Tory MP argues that Renters Reform Bill will drive people out of the PRS

A Tory MP has called on the government to withdraw the Renters Reform Bill.

In a government debate, Christopher Chope MP said the consequences of the bill will result in a reduction of supply and high rents.

His comments were made during a Westminister Hall debate about the cost of living and the private rented sector.

Government are letting down thousands of renters

Andrew Western MP for Labour who tabled the debate says the Renters Reform Bill is moving at a snail’s pace.

“Why is the plight of renters so often ignored? What will the Government do to help? The Renters (Reform) Bill, first promised in 2019, yet introduced only in May 2023, is moving at a snail’s pace—still no Second Reading, two months on from First Reading.”

Alex Davies, Shadow Minister for Culture, Media and Sport added: “With every day of delay [of the bill] that passes, the government are letting down thousands of renters in desperate circumstances.”

Driving a large number of people away from renting out private homes

However, MP for Christchurch Christopher Chope argued that the legislation should be withdrawn as it is driving people away from the market.

“The Renters (Reform) Bill has only been printed and had its First Reading—it has yet to receive a Second Reading, which is a complaint from the Opposition.

“However, I hope the government withdraws the legislation because the mere fact that it has been printed in the form of a Bill is driving a large number of people away from renting out their private homes.”

He added that a lack of supply is causing huge problems in the private rented sector.

“The crisis in the rented housing sector is largely one of a lack of supply. If we put pressure on potential suppliers of a product through regulation, the likely consequence is that the potential suppliers will withdraw some of that product from the marketplace.”

“That is exactly what is happening at the moment.”

Applauded by many landlords

Rodney Townson, from Landlord Association iHowz says many landlords will welcome Mr Chope’s comments.

“We understand Sir Christopher’s criticism of the RRB and no doubt his suggestion that the Bill should be ditched will be applauded by many landlords, who see the wholesale ditching of ASTs and the S21 process as a sledgehammer to crack the non-compliant landlord (and agent) nut, which could be solved by better training and focused compliance checks.

Where iHowz have reservations is:

– lack of clarity on new S8 grounds, especially addressing Ground 14, ASB, which remains discretionary and hard to apply

– need to abolish fixed terms, especially if minimum period of 6 months is reduced

– removal of S21, especially if this happens without a sunset clause which requires proof that the new S8 grounds are as effective.

He added: “iHowz have proposed an amendment to make S21 fairer for long-standing tenants who are complying with their tenancy, but are served notice to make the process fairer and are lobbying parliamentarians to get support for our proposal.”

Change landscape of PRS

Rachel Maclean, Housing Minister, says: “The Bill will help change the landscape of the private rented sector.

“It is the most significant reform to the private rented sector for a generation, and it will deliver on the Government’s commitment to a better deal for renters. The Bill will make a fairer, more secure and higher quality private rented sector, fit for the 21st century.”

The full debate can be seen here