Renters’ Rights Bill

Debate between Baroness Thornhill and Lord Young of Cookham

Tuesday 1st July 2025 Lords Chamber

[Lord Young of Cookham (Con)]

My Lords, I will be very brief. I strongly support Amendment 29 so ably moved by the noble Baroness, Lady Wolf. I recall that, when we debated this in Committee, the noble Baroness got a favourable response from the Front Bench, and it may be that on this amendment the ice is beginning to melt.

I am also struck by the contrast between the certainty that we get with Amendment 36 from the noble Lord, Lord Carrington, and the absence of any clarity and certainty from government Amendments 37 onwards. As the noble Lord, Lord Carter, said, it is normal procedure in law if a rent increase is valid to backdate it from the date that it was due, so the Government are introducing a wholly new concept in law in their Amendment 67, which does not actually take the trick because, as I understand it, they are going to wait until the system is gummed up before they activate the process.

This is simply no way to govern. The Government ought to accept Amendment 36 with its clarity and certainty, rather than this doubtful procedure whereby there remains every incentive to appeal and only when the system becomes even more clogged will the Government intervene. That cannot be good government, and I urge the Minister to think again about Amendment 36 or the other amendment that achieves the same objective in the name of my noble friend Lord Howard of Rising. I just do not think that this takes the trick.

[Baroness Thornhill (LD)]

My Lords, I do not know which amendment to start with really, but I will start with the least contentious. We agree with Amendment 42 that a review is imperative and should definitely happen.

On Amendment 30 from the noble Baroness, Lady Jones, it seems absolutely right to us that, when the taxpayer funds lovely, significant improvements that will raise the value of the landlord’s asset, the tenant in the house should be protected from a rent rise at least during that tenancy. That seems only right and fair.

Amendment 29 from the noble Baroness, Lady Wolf, which I supported in Committee and co-signed, is a sensible amendment that several noble Lords have said they would support. I think she has explained it at length and with clarity, so I need say no more. But anything that acts as a triage system in this process should be looked at seriously.

On the controversial bits, the rent tribunal is clearly causing concern. I say to the Minister that I think there was an invitation in the last speech to look at this again—there will be Third Reading. It seems to me that a lot of work has gone into these amendments that would justify perhaps a little more time and effort than we have now. The Minister has a lot to justify in order to gain support from the House. We are minded to support the Government, but clearly we need answers on the very detailed and sensible proposals put forward today.

What worries us about Amendment 31 is that it risks allowing a tribunal to determine the level of rent increase, which could actually be unaffordable. The idea that a rent tribunal could decide that the rent should be such-and-such would fuel a market in which rents are rising exponentially, more than they have at any other time—the amendment would seem to fuel that further. We certainly do not agree with rent controls, but we believe that some brakes could be put on this; that would seem eminently sensible.

Perhaps I am looking at this through the wrong lens, but I would have thought that a tenant might expect an annual rent rise: “I am in my rented apartment and I am expecting the landlord to put up the rent in a year because I know what’s going on in the area, so I can kind of suss out how much it might be”. But, looking at it from the other way, if we assume all the things that noble Lords have said about everyone applying to the tribunal—Martin Lewis will be saying they should apply and the student unions will be on it—why would a landlord, knowing all that, impose a stupid rent rise if he knows that his tenant can then appeal against it? That should put an instinctive brake on unjustified, unrealistic rises. The system should work with those natural tensions.

We are not happy with it, but we have had conversations and thoughts about the proposal. We would ask the Government to look again at some of the detail. Perhaps with some assurances from the Dispatch Box, we could avoid a load of votes now and at Third Reading because I think that we would want the Minister to look in more detail than I personally, I admit, have done, if that is fair to say.