Renters’ Rights Bill [HL] — House of Lords, 2016-11-18
Topic: Housing
Rachel Trixie Anne Gardner (Conservative, Centre-right): I am raising the point because, as I have discussed in the past—not during the last Bill, but previously—the inventory cost has to be borne by someone. If the inventory cost is paid only once, by the person who has the benefit of it, it is not then built into the rent in the way it would be if the landlord paid it, when it would be included in the rent, and every time there was a rent increase, there would be an increase in the inventory cost. It would already have been paid and would be a one-off and out of the way. I am very half-hearted about these suggested changes here People are overlooking the situation where, particularly in London, landlords are giving up ordinary residential lettings. There is quite a desperate shortage of lettings for ordinary people wishing to rent, because landlords can make so much more money out of Airbnb, which is totally uncontrolled. I opposed the practice when it came up last year during passage of the Deregulation Act, but no one else did. Now, sure enough, Berlin is bringing in controls. New York, Vancouver—all these places—are finding themselves in the same position. The Mayor of London has acknowledged the problem. It is only capital cities that have ever had that limitation on short lets. Whether it is in the tenancy agreement or not, people are totally ignoring that and simply letting them, because they can earn as much in four months as an ordinary landlord would in the whole year. It is much more complicated Again, we have talked about references. The Government expect you now to know that your tenant, whoever they are, is entitled to be in the country. As for the days when people could employ someone who was not legitimately here, all that changed, if your Lordships remember, with the situation that came up with the noble Baroness, Lady Scotland. This is much more complicated than people appreciate. This amendment sounds very good and sweeping but the whole thing has not been thought through in enough detail. There might be limits on what you could charge, but as I have said before, I remember letting a property in the days when the Wilson Government just froze rents. They were frozen for about two years, and then they absolutely escalated when the freeze was lifted You cannot really find a very easy answer to this, but I am very much in favour of an answer. I thoroughly approve of the idea that you should have access to a register of rogue landlords and all that, but it is unrealistic to imagine that this list of things which the noble Baroness has set out in detail will suddenly become inexpensive or vanish or something. Where is it going to vanish to? This is what I would like to know. I am convinced it will just be built into rents. The noble Viscount, Lord Hailsham, spoke about this recently, as a landlord or someone who had been one way back in history. He said that people had to realise that people who were landlords were doing it as a business, which is true. It is most unfortunate that the supply of housing, both social and ordinary commercial, has vanished, because people need homes and they need them desperately. We all hope that that housing Act will produce more homes for people at affordable prices but the press on it has not been very encouraging. I wait to hear what is said about it.