Roberta Blackman-Woods
Main Page: Roberta Blackman-Woods (Labour - City of Durham)Housing and Planning Bill (Sixteenth sitting)
Roberta Blackman-Woods Excerpts(8 years, 11 months ago)
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Mr Jones
Thank you, Mr Gray.
It will still be possible for the parties to reach a private agreement on redemption voluntarily outside the statutory regime. The existing redemption procedure is set out in primary legislation. The power to set out the new procedure in regulation provides the flexibility to make changes with greater ease than would otherwise be the case. The new regime is likely to contain a level of detail not suited to primary legislation, as the regulations will be concerned with substantive matters, such as the property rights of both the rent payer and the rent owner, and will include provision on dispute resolution. It seems appropriate for the regulations to be subject to the affirmative resolution procedure.
Dr Roberta Blackman-Woods (City of Durham) (Lab)
I do not wish to say too much about the new clause at this stage, because I am conscious that much of the detail will come in regulations, and I am partly assured by the fact that the regulations will be affirmative. Presumably, we will get an opportunity at a later stage to consider the implications of the new clause in more detail.
Mr Jones
I thank the hon. Lady for her contribution. On the basis of the assurance that we have provided to her, I commend the new clause to the Committee.
Question put and agreed to.
New clause 23 accordingly read a Second time, and added to the Bill.
New Clause 32
Secure tenancies etc: phasing out of tenancies for life
“Schedule (Secure tenancies etc: phasing out of tenancies for life) changes the law about secure tenancies, introductory tenancies and demoted tenancies to phase out tenancies for life.”—(Mr Marcus Jones.)
A secure tenant can currently live in a property for life. This amendment and NS4 phase out lifetime tenancies. In future secure tenancies will generally have to be for a fixed term of 2 to 5 years and will not automatically be renewed. Towards the end of the term, the landlord will have to do a review to decide whether to grant a new tenancy or recover possession.
Brought up, and read the First time.
Mr Jones
I thank the hon. Lady for her question. She makes a very good point, to which I will return.
We are including protections for existing introductory and demoted tenants at the time that the Bill comes into force. Where tenants have a legitimate expectation that they would be granted a lifetime tenancy at the end of the tenancy—because, in the case of demoted tenants, they were previously lifetime tenants, or because, in the case of introductory tenants, the tenancy would otherwise automatically convert to a lifetime tenancy—they will still be given a lifetime tenancy.
I believe that, taken together, the amendments strike the right balance between stability and quality for tenants—new and existing—flexibility for the landlord and a move towards home ownership.
Dr Blackman-Woods
Will the Minister clarify the previous point? If a tenant is currently a local authority tenant with a lifetime tenancy and they move within the stock, does the lifetime tenancy move with them or will they then have to be offered a two to five-year tenancy?
Mr Jones
In my comments earlier, I set out clearly that that can be the case, but that will depend on the circumstances of the tenant at the time and the policy of the local authority.
We want housing association landlords and tenants to reap the benefits from shorter-term tenancies as well. However, we clearly need to consider any changes to housing associations in the light of the recent decision of the Office for National Statistics on classification. We are working through the ONS reclassification decision and considering the options but, given the complexity of the matter, careful consideration is needed. We will continue to work closely with the housing association sector, the social housing regulator and other stakeholders to finalise the deregulatory package, and we will consider any changes to lifetime tenancies in the context of that work.
New clause 33 and new schedule 5 change the rules on succession to secure tenancies and make equivalent changes for introductory and demoted tenancies. Currently there are significant differences between the succession rights for secure tenancies granted before April 2012 and those for tenancies granted after the date when changes under the Localism Act 2011 came into force.
For secure tenancies granted before April 2012 there is a limit of one succession. Spouses and civil partners qualify to succeed automatically, while other family members, including cohabitees, also qualify but only if they have lived with the tenant for at least 12 months immediately before his or her death.
Since April 2012, only spouses, civil partners and those living together as spouse or civil partner have a statutory right to succeed. However, local authorities can provide any additional succession rights that they think appropriate, including to people who have already succeeded, and to non-family members such as live-in carers.
