Labour attacks Tories over claims Renters’ Rights Act “has to go”

The Shadow Housing Secretary has suggested that a Conservative government would scrap the Renters’ Rights Act.

Speaking at a fringe event at the Conservative Party conference, Katie Lam said the legislation “had to go”.

Labour has slammed the Conservatives over the comments, accusing them of putting the “interests of unscrupulous landlords first”.

Tories put the interests of unscrupulous landlords over private renters

On X, formerly Twitter, Ms Lam reportedly said the Conservatives would scrap the Renters’ Rights Act.

However, a Conservative source said she was speaking in the broader context of the restrictions and challenges landlords face, and that her comments did not amount to a policy announcement.

Responding to the comments, Labour’s housing minister Matthew Pennycook accused the Conservatives of putting the interests of landlords ahead of private renters.

Writing on X, he said: “We now know the Tories will put the interests of unscrupulous landlords over those of private renters.

“Speaking at the Conservative Party conference, the Shadow Housing Secretary told an audience that our transformative Renters’ Rights Act “has to go”.

“Only Labour will guarantee the security, rights and protections the Act has given private renters.”

Scrap stamp duty

During the Conservative Party conference, Ms Lam also announced that the party would scrap stamp duty and cut the cost of new-build homes by £50,000 by abolishing the Future Homes Standard and replacing Section 106 and the Community Infrastructure Levy with a single levy.

Timothy Douglas, head of policy and campaigns at Propertymark, said: “Propertymark welcomes the focus on increasing housing supply, simplifying planning and making it easier for people to move home. Our members see first-hand how delays, complexity and uncertainty in the planning system can add costs and hold back development, so measures to make planning faster and more proportionate, particularly for smaller housebuilders, are welcome.

“Scrapping Stamp Duty would also remove a significant barrier to moving home and could help improve mobility across the housing market. We also welcome efforts to reduce unnecessary costs and complexity for housebuilders, but scrapping the Future Homes Standard altogether needs careful consideration.

“The priority should be proportionate regulation that supports new housing without adding avoidable costs or delays, while ensuring homes remain fit for the future.

“Ultimately, planning reform alone will not solve the housing crisis. The test of these proposals will be whether they actually deliver more homes and improve affordability, particularly for first-time buyers and renters.

“The £50,000 saving claim will also need to be tested against whether those savings reach consumers. Furthermore, policy makers must not make cost saving at the expense of quality and standards, a balance will need to be struck.”

Landlord exodus

The news comes as the Renters’ Rights Act has sparked a landlord exodus.

According to data by SpareRoom, 27% of landlords are leaving the rental market, rising to 44% among single-property landlords.

More than a third (36%) say they are now reducing the size of their portfolios, rising to 53% among larger landlords. Fewer than 4% say they are expanding their portfolios.