Lords clash over Renters’ Rights Bill in committee stage

Members of the House of Lords clashed over the Renters’ Rights Bill in stage one of the committee stage.

Baroness Scott of Bybrook has criticised the Renters’ Rights Bill, warning it fails to strike a balance between landlords and tenants and could reduce the supply of rental homes.

However, Baroness Taylor of Stevenage, Parliamentary Under-Secretary of State for Housing, defended the Bill, claiming it will bring much-needed stability to renters.

Baroness Taylor of Stevenage also admitted there are bad tenants within the private rented sector.

Must strike a balance

Baroness Scott of Byrbook told the Lords: “We need a functional market with sufficient supply of good quality homes to meet the growing demand for secure housing.

“Ensuring the availability of homes will underpin the obtainability of accommodation and ensure that rents are affordable. Any legislation in this area must tread a difficult but essential line between these interests.

“Only by striking the right balance with this legislation can we hope to achieve an efficient and effective rental market that delivers the safe, secure, decent and affordable homes renters need. However, the Bill does not achieve that balance.”

She adds: “ Rather than making houses more affordable, this legislation risks increasing burdens on landlords, discouraging them from remaining in the rental market and ultimately reducing supply at a time of rapidly growing demand. In economic terms, this can only mean one thing: higher housing costs for renters.”

Landlords who are undercut by rogues

However, Baroness Taylor of Stevenage, claims the Renters’ Rights Bill will help landlords with rogue tenants.

She said: “Most landlords are very good who look after their properties very well.

“Despite this, the private rented sector still provides the least affordable, poorest quality housing in all tenures and this can not be allowed to continue.

“The chronic insecurity embedded in the current tenancy system fails both those tenants looking for a stable home for their families and those landlords who are undercut by the rogues and the chancers who we know are there, they may be few, but we know they are there. This is a drain on aspiration. Reform of the sector is central to our opportunity mission, so that all have the chance to achieve their potential..”

Landlords have cried wolf before

Elsewhere in the debate, Baroness Thornhill from the Liberal Democrats dismissed fears over the Renters’ Rights Bill.

She said: “Landlords have cried wolf before, over the Tenant Fees Act, and Armageddon did not happen. That is not to say we should not take their concerns seriously, nor that the government should not monitor and review, but the most important thing in the Bill is the abolition of Section 21.”

Meanwhile, Conservative peer Baroness Eaton warned that driving landlords out of the sector would hurt vulnerable tenants.

She said: “In reality, landlords will no doubt be more reluctant, under the new burdens placed on them, to take on more vulnerable tenants,  for example, those who enter the market for the first time, without references, and those in receipt of housing benefit.”

Part two of the committee stage will continue on Thursday. If the Bill passes, it will then move on to the report stage.

Watch a clip of Baroness Scott speaking at the Committee stage below