving them locked into unwanted contracts. The Bill does not address that, but students felt that it should. There are other questions that need addressing if we are to exempt students. What happens if a renter’s student status changes during the tenancy? How will the Bill address the issue of joint tenancies?

To conclude, I simply say to the Minister that we should not rush to exempt students from the protections in the Bill relating to no-fault evictions and keep them uniquely locked into fixed-term tenancies without careful consideration of the impact on all types of students in all parts of England and Wales. Even then, we need to ensure they continue enjoy the protections in the Bill. I hope the Minister will agree to meet the all-party parliamentary group for students, and student representatives, to hear our concerns.

Renters (Reform) Bill

Paul Blomfield Excerpts
On the one hand, I understand the concerns of my hon. Friend the Member for Totnes (Anthony Mangnall), but on the other hand I also understand the concerns of others, such as my hon. Friend the Member for Dover, who worries that it is too easy to evict people. It is not easy to get the balance right, but in putting forward this suite of carefully judged amendments, the Government have done that. The Bill will make it fairer and more secure for people in the private rented sector, but it also treats landlords fairly. I think that is a fair balance.
Paul Blomfield Portrait Paul Blomfield (Sheffield Central) (Lab)
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While I respect the views of the hon. and learned Member for Bromley and Chislehurst (Sir Robert Neill), who raised some valid points about the county court system and the pressures on it, as someone representing a large number of private renters, I must nevertheless express my concerns and share those raised by the shadow Minister and others about the Government’s failure to deliver on their promise on no-fault evictions. I rise, as chair of the all-party parliamentary group for students, to comment specifically on the proposals in relation to students, to support new clause 41, tabled by my hon. Friend the Member for Leeds North West (Alex Sobel), and to speak to amendment 260, which stands in my name.

Students form a substantial part of the private rented sector. Back in July, the all-party parliamentary group organised a meeting to ensure that their views were heard. We brought together people from different nations of the UK and from all parts of the country. The Minister—sadly, he is not currently in his place—would have found it useful, because it highlighted a number of issues in the Bill that have not been properly thought through. I have discussed with the Minister the issues that came out of our meeting, and I am grateful to him for having found that time, but I want to share some reflections at this point in the Bill’s progress.

First, on the decision to extend grounds for eviction from purpose-built student accommodation to houses in multiple occupation and potentially to other student renters, there are mixed views across the country. Some are worried that exempting students makes them more attractive to less scrupulous landlords as potentially second-class, less protected tenants. Others, though, were concerned that giving students the same protection as other renters would force landlords to leave the student market, with that point made by landlords in areas where there was significant pressure on the housing market. Overall, we reached the same view as the Select Committee: on balance, the exemption is probably right, but it needs to be kept under review.

There is, however, a wider problem with the whole approach to students in the Bill. It seems that the Government have approached students with a one-size-fits-all model: they are undergraduates aged 18 to 21, living away from the parental home from the first time, and living there during term time only. However, students at our meeting were at pains to point out that they are not a homogeneous group. There are mature students who are renting in their home city and need to be there all the time, and students with families. Many courses do not start in September and are not on the cycle on which the Government’s amendments are premised. There are postgraduate taught programmes on a different, longer cycle. There are postgraduate research students on full-time programmes over several years, who are like any young professional. There are mixed households of students and non-students, particularly where groups of friends form and perhaps one member graduates.

I discussed all those variations with the Minister— I am glad to see him back in the Chamber—and his view was that any atypical student would simply not be subject to the exemption, partly because these issues have not been thought through properly. That might be in their favour because they will have greater protection, or it might leave them out in the cold because landlords will find them less attractive within the student market. Again, that emphasises the need to keep the impact of the student proposals under close review.

As the Minister resumes his seat I will move to my amendment 260, which raises a further issue that he referred to: the cycle of student tenancies, which I have discussed with him and on which he was sympathetic. When some of us were students, undergraduates would start university in September, settle in and make friendship groups, and towards the end of the academic year, after Easter, they would start looking for accommodation for the subsequent year. We have seen a landlord-driven arms race, as my hon. Friend the Member for Leeds North West referred to it, in which they have pressured students ever earlier in the year to enter into contracts for the subsequent academic year.

It is now the norm in many parts of the country that students starting a course in September are put under pressure by landlords the following month to enter into a contract for the following year. That forces them to pay a substantial deposit at a point in their life when they already have significant additional costs. It also forces them into joint tenancies with groups of people who they might discover later in the year are probably not who they want to live with in the subsequent year. Appeals to landlords to step out of the contract into which they entered are invariably rejected.

