Welcome to Landlord Law’s weekly Newsround where this week we finally hear that the Renters Reform Bill is to finally get its Second Reading on Monday 23rd October.
Next stage set for Renters Reform Bill
It has been widely stated that Rishi Sunak has personally requested that the Renters Reform Bill should be progressed. The Financial Times reports
Michael Gove, levelling-up secretary, is understood to have won the internal battle over the legislation and it will now have its crucial second reading in the House of Commons on Monday.
There will then be a ‘carry-over motion’ which will allow the bill to make it through into the next parliamentary session that begins with the King’s Speech on November 7.
There is a lot in this Bill that will be good for both landlords and tenants, it is claimed with the ending of section 21 evictions and giving landlords a quicker route for evicting anti-social tenants or tenants that are not paying their rent.
They also say that there will be a new and quicker court process. Landlords will also have to sign up to a new mandatory Ombudsman. This Bill is not without contention, and thirty charities have now written to the Prime Minister pushing him to get this Bill passed during this Parliament.
Charities join together for landlord reforms
Charities, including Citizens Advice, Shelter and Liberty have written to Rishi Sunak pushing him to get the Renters Reform Bill passed in this Parliament and to end the section 21 evictions and stop causing renters any more hardship. Shelter says that their research shows that every three minutes, a renter is served a section 21 notice in England, giving them just two months to find a new home. It says
A third of private renters say, the last time they moved, it took them longer than two months to find somewhere else to live.
This dire lack of security disproportionately impacts the people we represent. And its impacts have knock-on effects for our communities and service users beyond just their housing needs. These impacts are faced disproportionately by the already marginalised groups we represent and makes the work we do increasingly challenging.
With a general election now looming, there are concerns that this Bill will not have time to be passed through Parliament. And, it seems that there is pressure too within the Conservative Party itself to demand the government end delays on these reforms. Former Conservative housing secretary Eric Pickles has joined 60 other cross party members along with London and Manchester mayors to demand progress over the Reform Bill.
In a joint letter they have said
This legislation was a manifesto commitment, and the government is fast running out of time to make good on this promise.
Tom Darling, campaign manager for Renter’s Reform Coalition, has said
This bill really is the baseline when it comes to the change we need to see in our housing system, so it is shocking that the government is prevaricating.
Pressure is certainly growing.
However, surely the real problems are not so much Section 21 but the lack of available housing and the lack of enforcement action against rogue landlords by Councils.
There are also major problems at our courts which need to be addressed before new legislation comes into force.
New funds for tenants on benefits
Tenants on benefits will get more assistance under a revised grant scheme that is starting this winter. The new ‘Help with Fees‘ scheme will assist those on low income and no savings with financial help towards the cost of court fees, it has also been simplified.
The Ministry of Justice announced
The scheme offers essential support to vulnerable individuals and comes at a crucial time following recent, but now reducing, inflation. The income and capital eligibility thresholds are being raised significantly, potentially supporting thousands more people and ensuring justice is never unaffordable.
They claim their reform will help more people that need the help most pay for court fees. They are making sure that the most financially vulnerable are better supported by increasing the minimum capital threshold for the scheme, which will allow those with more capital than before to be eligible. This revised scheme is expected to come into force later this year.
Second home businesses selling up
The noose seems to be closing in on second homes and holiday let businesses with councils given the go ahead to charge as much as 300% premiums on council tax. Conway council in Wales are looking to increase their council tax premium by 100% justifying it by saying it will create ‘a fairer housing market’ giving those born in areas of high second home ownership the chance to afford homes where they grew up.
Business rates rather than council tax could also be charged and the properties must now be let for at least 182 days to qualify. This is causing alot of second home owners to start selling up as they claim that having a holiday let for 182 nights a year is very hard. There is concern by some that this will have a huge affect on other local businesses that rely on holiday tourism to survive.
Conwy council is also going one step further and is recommending that 100% premium should also be charged on long term empty homes from next April.
You can read more here.
Snippets
Council to begin fining rogue landlords £30,000
Blog: Are the Tories still game for renting reform?
Northern town to clamp down on landlords converting homes to HMOs
Wandsworth Council ordered to pay family £900 over unsuitable home offers
Rubbish – landlord fined after complaint by member of public
Property ‘dating service’ for landlords and tenants launches
MPs demand EPC rules for landlords be tightened once again
Newsround will be back next week.