We do not think that there is a justification for retaining the inconsistency of approach between pre-2012 and post-2012 local authority tenancies. We therefore propose that the succession rights for secure tenancies granted before April 2012 be aligned with those granted after that date. The amendments will deliver a consistent approach across all secure tenancies and ensure that common-law partners are put on an equal footing with married couples and civil partners.
Other family members who may have had an expectation of succeeding to a secure tenancy granted before April 2012, having lived with the tenant for at least 12 months, will lose their statutory right to succeed. We do not think that it is right that those who may not need social housing, because, for example, they can rent or buy privately, should have the automatic right to succeed to a social home when nearly 1.4 million households are on council waiting lists.
Mr Jones
I am trying to think carefully about the hon. Lady’s logic. I think that the circumstances she mentioned would apply to people who have a lifetime tenancy. If a person does two years and, by their own volition, whether they are on a lifetime tenancy or a fixed tenancy, moves into private rented accommodation and then comes back to the local authority for rehousing, they would not have built up the three years that makes them eligible to take on the right to buy.
This issue has come up several times. The hon. Lady is saying that the local authority moves them out of the property after two years, but at the end of the two-year fixed tenancy, the situation is reviewed and the people’s circumstances are taken into account. I cannot see that this policy will stop people being able to take up right to buy.
The provisions also align the succession rights of introductory and demoted tenants with those of secure tenants. Spouses, civil partners and those living together as a married couple will have a statutory right to succeed and the landlord will be able to grant additional succession rights in the tenancy agreement. None of the changes will apply where the tenant died before the Bill comes into force. I therefore hope that hon. Members will take the measures in the spirit in which they are intended and accept them.
Dr Blackman-Woods
I will be very measured in my comments on the two new clauses, but I want to say to the Minister and put on the record that I am extremely angry about what is contained in the new clauses. I am angry in terms of process and in terms of content. I do not think it is helpful to the deliberations of this Committee to have had these extremely controversial and wide-ranging new clauses added on the last day of the Committee. I am also angry because, as far as I can see, there has been—
Mr Jones
I am looking at the new clauses before us today and the ones that the Committee has not dealt with previously. I can see only a small number of new clauses tabled by the Government, but a significantly greater number of new clauses submitted at this stage to the Committee. I ask the hon. Lady: is not what is good for the goose good for the gander?
Dr Blackman-Woods
I thought the Minister was going to make a serious intervention about the content of the new clauses. The point I was making is that the Government new clauses, which are wide ranging and controversial and have an impact on lots of people’s lives, should not have been brought to this Committee on the last day of its deliberations without any consultation, without an impact assessment and without any background information. It really is extraordinary. It is extremely bad practice and not good policy making.
It is the content of the clauses that concerns and outrages me. As my right hon. Friend the Member for Wentworth and Dearne (John Healey) said this morning:
“People will be astonished that Ministers are legislating to deny families a stable home. This will cause worry and upheaval for tenants, and break up communities.”
Because the new clauses have not been in the public domain for long, people are only now trying to catch up with what the impact might mean for people. However, some housing lawyers have contacted us to say:
“Presently, local authorities generally grant periodic secure tenancies. Such tenancies have no automatic end date, rather, they end only when the court makes an order for possession or when a tenant gives up the tenancy. Moreover, if you are the spouse or civil partner of a local authority tenant then, on the death of that tenant, you can succeed to the tenancy on the same terms.”
Dr Blackman-Woods
I will give way to the hon. Gentleman in a moment. I want to finish what I am saying about this particular issue. The housing lawyers who have contacted us said:
“The new clauses end both of these rights. If the new clauses are accepted, local authorities will only (save for limited exceptions which will mostly be dealt with in secondary legislation)”—
as we heard from the Minister earlier—
“be able to grant tenancies for a fixed term of between 2 and 5 years. Towards the end of the fixed term (defined as between 9 and 6 months before it ends) the landlord will decide whether to offer another fixed term. Whilst there is a right to ask a landlord to review a decision not to offer another fixed term, there is no right to challenge the decision, e.g. by appeal to a court.”
Therefore, the spouse or civil partner of a local authority tenant, on death of that tenant, might get a five-year tenancy, or they might not.