As the Government’s proposals are to regulate on the basis of that tenancy cycle, my proposition is that we try to make that cycle work better by saying that designated student contracts should not start sooner than March of the year in which students will take occupation in September. That would be in the interests of tenants, for the reasons that all of us who represent students will know. Setting a defined starting point will also end the arms race, in the interests of landlords.

Wera Hobhouse Portrait Wera Hobhouse
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The tendency that the hon. Gentleman refers to is not new. My daughter, who graduated in 2011 and therefore started in 2008, was already under that pressure. He is right that for a lot of young people it is incredibly difficult to find a group of people they want to live with the following year within a month of arriving at university. His proposals are commendable and I hope the Government are listening.

Paul Blomfield Portrait Paul Blomfield
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I thank the hon. Lady for her intervention. It does vary in different parts of the country, but the way in which it has come earlier and earlier each year, to the ludicrous position where students are being forced into contracts for the subsequent year almost at the moment they start their first year, clearly needs to be addressed. As I said, I have discussed this issue with the Minister. When we talked about it he seemed sympathetic, so I hope it is an issue we can address as the Bill progresses.

Wera Hobhouse Portrait Wera Hobhouse
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Before I start my remarks, I refer the House to my entry in the Register of Members’ Financial Interests.

My amendments—amendments 39 to 41—all refer to the Protection from Eviction Act 1977. I have raised this issue with the Government for the past two years, after one of my constituents, who is a lecturer in law at Bristol University, came to me with his concerns. To be fair to the Government, the Under-Secretary of State for Levelling Up, Housing and Communities, the hon. Member for Kensington (Felicity Buchan), had a meeting with that group of academics, but then I heard nothing, which was a little bit disappointing. I have, just this afternoon, received a reply from the Minister. I thank him for that, but it was dated yesterday and only sent to me today. I will look at it very carefully, but it is still important that I raise here what I have to say.

There are two parts to amendment 39, which relates to the law on harassment of a residential occupier. At the moment, the law is complex and confusing, particularly for lay people, and difficult to enforce. I have glanced over the response from the Minister. The Government believe that there is currently enough power of enforcement. As I understand it, the 1977 Act is quite unknown. Local authorities and the police do not know enough about it. I wonder how we can work in that space to ensure that any unintended consequences brought in by the new legislation will not allow rogue landlords, or those who do not want to do the right thing, and refer them to other pieces of legislation.

First, the amendment would change the law so that everyone who is harassing a residential occupier to try to get them to move out of the property is subject to the same law. Currently, if a criminal landlord is harassing the tenant, the law is fairly clear. However, it might be another individual who is harassing the tenant to get them to move out. In this case, the local authority has to try to find out whether the person doing the harassing is an agent acting for the rogue landlord.

There is also often deliberate obscurity about the identity of the landlord. Investigating the relationship between individuals to establish their precise legal relationship is time consuming and unnecessary, where the aim of the legislation is to protect residential occupiers from harassment. The amendment changes the law to make enforcement easier for local authorities. The change will not affect the position of landlords. They will continue to be subject to the same law. It is only the local authority that can prosecute this offence, and it would still need to prove that a rogue landlord, their agent or any other person knew, or had reasonable cause to believe, that their actions would have the result of causing the occupier to leave.

The other thing that the amendment would do is clarify the law. Currently, if a rogue landlord interferes with services that are reasonably required for the occupation of the premises as a household, that can constitute harassment. However, it is not clearly stated what those services are—I can think of essential services, such as electricity, cutting the water off or even changing the locks—so it is important that we take that into consideration. We are not talking about decent landlords, as I have always made very clear. It is about getting to those landlords who are clearly not doing the right thing.

As I said, it is not clearly stated what the services are. Amendment 39 sets out a list of such services, including water, gas and electricity, as well as access to “electronic communications networks and services” as defined in section 32 of the Communications Act 2003.

Amendment 40 deals with three issues. First, the law on whether certain occupiers are protected by the legislation on illegal eviction is very complex, and it can be very difficult to establish. That is because some occupiers—for example, those who live with the landlord—are excluded from the protections in the law and can therefore be evicted without a notice or court order. That creates an incentive for sham arrangements whereby a rogue landlord might pretend to live with a tenant to circumvent the protections in the Protection from Eviction Act 1977. The amendment reverses the burden of proof, placing it on the landlord, who must establish that an occupier is not protected by the law. It is based on the idea that everyone has the basic protection of the law unless they are in an exclusionary category for a good reason. The presumption should be that they are protected.