Asked by: Lord Carrington (Crossbench - Excepted Hereditary)
Question to the HM Treasury:
To ask Her Majesty's Government how many people declaring an income from letting property pay the (1) additional, (2) higher, and (3) standard, rates of income tax for the most recent period for which the data is available.
Answered by Lord Agnew of Oulton
In 2019/20, the numbers of individuals declaring income via Self-Assessment from letting property and falling into each of the (1) additional, (2) higher, and (3) standard income tax bands that the question refers to, rounded to the nearest thousand, are:
Marginal tax rate | Number of individuals |
Additional higher rate (45%) | 106,000 |
Higher rate (40%) | 560,000 |
Basic rate (20%) | 1,519,000 |
It should also be noted that:
- Taxpayers in Scotland will not pay the tax rates referred to in the question as they are subject to a separate income tax regime, and are therefore excluded from the figures above.
- Not all individuals with property income are required to declare it. For example, those with income below the £1,000 property allowance are not required to tell HMRC.
- Some individuals with property income between £1,000 to £2,500 will declare this via PAYE rather than Self-Assessment. These individuals are not included here.
- Some individuals will not fall into any of the tax bands referred to in the question as their income will be within their personal allowance.
During the pandemic, the Government has put in place a substantial financial package, backed up by billions of pounds, which is supporting renters to sustain tenancies and to afford their housing costs. The Government is supporting landlords by providing tenants with extensive financial assistance to continue paying rent. The Government will also be bringing in a Better Deal for Renters designed to help the rental market work better for both tenants and landlords; a White Paper detailing this reform package will be brought forward in due course.
Asked by: Tanmanjeet Singh Dhesi (Labour - Slough)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, whether he plans to increase tenancy security for private renters.
Answered by Eddie Hughes
The Government is committed to bringing in a Better Deal for Renters to deliver a fairer and more effective rental market for both tenants and landlords. This will include reforming tenancy law to abolish Section 21 evictions, improving security for tenants in the private rented sector, as well as strengthening the grounds for possession for landlords when they have valid reasons.
A White Paper detailing this reform package will be brought forward in the Autumn.
Asked by: Kieran Mullan (Conservative - Crewe and Nantwich)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, what steps his Department is taking to create a fairer private rented sector.
Answered by Eddie Hughes
As the recent Queen’s Speech set out, the Government has committed to bringing in a Better Deal for Renters to deliver a fairer and more effective rental market that works for both tenants and landlords
We will bring forward proposals to reform tenancy law to abolish Section 21 evictions and improve security for tenants in the private rented sector, as well as strengthening repossession grounds for landlords when they have valid grounds. Proposals for a new ‘lifetime’ deposit model will also be outlined, to ease the burden on tenants when moving from one tenancy to the next. We are also committed to raising standards in privately rented accommodation, and driving out rogue landlords, including by ensuring all tenants have a right to redress, and ensuring well targeted, effective enforcement that drives out criminal landlords
A White Paper detailing this reform package will be brought forward in the Autumn, informed by engagement with stakeholders across the sector to ensure our reforms deliver change that works for all.
Asked by: Florence Eshalomi (Labour (Co-op) - Vauxhall)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, what plans he has to tackle housing benefit discrimination in the private rented sector.
Answered by Christopher Pincher
The Government is clear that ‘No DSS’ requirements -- or any blanket ban on tenants on the basis that they are in receipt of benefits -- have no place in a modern housing market.
We noted the recent court judgement on this matter, and strongly encourage landlords and agents to look at all potential and existing tenants claiming housing benefit on an individual basis. We have engaged with the sector to encourage prevention of the practice of 'No DSS' restrictions. Last year major lettings portals Zoopla and Rightmove agreed to stop use of 'No DSS' adverts on their websites, and several major lenders agreed to remove restrictions on mortgages which prevented landlords from letting to tenants on benefits.
We have no plans at present to introduce legislation on this issue but are committed to bringing forward a Renters Reform Bill in due course, to deliver a better deal for renters, and a fairer and more effective rental market.
Asked by: Ed Davey (Liberal Democrat - Kingston and Surbiton)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, if he will bring forward legislative proposals to prevent landlords from refusing to accept tenants in receipt of benefit payments.
Answered by Christopher Pincher
We are clear that ‘No DSS’ -- or any blanket ban on tenants on the basis that they are in receipt of benefits -- has no place in a modern housing market.