The lawyers continue:
“This is a major reform of housing law, probably the most important since local authority tenants were given security of tenure in the Housing Act 1980. It requires much more detailed (and technical) consideration than just being dropped in for debate on the last day of the Committee Stage. There are, for example, two unintended consequences”—
my hon. Friend the Member for Harrow West has just raised one. There is great concern about the potential impact on the right to buy, but there is also major concern about provisions for recovery of possession at the end of the fixed term and for recovery of possession against a successor.
The lawyers say that the current proposals are simply unworkable because
“where a local authority grants a fixed term tenancy, possession proceedings operate by way of forfeiture. Yet the Bill excludes forfeiture from the remedies available against these fixed term tenancies.”
The lawyers direct the Minister to read “Flexible Tenancies and Forfeiture” by Andrew Dymond in volume 17 of the Journal of Housing Law so that he can see how the drafting is flawed.
The lawyers continue:
“a 2 year fixed term means, in reality, only 15 months of security (since the decision whether to extend your tenancy can start with 9 months remaining on the term)”.
A two-to-five-year churn, as my hon. Friend the Member for Harrow West pointed out, has huge implications for the stability of families and communities. It is important that the Minister addresses some of the points about what churn could mean in practice for the stability of families.
Kevin Hollinrake
As my hon. Friend the Minister pointed out, there are 1.4 million people on the housing waiting list. Does the hon. Lady recognise that there is a real need to make the best use of our housing stock? People’s lifestyles change, as they go from living in a larger family to perhaps living on their own in a house that is larger than they need. Are these not sensible proposals to make sure we make best use of our housing stock?
Dr Blackman-Woods
Local authorities already have the power to grant fixed-term tenancies if they wish to do so. The issue we have been struggling somewhat to get across in the Committee to date is that, if there is a huge need for social rented housing, the way to deal with that need is to build more social rented housing units, not to make life more difficult for those who already occupy social rented housing by kicking them out using a whole variety of mechanisms.
Dr Blackman-Woods
Let me finish the point.
Increasing rents to a level that people will not be able to afford and having the bedroom tax in place means that a lot of people have to move out of their homes. Now, on the last day of our deliberations, we have this extraordinary set of measures, which seek to take secure tenancies away from people in the social rented sector. This is an extraordinary change. What I would say to the hon. Gentleman is that the way of dealing with acute housing need is to build more housing across all tenures, including for social rent, and I hope he will accept that.
Kevin Hollinrake
I absolutely accept that. Does the hon. Lady therefore welcome the 55% rise in the number of affordable houses—25,000 more properties— built in 2014-15 versus 2013-14?
Dr Blackman-Woods
A further thing I have been trying to do in the Committee is to make it clear that there are social rents and there are affordable rents. Affordable rents are not necessarily what we would all understand as affordable, because, in a lot of areas, 80% of the market rent is not affordable. Of course, that also applies to other measures for low-cost home ownership. Throughout the Committee’s deliberations, we have been questioning whether the Government’s definition of low-cost home ownership actually is low-cost home ownership.
Mr Thomas
Taking at face value the question from the hon. Member for Thirsk and Malton—and given the conversations on the Government Benches, one should perhaps be cautious about doing that—might he not be tempted to support new clause 37, which would make it easier for councils to build more homes and thus deal with the backlog of people on waiting lists?
Dr Blackman-Woods
My hon. Friend makes an excellent point. I hope that we are able look at that this afternoon, because it would be interesting to hear what the Minister has to say about it.
Traditional secured tenancies are not tenancies for life. They are invariably subject to a probation period of at least a year. If there is antisocial behaviour during the tenancy, the court has the power to take away security of tenure and reduce the tenant’s rights in a demoted tenancy, so there are already measures that enable local authorities to end tenancies if there is a problem with the tenant. Indeed, the Local Government Association wrote to us to say:
“The Localism Act 2011 introduced flexible tenancies in acknowledgement that ‘a one size fits all model on rents and tenancies is not the best answer to the wide range of needs and circumstances of those accessing the social rented sector’. Councils should retain this freedom to manage locally their Tenancy Policy and decisions over tenancies. Every housing market is different and blanket national enforcements may risk impacting on coordinated local efforts to balance efficient use of stock while building stable neighbourhoods and communities. The requirement to review each tenancy every five years would be a significant administrative burden on councils. We would like to support the Government to work with councils in order for it to understand the impact of fixed-term tenancies and to then be able to use the information to inform future tenancy strategy.”
