Labour’s homelessness minister faces hypocrisy claims after evicting tenants

Labour’s Minister for homelessness, and a strong supporter of the Renters’ Rights Bill, is facing criticism after evicting tenants and then pushing the rent up on the property.

The i Newspaper reports that Rushanara Ali, evicted four tenants from her east London townhouse and subsequently increased the rent by £700 a month.

The Bow property, previously rented for £3,300 per month, was relisted at nearly £4,000 after the tenants’ departure.

Ms Ali, who has publicly condemned ‘unreasonable rent increases’ and vowed to protect private renters from exploitation, now faces scrutiny over her actions as a landlord.

Tenants were outraged

The MP for Bethnal Green and Stepney, who has served as homelessness minister since Labour’s July 2024 election victory, owns two rental properties, as disclosed in the MPs’ register of interests.

The townhouse, located less than a mile from London’s Olympic Park, was initially listed for sale at £914,995 last November, before a price reduction to £894,995 in February.

Ms Ali purchased the property in 2014 for £300,000 less than its current asking price.

Laura Jackson, a 33-year-old self-employed restaurant owner and former tenant, expressed outrage after receiving an email in November notifying her and her housemates that their tenancy would not be renewed.

They were given four months to vacate.

Extorting renters

Ms Jackson told the i: “It’s an absolute joke. Trying to get that much money from renters is extortion.”

She discovered the property had been relisted for rent at the higher rate just weeks after moving out.

New tenants, who moved in five months ago, confirmed to reporters they are paying around £4,000 a month.

Further complicating the situation, the letting agencies managing the property, Jack Barclay Estates and Avenue Lettings, attempted to charge the tenants nearly £2,000 for repainting and £395 for professional cleaning.

Such charges violate the Tenant Fees Act 2019, which prohibits landlords from billing tenants for cleaning or repainting unless significant damage has occurred.

Charged extra fees

Ms Jackson described the agent’s demands as ‘ridiculous and unfair’, noting the property was not clean when they moved in.

After she informed the letting agencies that she knew Ms Ali was a Labour MP, the fees were dropped.

Ms Jackson added that she and her fellow tenants didn’t know the fees are unlawful.

The newspaper says that Ms Ali intervened to ensure the charges were cancelled after being informed by her agents.

A source close to Ms Ali explained to the i that the tenants were offered a rolling contract after their tenancy ended, as the property was put up for sale.

It was only relisted for rent after failing to attract a buyer.

Complied with the law

A spokesperson for Ms Ali said: “Rushanara takes her responsibilities seriously and complied with all relevant legal requirements.”

The controversy has drawn sharp criticism from Conservative shadow housing secretary James Cleverly, who labelled the allegations ‘the most extreme hypocrisy’.

He also called for Ali to reconsider her role as homelessness minister.

Labour’s Renters’ Rights Bill, set to become law this year, aims to prevent landlords from relisting properties at higher rents within six months of ending a tenancy to sell.

Ms Ali said in March that the Bill will tackle the ‘root cause’ of homelessness.

Ben Twomey, chief executive of Generation Rent, called the allegations ‘shocking’ and urged the government to strengthen renter protections swiftly.

Neither Jack Barclay Estates nor Avenue Lettings responded to the I newspaper.