We strongly encourage landlords and agents to look at all potential and existing tenants claiming housing benefit on an individual basis, and have worked with the sector to find ways to prevent the practice of 'No DSS'. Last year major lettings portals Zoopla and Rightmove agreed to stop use of 'No DSS' adverts on their websites, and several major lenders agreed to remove restrictions on mortgages which prevented landlords from letting to tenants on benefits.
We have no plans at present to introduce legislation on this issue but are committed to bringing forward a Renters Reform Bill in due course, to deliver a better deal for renters and a fairer and more effective rental market.
Asked by: Ian Lavery (Labour - Wansbeck)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, if he will introduce longer minimum rental contracts to provide renters with more financial stability.
Answered by Christopher Pincher
As announced in the Queen's Speech, the Government has committed to introduce a package of reforms to deliver a better deal for renters, and a fairer and more effective rental market. A Renters’ Reform Bill will enhance renters’ security and improve protections for tenants by abolishing ‘no-fault’ evictions.
The Government is committed to bringing forward legislation to abolish section 21 but such legislation must be balanced and considered to achieve the right outcomes for the sector. It is only right that providing tenants with greater security of tenure is balanced with an assurance that landlords are able to recover their properties where they have valid reasons to do so. This is vital to ensuring the future supply of good quality housing in the rented sector.
We will bring forward the Renters Reform Bill as a priority once the urgencies of responding to the pandemic have passed.
Asked by: Baroness Altmann (Conservative - Life peer)
Question to the Department for Levelling Up, Housing & Communities:
To ask Her Majesty's Government when they plan to publish their response to the consultation Considering the case for a Housing Court, which closed in January 2019; and what are their reasons for not publishing it to date.
Answered by Lord Greenhalgh
We remain committed to working with the judiciary to improve court processes for users and the responses to the Call for Evidence will inform this work. However, it is important that any changes to court processes are considered as part of a wider package of reforms, which will deliver a fairer and more effective private rental market.
Our Renters’ Reform Bill will enhance renters’ security and improve protections for tenants by abolishing ‘no-fault’ evictions. However, we want to ensure that under the new tenancy framework, landlords are able to swiftly and smoothly regain their property through the courts where they have a legitimate reason to do so.
We will publish our response to the consultation ‘Considering the case for a Housing Court’ in due course.
Asked by: Janet Daby (Labour - Lewisham East)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, what the timescale is for the introduction of the Renters Reform Bill; what the Government's plans are for section 21 notices; and what plans he has to increase security for older private renters in that upcoming bill.
Answered by Christopher Pincher
As announced in the Queen’s Speech, the Government plans to introduce a package of reforms to deliver a better deal for renters and a fairer and more effective rental market. The Renters’ Reform Bill will enhance renters’ security and improve protections for short-term tenants by abolishing ‘no-fault’ evictions. This will include repealing Section 21 of the Housing Act 1988 and represents a generational change in the law that governs private renting.
However, at the current time, our collective efforts are focused on protecting people during the coronavirus (COVID-19) outbreak. That means supporting our communities as well as making sure measures to help renters and landlords over the next few months are effective.
Our recent consultation ‘ A New Deal for Renting: Resetting the balance of rights and responsibilities between landlords and tenants’ sought views from across the private and social rented sectors on how a new system should operate, in order to ensure that we get the details right?and?create?a new framework which works for everyone. We received responses to our consultation which highlighted the experience of a range of people who rent their homes in the private rented sector, including older people. In total, almost 20,000 responses to the consultation were received and these are being carefully considered to help inform the Renters’ Reform Bill. We will respond fully to the consultation in due course.
Asked by: Louise Haigh (Labour - Sheffield, Heeley)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Housing, Communities and Local Government, with reference to Age UK's publication entitled Home Truths, published January 2020, what plans he has to support older people in the private rented sector in the upcoming renters' reform Bill.
Answered by Christopher Pincher
As announced in the Queen’s Speech, the Government plans to introduce a package of reforms to deliver a better deal for renters and a fairer and more effective rental market. The Renters’ Reform Bill will enhance renters’ security and improve protections for short-term tenants by abolishing ‘no-fault’ evictions. This will include repealing Section 21 of the Housing Act 1988 and represents a generational change in the law that governs private renting.
Our recent consultation, ‘A New Deal for Renting: Resetting the balance of rights and responsibilities between landlords and tenants’ sought views from across the private and social rented sectors on how the new system should operate, in order to ensure that we get the details right?and?create?a new framework which works for everyone. We welcome the consultation response submitted by Age UK, which highlights the experience of a range of tenants who rent their homes in the private rented sector, including older people. Almost 20,000 responses to the consultation were received and these are being carefully considered to help inform the Renters’ Reform Bill.