Briefing: Renter’s Rights Bill Second Reading

The Renters’ Rights Bill has passed its second reading in the House of Commons, this is the first time the bill has been addressed in Parliament since it was September, therefore the first time it has been debated by other parties.

Kemi Badenoch, one of the frontrunners for the Conservative party leadership contest, and the Shadow Secretary of State for Housing, Communities, and Local Government, has called for an amendment, due to the ‘unintended consequences’ it was cause to sector; this was not accepted.

The Bill will now move to the committee chaired by Florence Eshalomi, MP for Vauxhall and Camberwell Green. The importance of this was stated as, “Fixing the housing crisis and ensuring more homes are built are crucial missions for the country, and I am sure my Committee will wish to scrutinise the Government’s progress in these areas”

For too long renters have had to endure some of the costliest, the most inadequate, and the most insecure housing for a generation. Resolve therefore supports a large amount of the changes proposed the Renter’s Rights Bill and welcome the debate going forward in the second reading.

The Renter’s Rights Bill, formally the Renter’s Reform Bill, has been a major policy proposal for the Labour government, who had inherited the Reform Bill from the previous Conservative administration.

Angela Rayner, Deputy Prime Minister, stated: “I am determined to get this Bill in to law as soon as possible”

An ombudsman for private renters and a portal to support private landlords to fulfil their obligations is welcomed, as is the ability for tenants to better hold their landlords accountable.

Points of interest:

• Court waiting times: There is nothing within the Bill that currently deals with how the courts will manage possession claims, which as articulated the south regional round table earlier this year, is a real concern for members. It is therefore expected that there will be increased pressure and demand, particularly on the new Rented Sector Landlord Ombudsman. It is expected something will come out from Government in order to address these anticipated challenges.

• Discrimination in the rental sector: It is welcomed that it will be illegal for landlords to refuse to let to renters who claim housing benefit or have children, without a valid reason. This means the most vulnerable, who can often be victims of anti-social behaviour, do not face barriers when it comes to moving and housing.

• Possession grounds: It is welcomed that the extension of the minimum notice period for possession under ‘landlord need’ ground to four months and the restriction on using these grounds in the first 12 months. Ground 8 for rent arrears and Ground 14 for ASB will remain in force, it is positive that Ground 14 will remain so ASB can be prevented quickly. It is important however that it remains clear what ASB is, and how it can be identified to both avoid mischaracterisation, and to also help identify instances of ASB quicker, as there is no longer a reduction in the burden of proof amended to the legislation, and landlord’s will need to provided ‘substantial evidence’

• End of fixed-term tenancies: This is largely welcomed, and provides security and safety, also creating a much simpler tenancy structure. There are some concerns presented at the south regional round table earlier this year, that the blanket strengthening of tenancies could prove difficult for those in the social housing sector, particularly with temporary accommodation. Security must be provided to tenants, however, there is clear need for social housing providers too be alleviated of some concerns surrounding possession with the de facto removal of ‘introductory’ tenancies.

Cross-sector views from the charitable sector:

There are also a variety of views following the second reading of the Bill present in the charitable sector that are worth a review.

The National Housing and Domestic Abuse Policy and Practice Group (the “National Group”) welcomes the government’s Renters' Rights Bill and its efforts to enhance security and rights for tenants in the private rented sector (PRS). However, we urge policymakers to consider the specific needs of domestic abuse survivors, for whom housing instability is often intertwined with the trauma of abuse. Housing security is critical for survivors seeking to rebuild their lives, and this Bill must ensure that its provisions offer adequate protections for these vulnerable individuals. Accompanying statutory guidance should be drafted in collaboration with partners across housing, homelessness and domestic abuse sectors including specialist by and for services to ensure equity for all. It should not make the presumption that tenants, including survivors of abuse know their rights. We know that the power imbalance between landlord and tenant is such that if a tenant receives an eviction notice, for instance, they are likely to leave without question. We believe that an intention behind this Bill is to redress this power imbalance and so we must see accessible advice and guidance available and given to all tenants when committing to a tenancy and demonstrable action taken by landlords to signpost tenants for independent legal advice.

Shelter strongly welcomes the second reading of the Renters’ Rights Bill and is campaigning to ensure that it is robust enough to provide private renters with genuine security and safety in their homes, as well as proper protection against discrimination. The Bill represents a significant step in the right direction. We strongly welcome the measures introduced to give renters greater security, including the immediate abolition of Section 21 ‘no-fault’ evictions, the extension of notice periods to four months, and the introduction of a 12-month no[1]reletting period. We are encouraged to see a commitment to tackling discrimination in the private rented sector, through plans that seek to prevent landlords from refusing to let to renters who claim housing benefit or have children without a valid reason. Additionally, if done right, the introduction of a landlord register will provide transparency and accountability in the sector, better enabling enforcement of existing and new standards, which is a positive step forward.

However, there are omissions and potential loopholes remaining that will leave some tenants vulnerable to economic evictions, dishonest evictions and discriminatory practices in the PRS. To deliver on promises made to renters, the Bill must go further to:

1. Deliver genuine longer-term security for renters by closing loopholes in the evictions system. This includes extending the protected period to two years, establishing clear evidence requirements for evictions, and ensuring all eviction grounds are discretionary.

2. Tackle unfair rent increases by limiting in-tenancy rent increases to align with inflation or wage growth, ensuring tenants are not forced out of their homes by unaffordable rent rises.

3. Truly end renting discrimination by removing barriers that exclude struggling renters, such as the demands for guarantors, large upfront rent in advance payments, and the discriminatory Right to Rent policy. The second reading presents and vital opportunity for MPs to ensuring this legislation is as robust as possible to deliver genuine change for renters.

Other cross-sector views are for viewing are:

Generation Rent: https://www.generationrent.org/2024/10/09/the-renters-rights-bill-second-reading/

Barnardos: https://www.barnardos.org.uk/research/briefing-renters-rights-bill-hoc-second