Renters’ Rights Bill

Debate between Baroness Thornhill and Lord Howard of Rising

Monday 28th April 2025 Lords Chamber

[Lord Howard of Rising (Con)]

My Lords, I support the amendments in this group in the name of the noble Baroness, Lady Scott, to which I have added my name. I endorse what she said just now when she spoke to the amendments.

When I spoke to the fourth group, I pointed out that, as presently drafted, the Bill will, at a conservative estimate, give rise to 1 million applications per annum to the rent tribunals. Other noble Lords have commented on the problems which will occur. The rent tribunals will be overwhelmed. With the delay for any rent increase, this will amount to a de facto rent control, with a corresponding and inevitable loss of rental accommodation when landlords disappear from the market as they cease to be able to cope with the ever-rising costs, not least the cost of increasing regulation.

I spoke at Second Reading to the problems in Berlin, where rent controls had to be abandoned owing to the lack of rental accommodation. These amendments would help introduce some realism into the system, so that applications to the rent tribunals are for genuine reasons and not merely because it would be silly not to go to the rent tribunal when there is no risk and a possible gain.

[Baroness Thornhill (LD)]

I had thought that there would be a few more speakers than that, but hey.

I wish I could be half as certain about what is going to happen in the future as some noble Lords here—they must have a crystal ball hidden somewhere. I feel this Bill is almost an act of faith. It is quite obvious that we believe that it is going to do good things and that Armageddon will not happen. However, the noble Baroness, Lady Scott, argued her case very well and sincerely, and likewise she believes that. At the moment, neither side really knows what is going to happen. To use the cliché: only time will tell.

The problem with so many amendments being regrouped is that we are into groundhog day, so I will be brief. As previously stated, we do not support amendments that would disincentivise tenants challenging rent rises and feel that most of these amendments fall into that category. The Bill is about a power balance between the tenant and the landlord, and is a genuine attempt to redress that balance. A lot of the amendments and statements made by some noble Lords want to maintain the status quo; for us on these Benches, that is an imbalance. We are just going to have to disagree about that.

The noble Baroness referred to the realities of the housing market. Our interpretation is that landlords can charge whatever they want—whatever the market will sustain—and we do not believe that that is right. In doing so, I genuinely believe we are creating an underclass of people who will never be able to fit into the private rented sector. That is perhaps an argument for another day.

The Minister has perhaps already answered Amendment 105, but I am quite happy to hear it again, given that I agree with the noble Baroness that such a review is important and necessary.