Connor Naismith MP Labour Member of Parliament for Crewe and Nantwich
In the UK, there are approximately 8.6 million renters, with private renters making up over half (53%). By contrast, there are around 2.8 million private landlords.
Average rent prices increased annually by almost 10% as of November last year. Private rent in Britain now swallows 44% of the average UK wage. The average age of first-time buyers is on the rise, now at 32 years and 9 months in the North West.
That’s a lot of numbers to say: the rental market has become increasingly problematic in recent years, and a power imbalance has undoubtedly formed between people who pay rents, and those who extract them.
We see this dynamic played out in bidding wars, where prospective tenants are forced to put down months of rent in advance (if they’re even in a financial position to do so).
Once residents have signed a contract, the power imbalance continues. Renters struggle to get basic maintenance fixes carried out, and legal proceedings against malicious landlords can be expensive and time-consuming.
For social housing tenants, these problems are all exacerbated by the fact that they are even more financially vulnerable and unable to withhold rent as leverage.
In fact, for landlords themselves, this crisis has negative repercussions. Those who do maintain a high level of service are being painted with the same brush, with <25% of the public having a favourable view of landlords.
One of Labour’s key manifesto pledges was to build 1.5 million homes by 2029 to support people getting on the housing ladder and increase the social housing stock.
In addition, we need new regulations to protect renters in the private and public markets. I’m proud to say Labour has overseen two transformative pieces of legislation to address just that.
Renters’ Rights Bill
The Renters’ Rights Bill was voted through in Parliament on Tuesday 28th October. It’s focused specifically on the private rental market.
It will:
- Abolish section 21 evictions and move to a simpler structure where tenancies are on rolling contracts – providing more security for tenants and empowering them to challenge poor practice and unfair rent increases without fear of eviction.
- Scrap unlimited advance rent, which means landlords will only be able to request a maximum of a month’s rent in advance for new tenants.
- Ban unpredictable rent hikes and provide stronger protections against backdoor eviction by allowing tenants to appeal excessive above-market rents. Landlords will only be able to raise rents once a year and have to give two months’ notice.
- Give tenants strengthened rights to request a pet in the property, which the landlord must consider and cannot unreasonably refuse. To support this, landlords will be able to request pet insurance for the tenant to cover any damage to their property.
- Ensure possession grounds are fair to both parties, giving tenants more security, while ensuring landlords can recover their property when reasonable.
- Introduce a new Private Rented Sector Landlord Ombudsman that will provide quick, fair, impartial and binding resolution for tenants’ complaints about their landlord.
- Create a Private Rented Sector Database to help landlords understand their legal obligations and demonstrate compliance (giving good landlords confidence in their position), alongside providing better information to tenants to make informed decisions when entering into a tenancy agreement. Landlords will need to be registered on the database in order to use certain possession grounds.
- Make it illegal for landlords and agents to discriminate against prospective tenants in receipt of benefits or with children.
- End rent bidding wars by banning landlords and agents from asking for or accepting offers above the advertised rent.
Awaab’s Law
This week in Parliament, Awaab’s Law has come into force, giving social housing tenants stronger protections over the state of their homes.
Awaab’s law was passed following the tragic case of two-year-old Awaab Ishak, who died from prolonged exposure to mould.
For too long, vulnerable social housing residents have had their living conditions held at the will of landlords. Your status as a tenant shouldn’t determine your right to a safe, clean home.
In the constituency, Christina contacted my office earlier this year after discovering mould in her flat.
Despite the housing provider carrying out corrective measures, the mould returned. She was frustrated that her complaints were not being taken seriously.
Awaab’s Law will ensure Christina and thousands of others are protected from hazards in their homes.
Under the new measures:
- Landlords will be forced to urgently fix dangerous homes.
- Emergency hazards must be addressed within 24 hours.
- Landlords must also consider the circumstances of tenants which could put them at risk – including young children and those with disabilities or health conditions.
- Alternative accommodation must also be offered if homes cannot be made safe within the required timeframes.
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