The new clause is not only profoundly unfair and unjust for people who need and are fortunate enough to get social rented tenancies, but profoundly anti-localist. That is what the local councils themselves say.
The 2011 Act gave local authorities flexibility. If, because of local circumstances, they have not used that flexibility to the degree that the Minister would like, under localism that should not give the Minister the right to legislate for them to do things differently. I want the Minister to explain why he thinks it is appropriate to introduce these new clauses on the last day of Committee stage. What work has been carried out with local authorities and tenants’ organisations to understand the impact of the proposals? What is he going to do from now on in terms of both the impact assessment and having the important discussions that must take place before the proposals go any further?
Peter Dowd
If a 46-year-old woman becomes a war widow, and her family fly the nest with the exception of one child, would she be asked to move out with the remaining child in due course? Would she pay the price of the Government’s social mobility policy by losing her marital and family home? What would she say to the child? Does my hon. Friend have any advice on that?
Dr Blackman-Woods
At this point, I do not—in fact, I was going to ask the Minister about that. Another question is: what about adult children who have been living in the house as their home for a very long time?
I shall finish with the following point. The reason why Margaret Thatcher offered secure tenancies in the 1980s is that she understood the need for tenancies that would offer families stability. There was a lot of discussion in the run-up to the 1979 election about what would happen to people in the social rented sector, and it was a good thing. It was the result of many years of lobbying and of knowing how important secure tenancies are to the stability not only of households but of communities that the legislation was introduced. It was introduced after a long period and a lot of deliberation, and it is critical that we do not legislate this morning to just get rid of it on what appears to be the whim of a Minister, a particular set of Ministers, or even the Prime Minister. It requires careful consideration, and we have not had the opportunity to consider the full implications of the measures.
My family had years of private rented accommodation and of being moved on, with young children. Getting a secure council tenancy was critical in giving all of us stability and good opportunities for social mobility. I cannot see where social mobility comes into these clauses. We know that making life more insecure does not lead to greater social mobility.
Teresa Pearce
I am very interested in what my hon. Friend is saying about social mobility. When I was granted a social tenancy at 21, I was on my own with my daughter. I stayed there for two years. In those two years, due to the lower rent and my increased job prospects, I was able to save enough to move out and buy my own property. Had I had a tenancy that I knew would end, I probably would not have been in a position to do that, because I would have been so fearful of where I would go next that it would have held back my social mobility.
Dr Blackman-Woods
I thank my hon. Friend for that helpful intervention, which demonstrates the clear difference between Opposition and Government Members: we appreciate the value of social rented housing to many individuals and families in this country, and how important it often is in enabling people to turn their lives around and in giving stability, particularly to families on low incomes seeking to do their best in difficult circumstances. It is not simply a product that can be used one way and then another; it is important for whole families and for their life choices.
Security of tenure often gives people time, as my hon. Friend said, to think about what options and opportunities might be available to them, such as education or retraining. It is critical that we do not remove that important support mechanism and pull the rug from under people, particularly when they might be facing difficulties. We should ensure that they get the support they need.
Peter Dowd
The more I think about it, the closer I come to the word to describe it. Does my hon. Friend agree that asking local authorities and registered social landlords to go to people and effectively move them out of their houses is pusillanimous, to say the least?
Dr Blackman-Woods
Yes. If this is the result, the circumstances will be absolutely dreadful. Whether or not families are ultimately moved on, they will now have to live with the insecurity of knowing that they could be moved on at any time. That is what is particularly pernicious about the measures. They are part of a continuing vendetta against social tenants in this country. That is what we must assume from how the measures have been introduced and their content.
Kevin Hollinrake
The hon. Member for Erith and Thamesmead made the point beautifully. We all understand the need for social housing. She needed social housing at one time in her life, and the property was available. The measure is about making the best use of our housing stock.
Dr Blackman-Woods
We dealt with that earlier. I ask the hon. Gentleman and his colleagues to turn their attention to how we can deliver more social rented housing.
Dr Blackman-Woods
I will give way to the Minister once I have dealt with the intervention by the hon. Member for Thirsk and Malton. The way to deal with the huge demand for social rented housing is to build more of it. The figures I gave much earlier showed that last year the lowest number of homes for social rent in decades was built—I think it was 10,000 units.
