Residential Tenancies Amendment Bill — Second Reading 
Residential Tenancies Amendment Bill — Second Reading 
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Residential Tenancies Amendment Bill 
Second Reading 
Debate resumed from 25 March. 
CHESTER BORROWS (National—Whanganui) 
: 
 I am pleased to take a call in respect of the Residential Tenancies Amendment Bill on its second reading and to make a few short points. The first is that when the bill came before the Social Services Committee there were a number of changes— 
The ASSISTANT SPEAKER (Eric Roy) 
: I am sorry Mr Borrows but I am just looking at my notes. I see that you have already spoken on this reading and a member cannot take two calls. 
CHESTER BORROWS 
: I am unsure that I have spoken; I think that someone took my place. But if that is your record I am happy to take a seat. 
The ASSISTANT SPEAKER (Eric Roy) 
: I am informed that I am correct. I am sorry. 
TIM MACINDOE (National—Hamilton West) 
: 
 May I say how disappointed I am that my fine colleague Mr Borrows is not able to speak to us this afternoon as I acknowledge what an outstanding contribution he has made to the work on this bill as a member of the Social Services Committee. 
This is an exciting day in our legislative history as is often the case when bills come to completion and to an anticipated passing in the House but this bill is particularly important because it involves the culmination of a process that has had a very long gestation. In fact it was under the previous Government—I think as far back as 2004—that changes to the Residential Tenancies Act were first mooted and it has taken quite some time to get to this point. I commend the current Minister of Housing for his leadership in bringing us to the point where we are at today. I thank the members of the Social Services Committee who have worked incredibly hard on this bill. I also acknowledge the many submitters who contributed to our deliberations. The legislation was complex and it was a challenging task for the select committee to work through but I think we can say that we applied ourselves to the work with a sense of purpose and I am delighted with what we have achieved. 
There are many facets to this bill. What is really important is that it reflects the importance of striking a fair balance between the interests of landlords and tenants. Sometimes those are competing interests and they can lead to quite serious disputes and it is obviously important that we have legislation that is fair to all parties. The bill will accommodate if members will excuse the pun in the current circumstances the growing percentage of our population who have a direct interest in tenancy legislation as tenants as landlords or as investors and also as we can sometimes forget the neighbours of those who live next door to tenanted properties or in the near vicinity of them. I think this is very timely and important legislation and I echo its overarching aim to clarify and appropriately balance tenant and landlord rights and obligations. If that can be achieved through this legislation and I believe it will be landlords tenants and their neighbours should all benefit from it. 
A number of changes were made to the bill during the select committee process. In the time available today I cannot go through those changes in great detail but I just assure submitters that their many concerns were heard and a number of important aspects were dealt with. 
The Government wants to see as I have mentioned a number of competing interests fairly dealt with. It is important in a system that sees a large and ever-increasing number of people owning investment properties and also depending upon residential properties for their accommodation as renters or as tenants to ensure that the investment side is protected and looked after but also that tenants are able to access suitable accommodation for their needs. In many cases we are talking about tenants who have very large families which can pose challenges in the system as well. We need to ensure that those tenants clearly understand their rights and are able to make informed choices about the best place for them to live what they can afford and what they will get when they sign up to a rental contract. It is very important that landlords and tenants are very clear about their rights. This bill has gone a long way to update the law to ensure that current demands and challenges are met. We have to ensure that we have a robust and flexible rental market that is sufficient that is responsive and that ensures that housing which is such a crucial need for all members of our society is available throughout the country and is appropriate to the needs and circumstances of those who are looking for tenancy properties. 
I will say finally how delighted I am to see that a very crucial missing component of the previous legislation has been dealt with under the current bill. That is the provision in this bill for those who live in boarding houses to come within the ambit of the Residential Tenancies Act. A very large number of people in New Zealand live in those circumstances. Often they are below the radar. Sometimes we are not conscious of them even being in our communities yet they are often the most vulnerable people in our communities. It is good to see that their rights are now recognised in the legislation. 
I am delighted that we have reached this point. I thank all members of this House and the officials in particular who worked on the bill for the very important and helpful work that they have done. This is a terrific day for everybody involved in the rental market in New Zealand. I congratulate the Minister of Housing on his achievement and I commend the legislation to the House. 
Hon GEORGE HAWKINS (Labour—Manurewa) 
: 
 I want to make just a short contribution. 
Hon John Carter 
: That’s enough. 
Hon GEORGE HAWKINS 
: No it is not quite enough I say to Mr Carter. The Residential Tenancies Amendment Bill began under the last Labour Government and I think that is a very important point. Unfortunately the Social Services Committee did not pick up all the brilliant ideas and the brilliant amendments that Labour made. 
Things are a bit quiet in the rental market at the moment because people fear 20 May. Landlords are worried so things have gone a bit quiet. It is worth noting that around 29 percent of tenants are Housing New Zealand Corporation tenants. In South Auckland there are large numbers of tenants who are Housing New Zealand Corporation tenants. Of course what is happening now is that many families are doubling up in houses and no one is taking very much action over that because people are worried. I see the moves the Minister made towards trying to get gangs out of certain houses and that matter is still going through the court system. So this bill does not fix everything; there will still be problems there. I think that people need to know that this bill will not cure all the problems. 
Of course many people are good tenants and this bill will not make a lot of difference to them. The good landlords do not need to worry. But at the other end are the bad tenants and bad landlords—and there are both. I think that this bill goes some of the way towards addressing that issue. When we look at what is happening at the moment we see that people do not want to become landlords. There are not a lot of new houses up for rent and that is a part of these economic times. People will be looking to see what this bill means for them as well as looking on 20 May to see what will happen to landlords. 
I am sure that quite a lot of debate is still going on about letting fees and about who is allowed to charge them and who is not. Arguments of that nature will continue while this bill goes through the House. I am pleased that this bill started its life under a Labour Government and that it has taken only 18 months for National to push it through this far. It may be another few months before it is put into place because this is not the most fleet-of-foot Government that has ever been. 
Michael Woodhouse 
: I thought you were going to be short—if you want it passed. 
Hon GEORGE HAWKINS 
: Well there is a guy who is pointing at the watch—a clock-watcher. We know those sorts of people. We can compare him with Chester Borrows. Chester Borrows wanted to make two contributions. He wanted to make a second contribution tonight; that member did not. But seeing that he wants to take his ball and go home I will let him do it. 
Bill read a second time.