Shelter has outlined a series of changes it wants MPs to make to the Renters Rights Bill when it gets its Second Reading in he Commons, possibly as early as next week.
It broadly welcomes the measures, regarding it as a distinct improvement – for tenants, anyway – over the Conservatives’ Renters Reform Bill.
“[The Bill] can open a new chapter, bring fairness to renting and lay the foundations for private renters to put down roots in their communities” says the campaigning charity in a statement.
However, it outlines four areas where the Bill requires what it calls “improvement”.
These are:
- The introduction of a two-year protected period at the start of tenancies during which what Shelter calls “no fault” evictions are prohibited. It says this would provide renters with longer-term stability and security in their homes, as is the case in countries like Germany and France;
- It wants yearly rent increases limited by the lowest of inflation (measured by the Consumer Price Index) or wage growth (measured as the median wage growth over three years). Shelter says many countries like Germany have similar restrictions as standard;
- Rent-in-advance requests should be limited to a maximum of one month, which would “remove a significant barrier to housing for low-income households and people in receipt of housing benefit”; and
- The Bill should “restrict the scenarios in which a landlord can legitimately request a guarantor” to only those in which a prospective tenant cannot prove that they can afford the rent.
It is possible that the Bill’s Second Reading in the Commons could happen within the next 10 days – evidence of the speed which Labour wants to attach to this flagship measure.
Overall, Shelter welcomes most other provisions, saying: “We strongly welcome the measures introduced to give renters greater security, including the immediate abolition of Section 21 ‘no-fault’ evictions, the extension of notice periods to four months, and the introduction of a 12-month no-reletting period.
“We are encouraged to see a commitment to tackling discrimination in the private rented sector, through plans that seek to prevent landlords from refusing to let to renters who claim housing benefit or have children without a valid reason.
“Additionally, if done right, the introduction of a landlord register will provide transparency and accountability in the sector, better enabling enforcement of existing and new standards, which is a positive step forward.”