Renters’ Rights Bill Debate
Full Debate: Read Full DebateBaroness Grender
Main Page: Baroness Grender (Liberal Democrat - Life peer)Department Debates - View all Baroness Grender's debates with the Ministry of Housing, Communities and Local Government
(2 weeks ago)
Lords ChamberMy Lords, Amendment 62 in this group, in my name and that of the noble Earl, Lord Leicester, is also about a particular form of occupational housing. I need to declare an interest: I own one small apartment in the West Midlands which has been let out to a tenant for a long time, but, according to some of the media, that makes me a kind of Rachmanite landlord who is trying to destroy the Bill. I can assure your Lordships that that is the last thing I have in mind.
This is about people who live in tied accommodation. As a Church of England bishop, I live in what I suppose we should call a tied palace rather than a tied cottage, but it is accommodation that I inhabit only for as long as I exercise my current office. That is the situation for the vast majority of stipendiary Church of England clergy, many other ministers of religion, and also for farm workers and estate workers who are required, for the better performance of their duties, to live where they actually work. It is a category that is accepted by HMRC, in terms of taxation legislation, as a special form of tenure. A large proportion of those who live in tied accommodation do not have the capacity during their working lives to save up and be able to provide for themselves in retirement, when they eventually have to move out of their tied dwelling.
I will not benefit from the amendment I am proposing to your Lordships today, because I will be able to accommodate myself by other means, but the Church of England Pensions Board lets out 50 or so properties each year—that is the average over the last few years—to retiring clergy, or sometimes to the spouse or surviving civil partner of a member of the clergy who has died in office, usually at about 60% of what the market rent would normally be in those circumstances. These properties are made available for clergy to look at any time up to about five years before they retire. The importance of that is we know that when people retire and move out of tied accommodation, they need time to think about where they are going to live, what sort of community they will want to settle in and put down roots in, because it is probably where they will stay for the rest of their lives.
At the moment, what the pensions board is able to do, and what other landlords who are used to accommodating people in tied accommodation can do, is to reserve a property for some period of time in advance and let it out in the meantime, but that will not be possible if the Bill passes in its present form. All that my amendment seeks to do is to make a small change that will allow an extra ground for granting possession where it is to accommodate somebody who is moving out of tied accommodation and the person who is providing their accommodation in retirement is somebody who is closely connected with who they were working for. It may be a former employer. In the case of clergy, who are officeholders rather than employees —a bit like police officers, we are officeholders—it will be an appropriate charity that provides accommodation in retirement.
This would make very little difference to the availability of rented housing overall—it would not make it impossible for other people to find properties to rent—but, as we have already heard several times today, there are people who wish to rent for a shorter period of time. It would be known that these properties will be subject to that clawback when the person who has earmarked them retires. If this amendment is not accepted, I fear that what will happen is that properties will simply lie empty for several years until the member of the clergy or the farm worker is ready to retire into them, and thus take properties away from the rented market, which I do not think is the aim of the Bill at all. I think this is a rather modest, quite niche measure, which would affect only particular categories of labourer, but for them it would make a huge difference to be able to identify where they are going to live when they retire a few years ahead of retirement and to know that that property will be available for them on the day of their retirement.
My Lords, I will speak briefly from these Benches, in part to spare my noble friend’s voice—I assure noble Lords that no wine has been taken this evening.
I will stress something that is beginning to cause confusion on these Benches: the suggestion that an assured shorthold tenancy is in some way secure. It has been well documented over many years that huge insecurity is attached to an assured shorthold tenancy. Everything that we have learned about the huge turnover has for so many tenants been attached to the fact that ASTs are sometimes down to six months. A periodic tenancy—which has no end—is surely more secure than these fragile assured shorthold tenancies, which are often for only six months and cause huge insecurity for so many tenants. For that reason, these Benches are extremely concerned about the current direction of travel.
My Lords, I am very grateful to all noble Lords who have spoken in this debate. Indeed, it follows on very neatly from our earlier debate on fixed-term tenancies. My noble friends Lord Davies of Gower and Lord Moynihan made compelling arguments for why we should permit fixed-term tenancies for both professional athletes and police officers. The benefits were set out with conviction and clarity, and I hope the Government Benches have listened. Of course, I would prefer that fixed-term tenancies continued to be available for everyone.
I will not rehearse the arguments made earlier, but does not the growing list of amendments seeking exemptions highlight the real value that fixed-term tenancies offer, supporting people from all walks of life, from athletes to police officers and everyone in between? Nurses, doctors, students, military personnel and even performers can all benefit from a fixed-term tenancy. The Government should consider these benefits. In removing fixed terms altogether, the Bill risks taking away short-term lets that serve as a real benefit for many thousands of people.
I turn to the Minister’s Amendment 59, which expands ground 5C to account for police officers. These Benches understand the importance of an employer’s need to regain possession of rented property if the tenancy is linked to a tenant’s employment. I thank the Minister for setting out details of the amendment.
Finally, I wish to note Amendment 62, tabled by the right reverend Prelate the Bishop of Manchester. I thank him for the chat we had about it, because I had no idea that this happened within the Church of England. Enabling a debate on possession for the purposes of housing a person leaving tied accommodation is most welcome. This is an important issue, as it ensures that a landlord, who is often also the employer, can regain possession of a property when it is needed to house a new employee, but also—as in the case of the Church of England—allows the Church to regain a property that is required for the retiring employee. We must recognise the value of maintaining the availability of essential employment-linked housing, and consider how best to safeguard it in practice. Additionally, we must not discourage landlords from helping tenants by giving them extra time to move out, providing references or offering alternative housing, especially in sectors such as education or farming—or, indeed, in the Church.
This debate has encapsulated the depth and breadth of the Bill, and the numerous areas that it covers. A modern, dynamic workforce needs the freedom to move, adapt and pursue opportunities wherever they arise. We must have a laser focus on occupational needs when considering any changes to the rental market.