Renters (Reform) Bill

Tim Loughton Excerpts

Report stage
Wednesday 24th April 2024 Commons Chamber

[Tim Loughton (East Worthing and Shoreham) (Con)]

There are many amendments on which I could speak—indeed, the book of amendments seems to be almost as long, if not longer than the Bill itself—but I will limit myself to new clause 12, which I have tabled in my name and those of hon. Friends and colleagues, and on which amendments 44 to 47 are contingent. First, I declare my interest in the Register of Members’ Financial Interests as chair of the quality and safeguarding board for a children’s company.

New clause 12 goes to the heart of my interests, as it deals with care-experienced children. Essentially, its purpose is to ensure that landlords do not discriminate against people who have grown up in the care system when making a decision on whom to rent a property to. It would place a specific duty on landlords, preventing them from denying those who have grown up in the care system a tenancy on that basis. Landlords found to be in breach of the new clause could be subject to penalties. That is the thrust of what I am trying to achieve, and it might strike a chord with many colleagues here.

Some may remember a recent case that highlighted the potential problem. The Guinness housing trust, in advertising a property for rent, specifically said that it was not available to care leavers. That was an extraordinary piece of discrimination, redolent of the bad old days when people put up signs saying, “No dogs, no Irish, no blacks”, if we can remember back that far. In that recent case, there was potential discrimination against young people who, through no fault of their own, had been through the care system. Guinness fortunately withdrew that straight away and apologised, but the case reinforced the vulnerabilities of some of the most vulnerable young people in our society when trying to get the most basic of daily requirements: a roof over their head. That is what is behind the new clause.

I thank the coalition of various charities and organisations that have done a lot of the heavy lifting on this issue, led by Barnardo’s and the charity for care-experienced young people, Become, as well as others. Let me say at the outset that new clause 12 is a probing amendment, and I am grateful for the positive engagement I have had from the Minister already. I am wholly optimistic that he will say some helpful and constructive things when he comes to respond. I will flesh out why this is an important amendment to this important Bill, in which I fully admit there are many other priorities.

As you know, Madam Deputy Speaker, I have a long-standing interest in championing care-experienced young people, whether formerly as Children’s Minister or now as the chair of the all-party parliamentary group for children and vice-chair of the all-party parliamentary group for care-experienced children and young people. Why do we need to do more to support care leavers when accessing accommodation in the private rented sector? It is imperative first for us to consider the bigger picture with the issues that our young people leaving care face. More than 85,000 children and young people are in the care system in England, which is a recent high. Every year, more than 12,000 of them leave that care system. We all know that unfortunately, despite all the best efforts and endeavours of successive Governments and Ministers, care leavers still have much poorer outcomes than their peers. They are less likely to gain good qualifications in the education system. Nearly half of the children in the care system have a mental health problem, and it is estimated that a quarter of homeless people have been in care at some point in their lives. They are also disproportionately represented in the justice system and make up over a quarter of serving prisoners.

From the age of 18, care-experienced young people are often expected to be financially independent and manage their own household bills, but research over many decades has shown that care leavers are much more financially vulnerable than their peers. A significant number live on or near the poverty line and struggle to make ends meet. [Interruption.] I am being echoed; as if Members cannot get enough of me once, they are now getting it in stereo with a time delay.

While inflation is beginning to come down, certain sectors continue to see large price increases, including the private rented sector. Private rental prices paid by tenants in the UK rose by some 6.2% in the 12 months to January this year, unchanged for the second consecutive month, and that puts huge pressure on all tenants. Young care leavers living independently at the age of just 18 have no support from the bank of mum and dad, and for them things can be especially tough.

[Jeremy Corbyn (Islington North) (Ind)]

The Member is making a very important and excellent point about care leavers. Does he agree that one of the problems is that on reaching the age of 18 they are deemed to be able to be independent but they have no support network in the way other young people of 18 often do, and therefore while they are getting housing support they might not be getting the necessary emotional and advice support that all other 18-year-olds get and benefit from? There is therefore a need for some sort of arrangement to ensure there is a continued level of support well after the age of 18, if the individual young person actually wants that.

[Tim Loughton]

I agree with the right hon. Gentleman up to a point, and of course young people do not magically become much more self-sustainable and resilient the day after their 18th birthday, but there have been many improvements over the years. There is extended support for care leavers up to the age of 25, and there are arrangements whereby they can still have a relationship, including a financial relationship, for example with foster carers, through the “staying put” scheme the Government have come up with, and many charities and organisations do very good work in providing support, but the point the right hon. Gentleman makes is right. Most of us are lucky enough to be able to go running back home to birth families for help and support in difficult times, but that is not always available to young people in the care system, although many do have the continual support of good quality foster carers and other carers they relied on when they were under the age of 18. However, they are vulnerable, and ensuring these young people have a safe and stable home to start their adult lives is really crucial.

Housing can act as a vehicle for stability, and without access to good quality accommodation young people will face challenges in getting a job, staying in education and ongoing training, accessing health services and everything else. However, despite the key role housing can play in helping a young person transitioning to independent living, many care leavers are struggling to find suitable accommodation in those early years after leaving care. It is estimated that one in three care leavers become homeless in the first two years immediately after they leave care, and one in four homeless people have been in care at some point in their lives, as I mentioned earlier.

Young care leavers face many barriers in accessing appropriate accommodation, and many will not be able to be addressed in this Bill. However, it does offer an opportunity to address one of those barriers: that landlords sometimes feel reluctant to rent to young people who have grown up in the care system. Young people in care tell charitable organisations in the youth sector that they come across landlords who are reluctant to rent to them because of their circumstances, and evidence from a survey of care leavers carried out by the charity Centrepoint found that over one in 10—some 13%—said they had been unable to access accommodation because the landlord was unwilling to accommodate them because of their status. That is not fair.

The problem is also likely to get worse given the growing evidence of a reduction in the number of private rental properties available across England. An investigation by the BBC found the number of properties available to rent across the whole of the UK had fallen by a third in the 18 months up to March 2023, and increased competition for the properties that are available has enabled more landlords to pick and choose which tenants they like, often going for the highest bidder, which of course makes it especially challenging for vulnerable groups such as care leavers.

In the last few years Barnardo’s has been running a campaign to try and improve access to suitable accommodation for care leavers. I certainly support the campaign, which calls on all local authorities to offer rent guarantor and deposit schemes for care leavers seeking to rent in the private rented sector. The MacAlister report on children in social care, which the Government commissioned and which was published last year, made a recommendation that being a care-experienced child should be a protected characteristic. So far in excess of 60 local authorities, including my own in West Sussex, have voluntarily acknowledged that, although the Government have not made it a statutory addition at this stage. So some local authorities are already providing help to care leavers, with deposits or a scheme where they can act as a corporate guarantor.

Such schemes greatly help make care-experienced young people more attractive tenants, and a number of local authorities report that such schemes have had significant successes. The scheme operated by Kent County Council has had no rent defaults from when it started in 2018 until 2021; however, such schemes are not offered by most local authorities. A freedom of information request by the Care Leaver Local Offer website to the 151 local authorities in England with a children’s social care department showed that 60% will not act as a guarantor for care leavers.