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Housing

Renters' Rights Bill must become law 'as soon as possible', housing minister says

Housing minister Matthew Pennycook overturned amendments on pet deposits, student homes and military accommodation from the House of Lords as the Renters’ Rights Bill moves into its final stages in parliament

Labour housing minister Matthew Pennycook in a Renters' Rights Bill parliamentary debate

Labour housing minister Matthew Pennycook. Image: Parliamentlive.tv

The Renters’ Rights Bill must pass into law as soon as possible, housing minister Matthew Pennycook said, as the long-awaited legislation moved into its final stages in parliament.

The legislation, which is set to ban no-fault evictions more than six years after the Conservatives first proposed it, returned to the House of Commons on Monday (8 September) after clearing the House of Lords before the summer recess.

Peers had introduced a number of amendments to the bill but the government used its majority in the Commons to overturn the vast majority.

The bill will now go into ‘ping-pong’, going between the Commons and Lords until MPs and peers agree before being sent to the King for royal assent.

Pennycook said that renters – facing record-high rents and insecurity – need the bill to come into force as soon as possible.

“This government were elected with a clear mandate to do what the Conservatives failed to do in the last parliament – namely, to modernise the regulation of our country’s insecure and unjust private rented sector, and empower private renters by providing them with greater security rights and protections,” said Pennycook. 

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“Our Renters’ Rights Bill does just that, and it needs to receive royal assent as quickly as possible so that England’s 11 million private renters can benefit from its provisions.”

A change to make tenants pay backdated amounts of increase rent after a first-tier tribunal ruling was among the amendments overturned on Monday,

Pennycook also encouraged MPs to vote against amendments related to pet ownership which had been voted through in the Lords.

The government’s bill, like the Tories’ Renters Reform Bill before it, called for landlords to accept renters’ requests to keep a pet to be accepted unless there was a “reasonable excuse”.

But peers amended the bill to make that request conditional on tenants taking out or paying for pet damage insurance. Another Lords change meant tenants would have to pay an additional deposit, equivalent to three weeks’ rent, if they want to keep a pet.

Pennycook rejected both, arguing that the deposit would cost the average tenant in England over £900, outweighing the average deposit deduction for pet damage of £300.

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The housing minister also turned down changes to possession grounds relating to student housing and allowing a landlord to evict a tenant to house a carer for themselves or a member of their family.

The amendment to reduce a limit on re-letting or re-marketing a property after an eviction from 12 months to six was also overturned.

Peers also introduced a technical change that would require local authorities to meet the criminal rather than civil standard of proof when imposing penalties for rental discrimination and rental bidding breaches. The bill will make discriminating against renters receiving benefits or with children illegal and will also take action to prevent landlords and letting agents from stoking bidding wars.

Pennycook said the higher standard will “make local authority enforcement extremely challenging, and would be prohibitively resource-intensive”.

However, the government did make some concessions on calls for the legislation to bring service family accommodation into the scope of its modernised decent homes standard. Pennycook said the government will now publish an annual report into the standard of military accommodation.

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A National Farmers Union-backed amendment to allow agricultural landlords to evict assured tenants in order to house both employees and non-employed workers engaged in agriculture was allowed to remain.

The Renters’ Rights Bill is largely based on the Renters Reform Bill that failed to pass into law before the Tories were voted out of power at last year’s general election.

But that didn’t stop shadow housing secretary James Cleverly from criticising the bill and warning that it would drive landlords out of the sector – a disputed complaint.

 “The bill is clearly a mishmash of measures on issues that are backbench hobby horses – issues that those on the front bench do not have the authority or the courage to put to bed,” said Cleverly.

“It is entirely counterproductive, as has been recognised and highlighted by their lordships in the other place.

“The bill risks driving private landlords out of the sector, reducing the supply of private rented accommodation and pushing up rents for those in the private rented sector. Limiting the supply of such accommodation means limiting the options for tenants in the private rented sector, and leaving them worse off.”

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Once the bill comes into force, there will be an implementation period, Pennycook confirmed.

The new tenancy system will apply to both existing and new private tenancies, delivering on the Labour manifesto promise to ban no-fault evictions immediately, albeit at a date ministers are yet to confirm.

That has drawn criticism from Ben Beadle, chief executive of the National Residential Landlords Association.

He said the government has not “provided the clarity that renters and landlords desperately need to prepare for the Renters’ Rights Bill’s arrival”.

“The government needs to make clear how long after this it expects to begin rolling out the widespread reforms. The sector cannot operate, and plan, based on vague and ambiguous statements,” said Beadle.

“At least six months will be needed, after regulations are passed, to ensure a smooth transition to the new tenancy system. Anything less will be a recipe for confusion and chaos.”

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But the long wait for renters looks to almost be at an end.

Danny Beales, the Labour MP for Uxbridge and South Ruislip, said in the debate that the legislation is “one of the most important impactful bills currently before parliament”.

Before becoming an MP, Beales told Big Issue how he had experienced homelessness as a youngster.

“I say that not as someone who has seen a few emails in my inbox, but as someone who has felt the impact of the sector, having experienced homelessness twice in my teenage years and having been evicted through a section 21 eviction,” he said.

“As a renter as an adult for many years in London, I know the worry that many go through when pushing for simple repairs to be made or for mould to be addressed, fearing that ultimately their reward for asserting their legal rights will be a section 21 eviction.”

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