Private Renting: Homeless and Vulnerable People

Marcus Jones Excerpts

Wednesday 8th February 2017 Westminster Hall

[The Parliamentary Under-Secretary of State for Communities and Local Government (Mr Marcus Jones)]

I will do my best, Sir Alan. It is a pleasure to serve under your chairmanship. I congratulate my hon. Friend the Member for Newbury (Richard Benyon) on securing this important debate. I know that tackling homelessness is a priority for him. It is certainly a priority for me and the Government. I say at the outset that nobody should find themselves without a roof over their head.

Yesterday, the Government’s housing White Paper was published, which makes it clear that we are determined to make the private rented sector more affordable and secure for people. We have taken action to increase the supply of affordable and secure rented properties through the promotion of Build to Rent homes. That and other measures proposed in the White Paper will ensure that local authorities put more emphasis on planning for those rental schemes. We will certainly encourage the take-up of longer-term tenancies.

On the point made by my hon. Friend the Member for Newbury about securing private rented sector accommodation, as he set out in his speech, we have made a significant investment of £14 million from 2010 to 2016, working with Crisis, to develop a programme for single people to access private rented accommodation. More than 9,000 people were helped and 90% of those maintained a tenancy for more than six months.

My hon. Friend also mentioned the banning of letting agents’ fees for tenants. As he knows, we have brought forward proposals on that in the White Paper. We will consult on those proposals before we bring the policy forward. We have also set up a private rented sector affordability and security working group. On that working group, we have Shelter, Crisis, Generation Rent and landlord and letting agent representatives, and it is in the process of finalising its report. We have asked those organisations to work with us to see how we can reduce the costs and barriers people face in accessing private rented accommodation.

Homelessness, as has been discussed, is not just a housing issue. I am proud that we are giving our full support as a Government to the Homelessness Reduction Bill, the private Member’s Bill brought forward by my hon. Friend the Member for Harrow East (Bob Blackman). The Bill has benefited from the support of Members, many of whom are here today. My hon. Friend the Member for Newbury spoke passionately about the Bill on Second Reading. We are also bringing forward £50 million of homelessness prevention funding. That money has been awarded to 84 projects that will work across 225 local authority areas in England. A number of those projects include working with the private rented sector. We hope, through that funding, to support more than 1,000 private rented tenants and help those who are at risk of losing their tenancies.

Turning to some of the specific questions that have been asked, my hon. Friend the Member for Newbury mentioned the complexity of homelessness, particularly in terms of mental health. He rightly said that there should be a line of Ministers here to respond to the issues. In that spirit, I chair a ministerial working group that brings together various Departments and Ministers to see what more we can do to deal with the underlying issues that relate to homelessness. My hon. Friend will know that in the Homelessness Reduction Bill is a duty to refer. That is an important first step in putting an obligation on public sector bodies to refer people who may be at risk of becoming homeless to the relevant local authority.

My hon. Friend mentioned schemes and the proposals from Crisis. We continue to discuss a number of issues with Crisis on an ongoing basis. He also mentioned giving areas the ability to get people into private rented tenancies and out of temporary accommodation. That was a very good point. We are devolving the temporary accommodation management fee, which we believe will help local authorities to move people out of temporary accommodation and into settled accommodation more quickly.

My hon. Friend the Member for Central Suffolk and North Ipswich (Dr Poulter) mentioned the challenges with people who are not in the right place. They may be in a hostel and need to move on. He will be glad to know that the Government have committed £100 million to move-on accommodation. That will create places for up to 2,000 people to move on from hostel accommodation.

The hon. Member for Mitcham and Morden (Siobhain McDonagh) mentioned tenancies. The average tenancy is four years, but there are challenges in areas where affordability is an issue. The bottom line is that we need to significantly increase supply, and we are doing that in London, as she will know, by giving £3.15 billion to the Mayor to bring forward a significant number of affordable housing units.

To conclude, I will write to Members who have asked any other questions, in particular the right hon. Member for East Ham (Stephen Timms), who made a very good point about licensing schemes. I will leave it there, but we are absolutely committed to tackling this important issue. I thank my hon. Friend the Member for Newbury for the debate, albeit a short one, although that was not his fault.

[Sir Alan Meale (in the Chair)]

Mr Benyon, I understand that you have ceded your one minute to Mr Burrowes behind you.