Agriculture Bill — House of Lords, 2020-07-21
Topic: Housing
Anne McIntosh (Conservative, Centre-right): I have some sympathy with the noble Earl, Lord Devon, but I have tried to use my best judgment to amend the Bill as it stands. Amendment 223 builds on the work, as the noble Earl pointed out, of the Tenancy Reform Industry Group, just to ensure that the amendments put forward by TRIG can be implemented in a timely manner I turn to other amendments in my name and thank the noble Baronesses, Lady Jones of Moulsecoomb, Lady Bakewell of Hartington Mandeville and Lady Northover, the noble Earl, Lord Caithness, and my noble friend Lady Rock for lending their support to these. Amendment 237 also has a complementary one for Wales. It makes a straightforward change to require the Government to bring forward necessary regulations to allow an agricultural tenant to refer to arbitration any unreasonable refusal from the landlord following a request by the tenant to join a scheme developed under the financial assistance provisions. Let me say at the outset that there are plenty of examples of good relations between landlords and tenants; the amendment deals only with circumstances where they are perhaps less good. I think it fair to say that tenant farmers are rightly concerned about their ability to access new public payments for public goods in light of their tenancy agreements and some of the restrictive clauses they contain. I hope the Government will give an assurance in that regard Amendment 238 closes a potential loophole in the Bill regarding the consent of the landlord, which the tenant is required to obtain before entering a financial assistance scheme. As drafted, the Bill contains a relatively narrow set of criteria which has to be in place, but envisages providing the tenant with the option to object only where the tenancy agreement or legislation governing the tenancy relationship between the landlord and the tenant restricts the tenant’s ability to participate without the landlord’s consent. Currently, the situation would not be covered by the provisions in this part of the Bill. This amendment seeks to address that by ensuring that all refusals by a landlord are referable by the tenant to arbitration on the grounds of reasonableness. I hope my noble friend will see that that is very modest ask Amendment 239 again concerns the landlord’s consent. This and Amendment 238 would together address issues around unreasonable restrictions within tenancy agreements that prevent farm tenants investing in their holdings to carry out activities or improvements which assist with the productivity or sustainability of the holding. As the noble Earl, Lord Devon, said, three years being the standard tenancy is simply not conducive to the investment that I personally would like to see. I hope my noble friend will look favourably on this amendment. Again, it is a suggestion put forward by TRIG and I hope my noble friend will make sure that tenancy agreements contain reasonable clauses that would make an appeal against an unreasonable refusal from landlords easier Amendment 240 addresses the definition of "diversification activity" and would extend it to activities that, although by nature not deemed to be agricultural, horticultural or arboricultural, enhance and complement the use of the holding for those purposes. Again, the intention is not to create a complete free-for-all but simply to give the tenant certainty of provision. I would hope that it is reasonable to allow farm tenants to have access to the means to carry out reasonable farm diversification activities without the landlord’s unreasonable refusal disallowing them from doing so Amendment 244 also has a similar one for Wales and, taken together, they seek to enhance the franchise of individuals who are able to apply for succession of a tenancy for the limited number of tenancies under the Agricultural Holdings Act 1986 that continue to have rights of succession. This is simply looking to extend the current franchise that includes husbands, wives, civil partners, sons, daughters, individuals brought up in farm families and treated as children of the marriage or civil partnership, and brothers and sisters of the deceased or retiring tenant. Crucially, the list of potential successors does not include the grandchild, nephew or niece of the deceased or retiring tenant; nor does it include children from a cohabiting partner of the deceased or retiring tenant. This amendment seeks to plug that gap. Again, this was considered by TRIG, so I hope my noble friend will look favourably upon it Amendment 245 looks to ensure that tenant farmers in England are not locked out of new government public payments for public goods schemes, or schemes that provide support for productivity. The Bill already recognises the difficulty tenant farmers occupying under the Agricultural Holdings Act 1986 might have in gaining consent from their landlords, due to the nature of their tenancy agreements, but leaves tenants occupying under farm business tenancies regulated by the Agricultural Tenancies Act 1995 fully exposed to the whims of their landlords, without a legislative backstop. I hope that my noble friend will look favourably on this amendment. Tenant farmers want to play their full part in these schemes, which enhance the environment, landscapes and animal welfare, and I am sure that, through the good offices of my noble friend, that can be achieved. It is important to say that when this was considered in Committee in another place, it was voted down on the basis that farm business tenancies are shorter term; however, this misunderstands the nature of the marketplace for letting land and I am sure my noble friend will take a much more considerate view Finally, I come to Amendment 246. As with the amendment to the franchise for tenancy succession, this amendment was also considered by the Defra-sponsored Tenancy Reform Industry Group. It is part of the Government’s policy to encourage longer-term farm business tenancies. It is important to note that the average length of a farm business tenancy in England and Wales is less than four years, and 90% of all agricultural tenancies are let for a period of only five years or less. Such short-term agreements are inadequate to allow farm tenants to invest in and profit from these holdings and to have the freedom to take part in agri-environment schemes. This amendment would make the changes necessary in this regard I hope my noble friend will consider these amendments vital, putting all tenants on an equal footing and enabling them to benefit in the same way that landlords would hope to benefit from these schemes.