Mr Jones
We have heard the heartening story of the hon. Member for Erith and Thamesmead. If she had chosen to, with a lifetime tenancy, she could by definition still be living in that house today while earning £74,000 a year as a Member of Parliament. Does the hon. Member for City of Durham think that it is right for someone to hold on to a lifetime tenancy in those circumstances, when people in housing need have nowhere near that income?
Dr Blackman-Woods
The Minister is sidestepping the point—for a change. We need to build more homes that are genuinely affordable—social homes, to rent. The Government are just making life more difficult for council tenants, trying to get them to move on somehow or other, rather than addressing the fundamental underlying problem, which is the lack of genuinely affordable housing.
Teresa Pearce
Just to clarify, I did have a lifetime tenancy, and my options were either to stay, to buy the property—which I did not do—or to save up, buy something, and leave the tenancy for someone else. Since then four other families have had the flat, because I did not remove it from the social stock by buying it. I do not understand the point about what I could have done if I had had a lifetime tenancy, because I did have one.
Dr Blackman-Woods
I will give way to the hon. Gentleman and then I am anxious to conclude because other Members want to speak.
Chris Philp
The hon. Lady is very kind to give way. Of course Conservative Members agree that we should build more social or affordable housing, and the Bill will achieve that. Does she agree, however, that cases such as that of the former Member for Holborn and St Pancras, Frank Dobson, who occupied a council house for 30-odd years despite being a Cabinet Minister, are poor use of housing stock, and that a family in Camden on a low income would have been much better off occupying that council property?
Dr Blackman-Woods
The hon. Gentleman needs to turn his attention to what the Local Government Association has said on the matter:
“The Localism Act 2011 introduced flexible tenancies in acknowledgement that ‘a one size fits all model on rents and tenancies is not the best answer to the wide range of needs and circumstances’”.
Local authorities already can offer flexible tenancies if they want to. The provisions before the Committee would force all councils to do it, and do it in a particular way, whether or not that accorded with local circumstances and met tenants’ needs.
My right hon. Friend the Member for Wentworth and Dearne said that the provisions are a continuation of a “vendetta against council tenants”. The manner in which they have been tabled, and the lack of consultation with the housing sector, tenants or anyone who might be affected, show that he is probably right. I look forward to the Minister’s having the good sense to withdraw them and to allow proper discussion of such a key issue before a decision is made.
Mr Jones
I am not going to give way at the moment. I want to read from a newspaper article quoting a Minister:
“the minister did say the current system had to be re-thought as it concentrated dependency and disadvantage in particular estates, frustrating people’s attempts to either get out of social housing or to get into it.”
I completely agree with that statement, but it was said in 2008 by the right hon. Member for Derby South (Margaret Beckett), when she was a Minister in the Department in which I am privileged to serve. She said:
“What we have at the moment is not effective or sustainable and it seems to me that people deserve better.”
The article states that she
“indicated that she wanted to encourage social tenants or would-be social tenants to look beyond social housing to the private sector”.
It quotes her saying:
“If people could find greater stability and security in the private rented sector, or could take advantage of low cost home ownership, then maybe fewer would think that social housing was their only option.”
It is telling that that was the thinking in 2008 of the Labour Government and the Department for Communities and Local Government, in which the shadow Housing and Planning Minister, the right hon. Member for Wentworth and Dearne (John Healey), served as a Minister.
The thinking of the Labour Government at the time was similar to our thinking now and seemed to be in the centre ground. If the Labour party had won in 2010—if the electorate had not seen fit to throw out that discredited shambles of a Labour Government—and the country had had the misfortune of having another Labour Government, there is every possibility that they would have taken a similar approach to the one we are taking now.
Dr Blackman-Woods
The Minister must really be struggling to defend this policy if the best he can come up with is a Minister many, many years ago making what we all thought were personal comments. They were never accepted as Labour party policy or proposed in legislation. That was a speech in which she made personal comments. [Laughter.] I find it pretty shocking that Government Members are laughing, given that these clauses seek to take important rights from people. Labour did not take that approach either in government or in opposition, and the Minister should not suggest that we did.
