Affordability is ‘key area’ missing from Renters’ Rights Act, MPs told

Anny Cullum, policy officer and researcher for renters’ union ACORN, told MPs: “For us, the key area that is missing from the act, and that we think will still be a deterrent for renters to stand up for their rights and stand up against poor conditions, is the fact that it doesn’t go far enough on rental affordability.

“We would like to see much stricter controls on how much rents can go up, because we are concerned that economic evictions or landlords raising rents to levels that tenants can’t afford could be used as a backdoor mechanism to retaliate against a complaint, and we do worry that some renters will still fear enforcing these new rights.”

Nye Jones, head of campaigns at Generation Rent, told the committee that “revenge rent hikes as an eviction process will become a thing”.

He added: “We were really keen to see some sort of limit on on how much landlords can raise the rent through the [Renters’ Rights] Bill.”

Mr Jones also highlighted issues with the first tier tribunal process which he said the government “continually” referred back to as a way to stop unaffordable rent hikes. Nearly seven in 10 renters have never heard of or know very little about the tribunal, according to the group’s polling.

Mr Jones added that without tribunal capacity and knowledge, economic evictions could still take place, meaning renters will not be able to hold landlords to account on conditions.

“I would add that the concept of limiting rent hikes becomes even more pertinent when we are pushing landlords to invest in homes over a shorter period,” he said.

“Renters are by far the most likely to experience fuel poverty, more than one in five, and if renters are going to enjoy cheaper, warmer homes, then we need to see protection against unaffordable rent hikes after retrofitting.”

Kate Markey, chief executive at Nationwide Foundation, told the meeting that long-term research carried out by the charity following rental reforms in Scotland found very few tenants had contact with their local enforcement officer and only 1% of tribunal cases related to rental increases.

The evidence session also heard criticism of housing conditions in the private rented sector. Deborah Garvie, policy manager at Shelter, said that the charity sees “very serious, life-threatening hazards” as well as “awful conditions” that affect tenants’ mental as well as physical health.

“When there’s damp and the smell of damp in all your children’s clothes, in their soft toys, in all of your belongings, when every time you come home the smell hits you, the disrepair hits you, the endless grottiness, it just entirely wears you down,” she said.

Ms Garvie highlighted the difficulties of getting these issues fixed and the risk that “by trying to improve standards, you’ll lose your home”.

“There’s all of that worry and fear, particularly for people who are at very grave risk of homelessness and really have to take what they can get,” she added.

Ms Cullum, of ACORN, said it is “scandalous” what some of their members experience. One tenant has lived in 14 different places in the last 12 years, and every single property had issues with damp or general neglect.

Yesterday’s meeting was the third verbal evidence session since the HCLG Committee launched its inquiry into the condition of homes in England this July.

The probe aims to examine the extent of hazards in social and private housing, the quality of new build homes and the likely impact of government reforms in this area of policy. 

Inside Housing gathered the sector’s written responses here. Earlier inquiry sessions in parliament saw concerns raised about how tenants in poor-quality housing are unlikely to invoke Awaab’s Law, and a warning from the ombudsman on housing issues prompted by further devolution and housing association mergers.