Recommendations & Conclusions
12 items
1
Conclusion
Fifth Report - Reforming the Private Re…
Acknowledged
The abolition of fixed-term tenancies, combined with the abolition of section 21, would undoubtedly give tenants greater security of tenure. We understand the argument that fixed-term tenancies should remain available where both parties want them, but in practice, given the current shortage of private rental properties, this would likely result …
Government response. The government states tenants will be able to give notice at any point during the tenancy to avoid replication of fixed terms, and has increased the notice period to two months to ensure landlords have sufficient guarantee of rent.
Ministry of Housing, Communities and Local Government
5
Conclusion
Fifth Report - Reforming the Private Re…
Acknowledged
Before section 21 can be repealed, landlords must have confidence in their ability to regain possession under section 8, especially in the case of rent arrears and antisocial behaviour. The biggest obstacle to this is the capacity of the courts. We continue to maintain that the best way to improve …
Government response. The government recognises the importance of making the court process smooth and efficient and is working with the Ministry of Justice and HM Courts and Tribunal Service to drive forward improvements to the court possession process, including digitising the process, …
Ministry of Housing, Communities and Local Government
12
Recommendation
Fifth Report - Reforming the Private Re…
Acknowledged
If the decent homes standard is to improve standards in the private rented sector, local authorities will have to enforce it vigorously, but at the moment levels of housing enforcement activity vary hugely between local authorities. We accept that much enforcement activity is, and should remain, informal, especially, at least …
Government response. The government agrees a strong enforcement regime is vital and is committed to ensuring local councils have the powers and resources they need to tackle criminal landlords. The Levelling Up, Housing and Regeneration Bill includes measures to set minimum standards …
Ministry of Housing, Communities and Local Government
13
Conclusion
Fifth Report - Reforming the Private Re…
Acknowledged
We are conscious, however, that the financial position of local authorities remains extremely precarious, that this partly explains the lack of enforcement activity, and that some of these proposals will place an additional burden on local authorities’ resources. The Government is yet to carry out the new burdens assessment it …
Government response. The government agrees a strong enforcement regime is vital and is committed to ensuring local councils have the powers and resources needed and is addressing inconsistencies in enforcement activity.
Ministry of Housing, Communities and Local Government
14
Recommendation
Fifth Report - Reforming the Private Re…
Acknowledged
In the current economic climate, we accept that the Government is unlikely to provide significant additional long-term funding for local authorities, but it must consult them, if it has not already done so, on how much short-term funding they will need to get the regime up and running. In particular, …
Government response. The government agrees a strong enforcement regime is vital and is committed to ensuring local councils have the powers and resources needed and is addressing inconsistencies in enforcement activity.
Ministry of Housing, Communities and Local Government
15
Conclusion
Fifth Report - Reforming the Private Re…
Acknowledged
The new regulatory regime will only become self-financing if local authorities can recoup the cost of enforcement from non-compliant landlords, but we have heard from local government representatives that the civil penalties regime, which in theory should fund enforcement activity, is currently not working for local authorities, and this is …
Government response. The government agrees a strong enforcement regime is vital and is committed to ensuring local councils have the powers and resources needed and is addressing inconsistencies in enforcement activity.
Ministry of Housing, Communities and Local Government
16
Recommendation
Fifth Report - Reforming the Private Re…
Acknowledged
If it is not already doing so, the Government should consult local authorities about what amendments are needed to the civil penalties regime and include any necessary legislative changes in the proposed renters reform Bill. In particular, we recommend that non-payment of a civil penalty be made a criminal offence …
Government response. The government agrees a strong enforcement regime is vital and is committed to ensuring local councils have the powers and resources they need to tackle criminal landlords. The Levelling Up, Housing and Regeneration Bill includes measures to set minimum standards …
Ministry of Housing, Communities and Local Government
17
Conclusion
Fifth Report - Reforming the Private Re…
Acknowledged
The data suggests that the reduction in the size of the PRS, which the Minister partly attributed to the covid pandemic, began three years before the pandemic, in 2016–17. For this reason, we see little reason to believe the decline is short term, although the pandemic may have exacerbated the …
Government response. The government acknowledges the importance of the private rented sector and values the involvement of all responsible landlords, regardless of portfolio size, and states that it wants a thriving private rented sector that helps to accommodate people's housing needs.
Ministry of Housing, Communities and Local Government
18
Recommendation
Fifth Report - Reforming the Private Re…
Acknowledged
We recommend that the Government review the impact of recent changes to taxation rules in the buy-to-let sector, with a view to making changes to make it more financially attractive to smaller landlords. If it is not willing to do this, it should at least be much clearer about what …
Government response. The government acknowledges concerns about the impact of taxation rules but states that the intention was to level the playing field and the private rented sector remains stable in size.
Ministry of Housing, Communities and Local Government
19
Conclusion
Fifth Report - Reforming the Private Re…
Acknowledged
We welcome the Government’s introduction of a tourist accommodation registration scheme and its commitment to consulting on changes to the Town and Country Planning (Use Classes) Order 1987, but it remains to be seen if this will suffice to control the holiday-let market, which is having a serious impact on …
Government response. The government acknowledges concerns and notes that consultations were held on a registration scheme for short-term lets and a new use class, and the responses are being considered.
Ministry of Housing, Communities and Local Government
22
Recommendation
Fifth Report - Reforming the Private Re…
Acknowledged
The failure of local housing allowance (LHA) rates to keep pace with market rents is quite obviously making the private rented sector even less affordable for many people who are only there because the social housing sector has been cut back and can no longer accommodate them. If the Government …
Government response. The government acknowledges the issue but does not commit to increasing LHA rates to the 30th or 50th percentile, instead highlighting Discretionary Housing Payments and a commitment to reviewing LHA rates annually.
Ministry of Housing, Communities and Local Government
23
Conclusion
Fifth Report - Reforming the Private Re…
Acknowledged
When a tenant objects to an in-tenancy rent increase, they can refer their case to the First-tier Property Tribunal, which determines the market rent for the property. The Government says it will remove the tribunal’s power to increase rents and thereby give tenants greater confidence to challenge unjustified increases. If …
Government response. The government states rents should be agreed between landlords and tenants, and it is not for government to intervene. The First-Tier Tribunal is best placed to resolve disputes, and it will update guidance to support all parties in engaging with …
Ministry of Housing, Communities and Local Government