Renters’ Rights Bill

Siobhain McDonagh Excerpts

Wednesday 9th October 2024 Commons Chamber

[Mrs Badenoch]

I would like to make some progress.

The Government are pressing ahead with measures that will cause gridlock in the justice system, which will create even more problems for tenants. The people the Government are trying to help will not be able to get a home in the first place—none of us want to see that. We have to do better.

[Dame Siobhain McDonagh (Mitcham and Morden) (Lab)]

On that point, will the right hon. Lady give way?

[Mrs Badenoch]

I will give way first to the hon. Member for Tunbridge Wells (Mike Martin).

[Mrs Badenoch]

We need to focus on the contents of the Bill. If anyone has an issue with landlords in this House, it is Labour Members—I notice the hon. Member for Ilford South (Jas Athwal) ran away before the discussion about the Bill started. They should look at themselves, and the hon. Member for Tunbridge Wells had better check his fellow Members before asking that sort of question.

As I was saying, when the problems of protracted litigation in the courts are combined with the new, extended and highly convoluted notice requirements for recovering a property where the tenant has not paid the rent, a landlord whose tenant is in arrears will face many months of uncertainty and cost. Let me summarise in two words why the Bill will fail: unintended consequences. That is what we get when we start with policy rather than first principles.

[Dame Siobhain McDonagh]

Does the right hon. Lady think that there is already gridlock in the county courts? As of today, a landlord who secures a possession order will wait 12 weeks to get a bailiff’s warrant. Our courts are gridlocked right now.

[Mrs Badenoch]

That is an excellent point—we should not make the problem worse.

We should start with first principles not policy, but there are no first principles here that will help the Bill get through. We want to help the Bill become legislation to deliver for tenants and landlords. However, as I have heard from the comments that have been made, this seems to be about the left being seen to be tough on landlords and passing legislation with the right sounding title, rather than delivering real improvement to people’s lives.

I heard the Secretary of State teasing my right hon. Friend the Member for New Forest West (Sir Desmond Swayne), but it is hypocritical to criticise those of us in the House who declare our interests—we on the Conservative Benches do that well—when a Labour MP was disgraced in the press for letting out unsanitary homes with mould. The Government should look at why they have Members who are behaving that way.

We want a housing market that works for everyone—landlords, tenants and those who want to own their home. By attacking those who rent out homes, they will damage investment in new homes. They will push landlords out of the market and drive up rents. That is bad for everyone. By piling on excessive regulation, they will push good landlords out and empower those bad landlords who simply ignore the rules. We need to look at enforcement of the rules we already have.

We all agree that renters need a better deal, but this Bill is not going to work. It is not what renters need—we found that out and we want to help deliver a good Bill. If the Government want to help renters, they should drive up housing supply: so far, no sign of that. If the Government want to help renters, they need to reduce immigration: so far, no sign of that. Some 80% of recent migrants have moved into the private rental sector, creating a demand the sector cannot cope with. If the Government want to help renters, they need to enforce existing rules against the bad landlords that do not look after their tenants, rather than create new rules that will make the problem worse.

This legislation is typical of Labour in government. We have tabled a reasoned amendment because the Bill fails to fix the major issues and adds yet more rules and regulations to keep the bureaucrats busy, rather than finding solutions to help those tenants who desperately need them.

--- Later in debate ---

[Dame Siobhain McDonagh (Mitcham and Morden) (Lab)]

I stand to support the Second Reading of this Bill, particularly the abolition of section 21 no-fault evictions. It falls to my right hon. Friend the Secretary of State to introduce a Bill that will fulfil the hopes of the former Member for Surrey Heath to abolish section 21 evictions, which are the sole cause of crisis for homeless families right across our country.

We currently have 117,450 families in temporary accommodation, including 151,630 children and—disgracefully—more than 20,000 babies under the age of one. That comes at a cost to the British taxpayer of £1.6 billion a year—all of it public money badly spent; all of it undermining the finances of local authorities of all sizes and in every part of this country.

What bothers me most, however, is the families who present to me in my Mitcham and Morden constituency who are going through a section 21 eviction and know that temporary accommodation is on its way. Merton is a small south-west London borough and does not face the pressure that many others do, but those families know that they are going to be placed tens of miles away, if not hundreds of miles away, from their families and support networks.

[Nesil Caliskan]

On the point about temporary accommodation, does my hon. Friend agree that there is something perverse in this broken market when a family is faced with an eviction notice and a local authority has to rehouse them again in the private sector, costing the taxpayer more money?

[Dame Siobhain McDonagh]

I thank my hon. Friend for that intervention. Local authorities have to rehouse those families in identical accommodation, only in worse repair, because there are not the same legal provisions for temporary accommodation.

Children lose their places at school and their educational attainment falls, parents lose their employment, and babies die. We know through the work of Dr Laura Neilson, who works with me on the all-party parliamentary group for households in temporary accommodation, that between 2019 and 2023, 55 babies in temporary accommodation—in the 21st century, in the fifth biggest economy in the world—died for the want of a cot. Members right across the House know this, because we see the families and we talk to them, but most of our friends and neighbours would be shocked to the core that these things happen in our country.

I will give two examples from my last surgery. Mrs S is a nurse at St Helier hospital and Mr S works morning shifts at a local supermarket. They have three children, one of whom is non-verbal and has autism. Following a section 21 eviction from their home, they were placed 31 miles away from Merton, in Windsor—but only after they had spent eight hours in the reception of the civic centre and got their accommodation so late that when they turned up at Windsor, the estate agent was closed and they had nowhere to go. Mr S had to pay £300 for them to be in a hotel that night. Next day, when they turned up at the house, there were no beds, because nobody from the local authority—nobody from any local authority—checks the accommodation before the families move in. I say to hon. Members, “Don’t believe your local authority if they tell you they do, because they simply can’t do it.”

My second example is just in case anybody thinks this issue only affects families. Mr H has dementia. When he was evicted, he was placed 8 miles away, in Croydon. That is not far, but it caused South West London and St George’s Mental Health NHS Trust to remove him from its list and he lost the support he got from the geriatrician. We are doing these things to the most vulnerable people. That keeps me awake at night, and I think it should keep all of us awake at night.